Sources confirmed to Reuters that Xpeng Motors is growing as one of China’s most modern new electric car startup, earlier in the current month; the firm reported a $500 million financing round. Presently, Xpeng is in dialogue to get an additional $300 million.
People known to the matter said that taking part in the recent funding round is Qatar’s sovereign wealth fund. Qatar’s supreme wealth fund is among the world’s most significant wealth funds, with approximately $300 billion in assets under the supervision.
Xpeng, launched in 2014, received $400 million in a financing round in November 2019. The latest $300 million financing round will be equivalent to $1.2 billion contributed by Xpeng since November, as the electric car manufacturer anticipates competing with the automaker giant, Tesla, in China, which is the global biggest auto market.
The sources told Reuters, not including additional details, that the fresh funding will be aimed at research in areas such as smart vehicle technologies.
During April, Xpeng Motors started releasing its latest, entire-electric flagship P7 sedan in China, and it is the second electric car for the company. The P7, which Xpeng terms as a “Smart Sedan,” is a massive competitor to the Model S and Model 3 of Tesla in China. The vehicle accomplishes a 439 Miles NEDC Range, the greatest of all Electric Vehicles China has ever sold.
Xpeng collaborated with Contemporary Amperex Technology Ltd, a battery manufacturer of China, to build up the P7’s pouch cell (prismatic) lithium Nickel Manganese Cobalt Oxide (NCM) battery cells. The super-thin battery set is just 110 mm in height, getting to 170 Wh/kg power densities while giving 80kWh of energy.
Unlike vehicles from Tesla that sell at a first-rate in China, Xpeng aims at younger, tech-savvy customers, and it is more inexpensive, yet highly sophisticated electric cars. The auto manufacturer states that they provide a similar level of expertise, connectivity traits, and performance in the P7 for close to $50,000 less compared to the Model S of Tesla.
Xpeng is operating on its own sophisticated autonomous driving method dubbed “XPilot” set to provide autonomous cars. The entire auto manufacturer’s independent driving expansion is done in-house. For the company to uphold control over the whole stack of software, comprising the operating system of the vehicle and other features such as automated driving, this will lead to more product sales in the industry.