Xpeng to offer its technology to additional manufacturers beyond Volkswagen
Chinese electric car manufacturer Xpeng reportedly plans to offer its platforms and software solutions to other foreign automotive groups in the future. In addition to its existing cooperation with Volkswagen, the company aims to tap into new revenue streams.
Image: Sebastian Schaal
Citing industry sources, Reuters reports that Xpeng is already in contact with potential partners who have expressed interest in collaboration. The goal is to tap into additional revenue streams in vehicle software and electronics, alongside its current business, which primarily involves selling its own vehicles and providing development services to partner Volkswagen.
The technology portfolio that Xpeng reportedly aims to offer to external partners includes key components of its modern vehicle architecture. These could include electrical and electronic architecture, intelligent cockpit systems, Turing AI chips, and advanced software for driver assistance systems. In addition to traditional automakers, the report states that foreign software developers and automotive suppliers are also being targeted as potential partners.
Xpeng also seeking to license robotaxi technology
Furthermore, Xpeng is looking to expand its licensing and development business into the realm of ‘Physical AI‘. This includes applications such as robotaxis, humanoid robots, and the operational implementation of robotaxi fleets. Around six months ago, the company established a strategic commercialisation team to build new partnerships based on the experience gained from its alliances, the report adds.
This strategic realignment follows a period of significant growth in the services sector. While the traditional vehicle business has come under pressure due to shrinking margins and intense price competition, the services and other business segments have recently seen strong growth. Specifically, in the second quarter of 2026, revenue increased by 93.9 per cent to 2.70 billion Yuan (~€350 million euros). The primary driver of this growth was technology-related research and development services for Volkswagen.
VW cooperation leads to first vehicles
The cooperation with Volkswagen, which was sealed in July 2023 through a 5 per cent stake acquisition by the Wolfsburg-based company, also looks set to serve as a model for further collaborations. The jointly developed electric model, the ID.UNYX 08, for the Chinese market is based on Xpeng’s Edward platform and utilises cockpit systems, smart driving technologies, and itsTuring chips. Soon, the first electric vehicles from VW in China – based on VW’s newly developed ‘China Electronic Architecture‘- are also expected to follow. By opening up to additional international customers, the company aims to further expand this high-margin business segment.