Shares of Hesai Group, a leading provider of lidar sensors for autonomous driving, soared 9.75% in intraday trading on Wednesday. The stock's rally was fueled by the company's plan to halve the price of its main lidar product next year, potentially boosting widespread adoption in electric vehicles.
Hesai Group announced that it aims to slash the price of its ATX lidar product, used in advanced driver assistance systems (ADAS), to under $200 in 2025. This represents a 50% reduction from the current AT128 model's price. The company expects this price cut to make lidar technology appealing even for budget EVs priced below $20,000, driving higher adoption rates across the industry.
The planned price reduction will be facilitated by Hesai Group's use of self-developed chips and improved factory operations. CEO David Li likened the move to the popularization of lidar as a standard safety component for EVs, akin to the adoption of airbags and seatbelts.
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