XPeng partners with Huawei to take action on HUD

Author | Wang Xiaojun

Editor | Chai Xuchen

The two most representative players in China's new energy vehicle intelligent assisted driving sector have surprisingly "tied the knot," but only in the HUD field.

On June 5th, XPeng Motors and Huawei Intelligent Automotive Solutions jointly launched a vehicle-mounted AR-HUD product named "Chasing Light Panorama." This is the world's first truly AI-integrated HUD solution, also known as the AR-HUD with the best visual effects. The system will first be equipped in the XPeng G7 model, and this feature has become one of the highlights of the XPeng G7's advanced preheating.

Based on this cooperation news, XPeng's stock price saw an intraday increase of over 5% on the day of the official announcement.

In this collaboration, XPeng provides software capabilities, while Huawei offers hardware support, with both parties committed to launching what is claimed to be "China's best AR-HUD."

In recent years, HUD (Head-Up Display) has become a selling point for many high-end new energy vehicles.

HUD was first used in combat aircraft. In 1988, General Motors introduced this technology into civilian vehicles for the first time; however, due to the limitations of optical technology and costs at that time, HUD long existed merely as an embellishment for high-end cars.

In recent years, AR-HUD can project key information directly into the driver's line of sight, allowing drivers to obtain information without leaving the road view, making it one of the most sought-after intelligent configurations in recent years.

At the same time, thanks to the efforts of domestic manufacturers, the hardware costs of this system have further decreased, and its penetration rate continues to rise. According to statistics from the Gaishi Automotive Research Institute, the penetration rate of HUD in the domestic passenger car market exceeded 14% from January to March 2025, maintaining a growth trend.

However, while there are many HUDs equipped in high-end new energy vehicles in recent years, there is still controversy among users about whether "HUD is a magical tool or a useless feature."

The industry has found that traditional AR-HUDs have long been criticized for being "invisible in bright light, causing dizziness with dynamic images, and misaligned navigation information." This is because creating a good AR-HUD requires a combination of software and hardware capabilities, rather than simply projecting information.

According to XPeng Motors Vice President Chen Yonghai, HUD is a smart product with a very close integration of software and hardware. The hardware needs to ensure that parameters such as image size and contrast are sufficiently good; while the software must control the content style of the displayed information, including shape, color, dynamic, static, and timing of the display. The design of the software determines the upper limit of the experience.

XPeng has begun exploring HUD by directly addressing these industry pain points, aiming to transform the windshield into the "smart first screen," allowing users to see more clearly and drive more safely.

Also, because AR-HUD requires an excellent hardware platform, XPeng chose to collaborate with Huawei.

It is reported that Huawei's Intelligent Automotive Solutions BU will invest over 10 billion yuan in R&D in 2024, which will provide an excellent hardware platform for AR-HUD, ensuring that key indicators such as display clarity, brightness, and color performance reach industry-leading levels XPeng is focusing on software development, utilizing end-to-end AI driving algorithms and strong perception design capabilities to make the AR-HUD truly "intelligent," capable of understanding road conditions, predicting behaviors, and providing personalized display content.

For high-frequency scenarios in daily use, XPeng has also implemented corresponding solutions in this system.

In navigation scenarios where frequent glances at the screen are needed to understand the route, which not only distracts attention but also makes it easy to go the wrong way, the "Chasing Light Panorama" heads-up display achieves the industry's first AR lane-level navigation.

Specifically, the system directly "draws" the navigation route on the windshield, perfectly aligning with the real road, fundamentally changing the traditional navigation method that requires drivers to look down at the screen. Whether changing lanes, turning, or navigating complex intersections, the system will inform users where to drive through an AR light carpet, achieving "what you see is what you drive." At junctions, the system will also mark directions that cannot be taken with an "X," preventing drivers from going the wrong way.

In scenarios using assisted driving, this system also features AR-assisted driving capabilities, establishing user trust in the intelligent assisted driving system through comprehensive visualization of AI driving intentions. For example, when the intelligent assisted driving system is preparing to change lanes, the AR-HUD will display the lane change intention in advance; when encountering traffic lights, the system will indicate whether it will automatically start and stop; when overtaking, it will show the path selection for overtaking.

In terms of safety warnings, XPeng's AR-HUD also provides the most comprehensive AR safety assistance in the industry, covering all safety scenarios. For instance, in poor visibility due to rain or fog, the system will automatically identify the position of the vehicle in front and the lane boundaries; when passing on narrow roads, it will provide early warnings and display safe passage paths; when approaching curves, it will give warning prompts based on speed and curve conditions.

Additionally, the system can handle sudden dangerous situations such as pedestrian ghosting, speeding risks, adjacent vehicle cutting in, and blind spots during lane changes, which is also referred to as the industry's most comprehensive imaging display.

However, currently, these features are only showcased in presentations, and the actual effectiveness will only be determined after the XPeng G7 is launched. It is understood that the XPeng G7 will officially debut on June 11 and will be delivered in the third quarter, at which point the actual capabilities of this feature will be formally tested by users.

This partnership between XPeng and Huawei also reflects a new stage in market competition within the automotive industry. At the end of 2023, the two companies had previously clashed online over AEB, but now they are joining forces on AR-HUD. This indicates that the industry is moving forward, and competition or cooperation depends on market demand