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Technology Stocks : "NIO, XPEV, LI, BYD.. China's Quads
BYDDF 13.03-3.9%Oct 30 3:57 PM EDT

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From: Julius Wong7/7/2025 7:34:04 AM
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XPeng jolts the electric vehicle sector with its new SUV powered by a Turing AI chip

Jul. 07, 2025 6:30 AM ET
By: Clark Schultz, SA News Editor

XPeng (NYSE: XPEV) is creating some waves in the electric vehicle sector after unveiling its Turing chip in its latest electric vehicle model.

The Turing chip is XPeng's (NYSE: XPEV) groundbreaking, self-developed artificial intelligence processor that the company designed to power the next generation of smart electric vehicles and advanced mobility platforms. Developed internally by XPeng ( XPEV), the Turing chip was said to represent a major leap in automotive AI, offering unprecedented computing power and efficiency tailored for autonomous driving and intelligent cockpit systems. The 40-core processor and two proprietary neural processing units set the chip up to run large-scale AI models through its impressive computing capability of 700 trillion operations per second per chip.

The Turing chip is equipped with a 40-core processor and integrates two proprietary Neural Processing Units (NPUs). The specialized architecture of the chip is optimized for neural networks and large AI models.

Notably, XPeng's ( XPEV) Turing chip debuted this month in the G7 SUV. The new G7 electric SUV in China entered the fiercely competitive electric crossover market with a starting price of just 195,800 yuan ($27,325) and is seen as positioned squarely to compete with the Tesla Model Y ( TSLA) and the new Xiaomi ( OTCPK:XIACF) YU7. Early reviews of the AI-enhanced G7 have been positive, especially with the Turing chip seen as a competitive edge.

The chip development is seen as a new phase in the partnership between XPeng ( XPEV) and Volkswagen (OTCPK:VLKAF). In July 2023, Volkswagen ( OTCPK:VLKAF) invested $700 million for a 4.99% stake in XPeng ( XPEV), initiating a strategic alliance to co-develop electric vehicles tailored for China. Looking ahead, XPeng ( XPEV) is actively pursuing partnerships to supply the chip to other automakers. "Developing chips is fundamentally a long-term commitment, as Xpeng envisions doing a lot of things across cars, aircraft, and robotics," XPeng ( XPEV) CEO He Xiaopeng stated in an interview.
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