With Chinese tech companies such as Huawei and Xiaomi making their foray into the automotive industry, legacy carmakers risk being left behind in what is quickly becoming a tech war. A market as large as China, which sees sales of EVs hitting over a million units per month, needs special attention. This is why BMW has teamed up with Chinese e-commerce giant Alibaba in a quest to integrate AI into future models.

Read: Want A Ferrari 458 Shell? Alibaba Has One For $28,000

Alibaba may be best known for its online shopping empire, but like many tech giants, it has its fingers in many pies. One of these is AI, with the company doubling down on its ambitions. Alibaba’s Large Language Model (LLM) is known as Qwen, and the company has committed more than $50 billion to the platform over the next three years.

The first models to hit the Chinese market with the new tech will be the Neue Klasse series, set to roll out in 2026.

China’s Tailor-made AI Solution

Qwen is already available on models offered by some Chinese automakers, including Zeekr and Leapmotor. However, the partnership with BMW is a huge step for the platform, adding a global brand to its list.

BMW will be getting two AI agents, Car Genius and Travel Companion, to lead the charge inside the cabin. It’ll bring Alibaba-backed Banma’s Yan AI technology (based on Qwen) into BMW’s Intelligent Personal Assistant (IPA). This smart cockpit solution will enable more humanlike interaction, complex command handling, and seamless integration with digital ecosystems.

The aim will be to deliver an intuitive, AI-enhanced driving experience tailored specifically for Chinese customers. Bloomberg reports that the Car Genius will offer real-time vehicle assistance, while the Travel Companion will provide lifestyle services, intelligent trip planning, and even suggest restaurants based on user preferences, live traffic, and parking data. BMW says this will set a new benchmark in user-centric mobility.

China Matters

China is a critical market for any automaker, but with increased competition from domestic brands, companies like BMW can’t afford to play catch-up. That’s why partnering with Alibaba could be seen as a smart move, with the Bavarian manufacturer getting in on the ground level.

It’s a move that needs to pay off, too. Chinese sales of BMW and MINI brands declined by 13.4 percent in 2024, and this year’s projections don’t look great either. By investing in localized AI integration, BMW is not only hoping to boost its brand appeal but also close the gap with faster-moving domestic players.

For the automotive industry, especially in China, this partnership underscores a bigger shift. Software has become the defining factor in EV competitiveness. Local brands like BYD and Xpeng have surged ahead in the AI race, prompting legacy automakers to seek tech alliances to stay relevant. BMW’s collaboration with Alibaba is a direct response to these market dynamics.

The deal also highlights the growing dependency of European automakers on China for digital capabilities. As Mercedes-Benz’s Georges Massing recently admitted, Europe lacks the cloud and compute infrastructure necessary to train large AI models at scale, leaving traditional OEMs increasingly reliant on partners like Alibaba to deliver cutting-edge cockpit experiences.

In a market where innovation cycles are measured in months, not years, BMW’s tie-up with Alibaba might be the thing that makes a difference. As AI becomes a central battleground for automotive differentiation, those who can integrate it deeply and meaningfully into the driver experience stand to lead the next era of mobility.

With the Neue Klasse set to roll out from 2026 and Qwen-powered agents embedded in its DNA, BMW is betting big that its future in China will be written in code.

Remember the good old days when radio head units were a one-size-fits-all affair, and dealers or aftermarket suppliers could quickly and easily upgrade your car’s stereo with a screwdriver and a bit of elbow grease? The gradual replacement of single and double-DIN head units for proprietary layouts, screens, and software was heralded as progress. But when car manufacturers decide they no longer want to include a feature, it leaves frustrated owners without an option.

That’s what happened when General Motors decided to drop Apple CarPlay and Android Auto for its Ultium EV platform. Naturally, customers were a little miffed, but one dealer came to the rescue, offering to install an aftermarket solution that allows screen mirroring.

Read: Why GM’s Software Boss Thinks Ultifi Can Beat Apple CarPlay

But now GM has stopped it, according to The Drive. The dealer claims GM instructed them to stop offering the kit. Additionally, the manufacturer of the kit pulled the product from its website, claiming it was no longer viable to keep selling it.

Mirroring Dreams

Back in 2023, General Motors made the controversial decision to drop Android Auto and Apple CarPlay support from its new-generation EVs. Instead, it would offer its own smartphone-compatible software solution: Ultifi.

At the time, GM defended the move, saying that it helped the company offer a more “deeply integrated experience that you can create with the vehicle” by building a system from the ground up. The future of autonomy, as well as other features such as battery preconditioning, were all listed as reasons why GM’s own tech was the way forward.

As is often the case, the aftermarket seemingly came to the rescue when White Automotive and Media Services (WAMS) developed a kit that allowed OEM-like integration of the two most popular screen mirroring apps.

The only catch was that the WAMS kit wasn’t something a hobbyist or casual user could install. Instead, it required a specialist touch. A single dealership, LaFontaine Chevrolet in Plymouth, Michigan, was tapped to offer the professional install.

The Unsurprising Block

As you can easily guess, GM wasn’t very pleased with the situation. The company launched an investigation into the kit, and a company spokesperson said: “Aftermarket services that introduce features not originally designed, thoroughly tested, and approved by GM may cause unintended issues for customers. These issues could affect critical safety features and may also void portions of the vehicle’s warranty.”

It all sounds like this was a specialist piece of kit that, at best, modified and, at worst, wholly bypassed GM’s proprietary software. And with the amount of data that cars can collect nowadays, there’s also a question mark over just how protected one’s personal info is after the installation of a third-party device. As we’ve reported many times, though, that’s also a big issue for automakers themselves and how they use owners’ data, so it’s kinda the kettle calling the pot black.

Are We At The Mercy Of Automakers?

With the WAMS system only offered by one dealership and the complexity of the kit precluding DIY installers, it can be assumed that with the only distribution channel shut down, WAMS couldn’t see a future in the product.

However, it’s another stark reminder that as cars become more tech-laden, we’re increasingly at the behest of the manufacturers who can decide to end support for key selling points at any time. Not to mention putting already installed features behind a paywall despite the hardware already being there. Sure, they might call them subscriptions, but milking their customers trying to cash in for a software update by any other name still smells fishy.

Tesla stock is down some 35 percent, protests against the company appear to be heating up, and vandals continue to target the EV maker’s showrooms and products. Meanwhile, as questions are raised about Elon Musk’s suitability as CEO of the firm, a political tug-of-war is attempting to right the ship in the background.

Now, the U.S. representative for Virginia has openly called for an investigation into how the Trump administration is “using taxpayer money to enrich the President’s inner circle,” as Rep. Gerry Connolly claims that there has been an ethics violation.

Buy, Buy, Buy?

The statement under scrutiny was uttered earlier this week when Commerce Secretary Howard Lutnick made a reasonably pointed recommendation to the public: advising Americans to buy Tesla stock, likening its current share price to a once-in-a-lifetime opportunity. This remark was made during an appearance on Jesse Watters Primetime on Fox News, where he was asked about the ongoing attacks on Tesla, including those targeting dealerships, charging stations, and even private cars.

Read: Tesla’s European Sales Are Down 45% Even As EV Market Surges 31% In 2025

“I think if you want to learn something on this show tonight, buy Tesla. It’s unbelievable that this guy’s stock is this cheap. It’ll never be this cheap again,” Lutnick said in a Wednesday interview on Fox News. He added: “I mean, who wouldn’t invest in Elon Musk? You gotta be kidding me.”

However, one problem with his recommendation is that Lutnick may stand to benefit. According to a report from Yahoo Finance, Lutnick’s former firm, Cantor Fitzgerald, upgraded Tesla stock the same day and has invested heavily in the company. Though Lutnick has officially divested from the firm, his sons now occupy senior roles there, and Cantor maintains a $425 price target on Tesla following a visit to the automaker’s AI data center and production line.

More: Photo Shows Trump Reading Tesla Sales Pitch From Musk’s New White House Pop-Up Store

While some high-profile Republicans have rallied to Musk’s defense — Trump himself showcased Teslas at the White House and purchased two models — others are beginning to call for a leadership shift. Ross Gerber, a longtime Tesla investor and CEO of Gerber Kawasaki Wealth Management, is now urging Musk to step down. “He is not running Tesla,” Gerber told Sky News. “The business has been neglected for too long.”

Calls For An Investigation

But now, Lutnick’s endorsement is drawing scrutiny of its own. Representative Gerry Connolly, the ranking Democrat on the House Oversight Committee, has formally requested an investigation into Lutnick’s comments, arguing that a sitting Commerce Secretary encouraging the public to invest in a specific company—especially one tied so closely to the administration—crosses a clear ethical line.

More: Over 80 Tesla Cars Vandalized At Canadian Dealership In Possibly The Largest Attack Yet

“This is just the latest example of the Trump Administration using taxpayer resources to enrich the President’s inner circle,” Connolly wrote in a letter to the Department of Commerce’s acting general counsel, reported on by The Hill. He demanded Lutnick’s financial disclosures and internal communications related to the Fox interview, including emails with the White House, Office of Government Ethics, and other oversight bodies.

The investigation request follows a string of recent moves by the Trump administration to oust independent agency watchdogs and cut regulatory staffing—efforts Musk’s DOGE department has reportedly supported. Connolly accused Musk of using his dual role in government and the private sector to push through mass firings and deregulation while profiting handsomely from the chaos.

More: US Attorney General Goes After Tesla Attackers, 3 People Face Up To 20 Years In Prison

“Tesla is owned by an individual who has been given license by the President to slash and burn his way through the federal government,” Connolly wrote. “These ongoing violations of law require a response befitting of the level of abuse to deter further lawlessness and to ensure the American people that members of this Administration seek to serve all people rather than to enrich a select few.”

As the political spotlight burns brighter and ethical questions pile up, the Tesla-Musk narrative grows more complicated. What started as a revolutionary car company is now entangled in partisan warfare, federal investigations, and allegations of self-enrichment at the highest levels. Whether Tesla can steer through this storm or becomes collateral damage in a much larger conflict remains to be seen.

Lead image White House / YouTube

EV sales are on the up across several key markets, with China leading the charge with a 76 jump in February 2025, followed by Europe with a 29 percent rise. Even with a potential shift in US policy under the leadership of President Donald Trump, North America too has recorded significant growth – 20 percent up year-to-date.

While the rate of adoption may not have quite hit the lofty targets some manufacturers had, Cadillac is ready for a drastic shift towards electric cars. By the end of 2025, Cadillac will offer at least five EVs, including the Lyriq, the Escalade IQ and IQL, and the Optiq crossover. Soon, the three-row Vistiq will join the party, along with the ultra-luxury $300,000+ Celestiq.

Read: 2026 Cadillac Escalade IQL Is Long, Really Long

The new models are the backbone of Cadillac’s predictions that EVs will account for 30–35 percent of U.S. sales in 2025, a significant jump from the 18 percent they represented last year. “The momentum is really there,” said Brad Franz, Cadillac’s director of marketing, in an interview with CNBC. “We’re going to ride that momentum and we’re not launching the vehicles to redistribute the business among [internal combustion engines] and EV portfolio. It’s to grow the business.”

Scaling Back The EV Dream

Of course, Cadillac’s latest strategy is vastly different from what it had proposed a few years ago. Despite EV sales growing year by year, the rate by which they increase hasn’t quite met expectations. In response, Cadillac has walked back its initial plans to become an all-electric car manufacturer by 2030.

The party line is that the brand will let consumer demand dictate when combustion cars disappear from its lineup. Reading between the lines, parent company General Motors is also looking to hedge its bets with a new administration that campaigned heavily against federal support for EVs.

Crucially though, it isn’t stopping Cadillac from offering a full range of EVs. Its overall US sales grew by 8.8% in 2024, with Lyriq sales more than tripling since its late 2022 debut, so it seems there’s potential there. As the brand balances EV expansion with continued gas-powered offerings, its commitment remains clear: providing customers with choice in the evolving luxury vehicle landscape.

Ferrari may have fans from all age groups, but its core customers have traditionally been the preserve of those approaching a later stage in life—a stage often associated with crises. However, according to information from Maranello, the brand has started to attract a much younger clientele, with 40 percent of new buyers now being under 40.

That’s a jump of 10 percent from just 18 months ago and represents a dramatic shift for the car company, which prides itself on its exclusivity. But this shift isn’t just a footnote, it’s a sign that the prancing horse is galloping into a new era.

Read: Ferrari Patents Oval-Piston V12 With Weird Shared Conrods

Without going into the details of just how Ferrari managed to achieve this seismic shift in new car sales, Ferrari’s CEO Benedetto Vigna laid all credit to those around him. “I don’t know, for other brands, but for us, it is an achievement thanks to our team,” Vigna said, speaking to CNBC.

Still Exclusive, Still Ferrari

Enzo Ferrari’s mantra, to deliver one less car than the market demands, has been a hallmark of the company’s strategy — and according to Vigna, that’s not about to change. The brand is still keeping production tight, despite customers urging them to cut down on the more-than-two-year delivery window.

Vigna says that it’s part of the experience, and it doesn’t matter if it’s a 78-year-old looking to enjoy the final years of his life, or a 37-year-old keen to get the keys before his 40th birthday. The wait time will stay the same. Customers can beg all they want for quicker delivery times, but Ferrari isn’t in the business of mass production, and they aren’t about to start now.

“One client at 78-years-old had to buy a Ferrari and he said: ‘Look, I cannot wait two years.’ I said: ‘This is a motivation’,” Vigna told CNBC. “There is another guy, younger, 37, and he said: ‘When I am older, I would like to get the car before I am 40.’ I said: ‘Don’t worry, you will get it when you are 39,’” he added.

One thing that won’t stay the same is the way some Ferraris are powered. The Italian sportscar maker is gearing up to launch its first fully electric vehicle on October 9, alongside five other new models this year. Vigna is confident in the brand’s three-pronged approach: traditional combustion engines, hybrids, and fully electric Ferraris.

Of course, not everyone is on board with an EV Ferrari. Some loyalists won’t consider anything without a high-revving, naturally aspirated V12, but the company’s CEO suggests that there’s a new wave of customers who will only buy if it’s electric.

Last month, BMW introduced the Neue Klasse Vision vehicle to us — a preview of what to expect tech-wise from the German brand’s upcoming range of new-generation EVs. One of the headlining features of the Vision vehicle’s tech was the “Heart of Joy” superbrain that controlled how its future EVs drive and feel.

Fast forward to now, and BMW has unveiled three additional control units for the upcoming iX3, which was confirmed today for a September debut. These will all be part of a whole new “digital nervous system” set to power every Neue Klasse model. Along with the Heart of Joy, one superbrain will be dedicated to autonomous driving, another will manage BMW’s Panoramic iDrive (aka, infotainment), and a third will manage the remaining ancillary functions, such as lighting and climate control.

See: 2026 BMW iX3 Neue Klasse Renders Patents Into Reality

To make this happen, BMW has crammed an insanely powerful central computing system into their next-gen cars, claiming it’s 20 times more powerful than what’s in their current lineup. They’ve also put considerable thought into the wiring that connects these digital masterminds.

Enter their “zonal wiring harness architecture”, essentially a fancy way of saying they’ve simplified the car’s internal wiring by dividing it into four zones: front, center, rear, and roof. The result? A reduction of 600 meters of wiring and a 30% savings in weight. Less bulk, more efficiency.

Smarter Power Management

In addition to beefed-up computing, BMW is also replacing 150 traditional fuses with something called digital ‘smart e-fuses.’ These aren’t just fancy circuit breakers; they actively manage power distribution to improve energy use by 20%. In other words, your BMW will be smarter about when and where it uses power — whether it’s driving, parked, or charging. Welcome to the world of intelligent energy management.

On top of that, BMW is going all-in on over-the-air software updates. With more than 1,000 software modules, 20GB of software, and a staggering 500 million lines of code, future BMWs will essentially be software-defined vehicles. That means no more waiting for the dealership to install the latest updates; your car will simply upgrade itself.

Looking ahead, BMW’s long-term strategy is to keep developing in-house where it matters — like driving dynamics and infotainment — but partner with top-tier software companies for less brand-defining tech. They’ve also built an in-house software development powerhouse with over 10,000 engineers, ensuring they stay ahead of the game.

Much has been written about Jaguar’s rebrand. In the car world, it was perhaps the most talked-about event of 2024, with the story making the leap from social media into mainstream media, as everyone seemed to have an opinion on it. Only 32 percent of Carscoops readers liked the company’s new look in our own poll, while Jaguar’s own Chief Creative Officer reportedly had to tell journalists that his team had “not been sniffing the white stuff.”

Aside from the new logos and bold expressions of change, what seemed to upset people the most was a somewhat ambiguous advert that featured no cars – just models wearing loud clothes with bold colors. This caused some commenters to wonder if the Jaguar of old had gone “woke.”

Poll: Do Your Love Or Hate Jaguar’s New Look?

But now that the dust has settled, and with the conversation finally coming back to the all-new car it will offer, Jaguar’s boss has spoken openly about that controversial relaunch. Speaking to Auto Express, the brand’s managing director Rawdon Glover admits that the company misjudged how the messaging would be received but stands by the need to shake things up.

Jag Doesn’t Want To Push Old Customers Away

One of the biggest criticisms leveled at Jaguar when the campaign kicked off was that they risked alienating the traditional, stiff-upper-lip customer base. While it was predictable that a number of Jaguar fans would be turned off by the switch to EVs, no one could have predicted how different the brand appears to have changed.

However, its managing director wants to set the record straight: Jaguar wasn’t trying to be woke. “We definitely weren’t saying ‘we’re about diversity’,” explains Rawdon Glover. “The creative concepts and the individuals were chosen because they were very modern, striking, and bold. And we presented a car that was very exuberant, bold, and modern.”

“If an individual [posts] ‘I really don’t like this because it’s woke’ then the algorithms just feed that,” he added. “So a whole load of people commented about us who we certainly didn’t set out to inflame or upset: they’re not a target audience that will ever buy the car. But there’s a difference between Jaguar as a brand and JLR as a corporate entity, which is absolutely an advocate for DE&I.”

Read: Jaguar’s Type 00 Makes Real-Life Video Debut

He reiterated that JLR is an advocate for DEI but the core message of the Jaguar relaunch was lost during the social media hullabaloo. That now infamous video, sans car, perhaps led to an information gap, which was quickly picked up by social media algorithms. There was no explanation as to why the Jag of old had to be reinvented, nor was there information about the new push upmarket.

“Social media is not a great channel for nuance and explanation,” says Glover. “It’s much more binary: I love it, I hate it, it’s this, it’s that. Delivering that message and taking people on that journey requires us to tell that story over and over again. That’s my key learning from it.”

While sticking to his guns that the company needed a fresh clientele, Glover says that it was never its intention to alienate their existing customers. “What got lost is that we do care about our existing clients. Why would you not want to bring as many of your current base along as possible? We’ve been investing a lot of time bringing our existing fans, customers, and classic enthusiasts along on the journey – it’s really important to us.”

The Change That Is Needed

Perhaps Jaguar doesn’t want to push old customers away with their marketing efforts. However, it’s hard to deny that their new upmarket strategy won’t do that for them. With only the F-Pace still in production, global car sales sunk to just 33,000 last year, way down from its 181,000 record in 2018. But the automaker is ready to get used to a new normal, with Glover claiming they’re comfortable selling even less once their new range goes on sale next year.

And sell fewer cars they probably will. With the new four-door GT expected to cost between $140,000 and $170,000 when it launches, Jaguar anticipates that roughly 85% of its current customers will be priced out—leaving just 15% to make the switch. But as Glover points out, the old strategy wasn’t doing the brand any favors anyway.

Yes, that record year of 181,000 units may seem impressive in isolation, but rather less so when you consider that BMW managed to sell 2.1 million cars in the same year. “We do need to create and attract a new client base,” Glover conceded. “Changing brand perception takes a long time. And it needs to be underpinned by a super-compelling product because marketing will only take you so far.”

Still Going EV-Only

The first production car that heralds its new era has yet to be fully revealed, but Jaguar promises it will embrace the design language seen in the Type 00. For the electric grand tourer, Jaguar hopes to achieve a range of 430 miles (692 km) on the more stringent EPA test cycle and much faster recharge times. Part of how it will achieve this is from a new Nickel Manganese Cobalt battery being developed by Agratas, a company owned by Jaguar parent company Tata. The car will ride on an in-house-designed platform, roll on 23-inch wheels, and will be the most aerodynamic model the firm has ever made.

Glover is keen to point out that, unlike some its rivals, Jaguar will not backtrack on its promise to sell only EVs: “No, we won’t be putting a plug-in hybrid in that lovely long bonnet,” he pledged. The commitment comes at a time when the likes of Porsche, Volvo, and Lotus are all reconsidering their options when it comes to the future of EVs.

Other details revealed include how it’s not just the car that is going upmarket, but the whole buying experience, too. There will be new retail and experience stores with a lounge-like feel. There’s even talk of prospective buyers being served food created by Michelin-starred chefs and that the new cars will feature optioned virtual reality as an option. However, Jaguar will also have much fewer dealers, with its network being shrunk by around 75 percent.

Cast your mind back a few years, and the internet was rife with speculation that Apple was about to launch its own automobile. The tech giant had been linked to partnerships with all kinds of automakers, including Hyundai, Kia, Porsche, BYD, and Toyota. However, early last year, reports emerged that the ambitious project had officially been canned, with up to around 600 employees given their marching orders or being retrenched within the company.

While we may never know just how close the world came to an “iCar”, what we do know is that one of Apple’s tech rivals has quietly gone about bringing its own EV to market. That rival is Xiaomi, another tech company that managed to sell 135,000 units of its SU7 in China since it debuted in March 2024.

Read: Apple Lays Off 614 Workers After Canceling Electric Car Project

While Xiaomi is best known in the West for its phones, at home, the company has developed a connected ecosystem of consumer products that even the likes of Apple, Samsung, and Google can only dream of. From smart lights to air purifiers to robot vacuum cleaners to blenders, the company offers a wide range of consumer tech products, all of which are controlled from one app. And that’s exactly why a car is a great addition to the company’s lineup.

All About The Ecosystem

Nowadays, tech companies aren’t interested in selling you a singular device – they’re more invested in offering a whole ecosystem, the benefits of which can only be truly reaped once you commit to a company’s products. Whether it be the ease with which an iPhone can communicate with a Macbook or how seamlessly a Galaxy smartphone can stream to a Samsung TV, ecosystems are all around us. Even cars are judged based on whether they offer CarPlay or Android Auto.

However, Xiaomi offers buyers more than just an infotainment system. By selling its own car, Xiaomi can potentially attract clients to its network of connected devices like never before. The SU7 can use data collected from those other devices to ready itself for a user’s routine, such as determining the best time to recharge the car’s batteries.

“Xiaomi has really started infiltrating your home,” said Gary Ng, an economist with Natixis Corporate & Investment Banking, speaking to the New York Times. “Everything is linked together, and this is something other companies couldn’t do.”

China’s Supply Chain Success

Another factor that allowed Xiaomi to develop its first car quickly is the environment in which it operates. China’s electric car makers have been the beneficiaries of billions of dollars worth of state support. The supply chain for EVs is practically wrapped up inside the nation, with Xiaomi securing battery supplies from BYD and CATL, two of the world’s largest battery makers. The company then took over a manufacturing plant from Beijing Auto Group before pumping out its new sedan.

In all aspects, Xiaomi managed to hit the ground running. Now, with plans to launch a second car in the form of an SUV, and construction of a new manufacturing plant well underway, its automotive plans are full steam ahead.

See Also: Xiaomi President Confirms Global EV Expansion Coming Soon

Of course, success is still far from guaranteed. The company faces intense competition from a wide range of home-grown rivals, including electronics rival Huawei, which has teamed up with multiple automakers.

But Xiaomi is also putting up a fight against foreign brands. With the SU7 starting at just $30,000, it offers Porsche-like looks with class-leading tech. Coincidentally, in the year since the Xiaomi SU7 was launched, Porsche’s sales in China were down 30 percent.

With more and more Chinese automakers looking for success outside of their home nation, it could be a matter of time before more of the globe starts seeing the SU7 as a compelling option.