Chinese companies gain ground in patents and market share

NAOSHIGE SHIMIZU, Nikkei staff writer
January 8, 2024 07:01 JST

TOKYO -- Chinese companies are strengthening their presence in light detection and ranging sensors crucial to self-driving technology, greatly exceeding Japanese and American counterparts in related patents and controlling more than half of the global market.

The intense competition in developing electric vehicles in China has spurred more sophisticated lidar, which serve as the "eyes" for automated driving.

Lidar systems emit a laser beam to measure the distance to surrounding objects with high precision. Such driving assistance functions as measuring the distance between vehicles mostly use cameras and conventional radar. Lidar, a more advanced version of this technology, is seen as an important component for achieving fully automated driving.

According to Tokyo-based Patent Result, Chinese companies have filed 25,957 related patent applications since 2000, compared with 18,821 by American companies and 13,939 by Japanese companies.

Germany's Bosch holds the most patent applications, followed by Japanese auto parts supplier Denso. China's RoboSense and Hesai Technology come in fourth and fifth. The two Chinese companies have increased their numbers sharply since 2015.

According to French research firm Yole, Hesai led the automotive lidar market in 2022, with a 47% share. There are two major types of lidar: one for fully automated driving, and the other for driver assistance. Hesai is strong in lidar for fully automated driving, which carry high unit costs. The company supplies GM Cruise, a General Motors group company, and China's Baidu.

RoboSense specializes in the less expensive lidar for driver assistance. It delivered 57,000 lidar units in 2022, with sales tracking higher. Such Chinese automakers as Zheijiang Geely Group Holding and Xpeng Motors have decided to adopt the product.

"Hesai and RoboSense have a high level of technology and will be a driving force in the global lidar market in the years to come," says Shuji Tanaka, a Tohoku University professor specializing in robotics.

For example, Xpeng launched an EV equipped with two RoboSense lidar units, which provide enhanced driving assistance on general roads in addition to highways. According to Yole, more than 100 lidar-equipped models will be launched in the Chinese market between 2023 and 2025.

Far fewer vehicles are equipped with lidar in Japan, the U.S. and Europe. Automakers in these markets have focused their efforts on the development of EVs, falling behind in the development of automated-driving technology.

Lidar developers in Japan, the U.S. and Europe are struggling as a result. Bosch recently decided to discontinue development of lidar, with plans to shift development resources to other sensors in high demand. This includes radio wave radar for use in Level 2 automated driving, which requires constant monitoring by the driver.

https://asia.nikkei.com/Business/Automobiles/China-extends-lead-in-lidar-tech-crucial-to-self-driving-cars