Chinese AI Dipsyk Running in Check..Should the Automobile Industry Reorganize

Feb 17, 2025

Photo courtesy : carguy(www.carguy.kr)



In the automotive industry, AI is no longer an additional factor. With the opening of the electric vehicle era, software-oriented vehicles have attracted attention, and now the flow of AI being applied throughout the vehicle is accelerating.


In the midst of these changes, China's low-cost AI model 'DeepSeek' is quickly establishing cooperative relationships with local automakers. Recently, two of China's leading automakers announced that they would apply DeepSeek AI technology to their vehicles.


The first company is Geocha Group. Geely, which has several global brands such as Volvo, Polestar, and Zicker, announced the 'Full-Domain AI for Smart Vehicles' project at the 2025 CES.





What was announced at the time was to apply the AI model developed by Geely to the entire vehicle, including various functions using AI from voice commands to autonomous driving development. Through this, Geely presented a vision to create "warm, empathetic, and continuously evolving mobility artificial intelligence."


Geography did not just stay in its own AI development. Recently, in cooperation with DeepSeek's AI model 'DeepSeek R1', we are working on refining our AI more precisely. It is a so-called "distillation training" method that trains AI models in geography using deep-seated technology.


Through this, AI in geography is expected to improve voice recognition and command processing capabilities and spur the development of next-generation smart connected cars.





Dongfeng Motor Company

Another company working with DeepSeek is Dongfeng Motor Co. Dongfeng's high-end brand Boya is advancing AI integration further. In the announcement, Boya said its electric SUV "Careage" and MPV "Dream" models will be the first mass-produced vehicles to be equipped with DeepSeek's AI.


In particular, the coverage model will apply DeepSeek AI through the OTA update on February 14. DeepSeek AI is combined with Boya's existing smart cockpit system to improve AI response speed, accuracy, and scalability. Through this, it is expected that Boya will be able to speed up software improvement and apply customized features more quickly.





Jicker 7X

Adding AI technology to automobiles is an innovative attempt, but questions about its effectiveness remain. Nevertheless, DeepSeek has been quickly gaining ground in the Chinese automotive industry in recent weeks. Even OpenAI, a giant in the AI industry, is paying attention to DeepSeek's affordable and powerful performance.


Cooperation between automakers and technology companies in China goes beyond just software integration. It is not at the level of adding Apple CarPlay or Android Auto, but is developing into a form where AI directly controls the core functions of the vehicle. This is also part of a strategy to strengthen AI technology leadership in the Chinese automobile industry.


There is also the possibility that such a move will become an obstacle to the global market. Dipsych is currently under the checks of Silicon Valley and the U.S. government, and some experts predict that the Dipsych regulation will take effect soon. If the U.S. government bans the use of Dipsych, it will be difficult for electric vehicle products using AI to be sold in the U.S. market.


L in Geely Automobile's ThinU

These regulations may not be a big blow to Chinese domestic-oriented brands such as Boya. However, the situation is different for geography targeting global markets. Geely already operates Volvo and Polestar's software development separately from other divisions within Geely Group.


This is also a strategic choice to reduce risks in the U.S. market in the future. However, it is unclear whether such separate operations will be sustainable.Although the Chinese automobile industry is rapidly developing in combination with AI, challenges in the global market are also daunting.


While low-cost AI models such as DeepSeek threaten existing strongmen, it is still up for debate whether AI integrated vehicles can provide real value.


In the end, in order for China's AI technology to remain competitive in the global market, a strategy to manage political risks along with technological innovation is essential. The key is how successful Geely and Dongfeng will settle in the market with AI-based vehicles in the future.


Editor Kim Tae-won tw.kim@carguy.kr





This article was translated by Naver AI translator.