Li Auto CEO highlights challenges in AI-driven automotive progress
The CEO of Li Auto calls for a reevaluation of AI deployment in the automotive sector, emphasizing that true advancement will occur when AI evolves into a productivity powerhouse rather than just an assistant.
By China Daily
Key Points:
- AI's Current Limitations: Li Xiang, CEO of Li Auto, argues that AI has yet to significantly reduce human workload, despite rapid improvements. He emphasizes that AI must transition from being a glorified assistant to a true productivity engine.
- Three-Stage Framework: Li outlines a framework for AI adoption:
- Information Tool (e.g., search engines)
- Assistant Tool (e.g., chatbots)
- Active Agent (replacing human labor in high-intensity tasks)
- Smart Driving Challenges: The auto industry's focus on intelligent driving systems faces scrutiny after a fatal Xiaomi car crash in March. China's Ministry of Industry and Information Technology has since called for clearer marketing and transparency about system limitations.
- Li Auto's AI Investments: The company has tripled its budget for AI development, focusing on a proprietary vision-language-action (VLA) model tailored for automotive data. Li compares this effort to building "the Android of smart driving."
- Open-Source Commitment: Li Auto plans to open-source its operating system, Li OS, to contribute to the community, following the example of DeepSeek's public release.
- Future Vision: Li envisions AI transforming in-car experiences, particularly for family users, by integrating high-definition vision, natural language understanding, and precise vehicle control.
Industry Context:
- McKinsey highlights the smart cockpit as a new growth area for carmakers, shifting focus from transportation to personalized in-car experiences.
- Li remains optimistic about smart driving, calling the current challenges "the darkest hour before the dawn."
Quotable:
"People assume you open-source something because it's weak. Actually, we're sharing it because we think it's strong." — Li Xiang, CEO of Li Auto
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About the Author

Dr. Emily Wang
AI Product Strategy Expert
Former Google AI Product Manager with 10 years of experience in AI product development and strategy formulation. Led multiple successful AI products from 0 to 1 development process, now provides product strategy consulting for AI startups while writing AI product analysis articles for various tech media outlets.