Byton wants to recover by collaborating with Foxconn

In January 2021, Byton announced that the company made a partnership with Foxconn Technology Group.

BYTON, Foxconn Technology Group and Nanjing Development Zone officially signed a strategic cooperation framework agreement. They will jointly accelerate production of BYTON’s 1st model M-Byte by the first quarter of 2022.

According to the agreement, Foxconn will provide its expertise in advanced manufacturing technology, solid operational management experience. It also will share industrial resources to support the production of BYTON’s M-Byte. The series version of the premium electric SUV BYTON M-Byte celebrated its premiere at the IAA Frankfurt in 2019. The product features seamless connectivity and unique user experience. Thus, the partnership will advance the growth of each company’s EV business and foster a greater development of the EV industry.

Byton completed to construct BYTON’s industrial 4.0 manufacturing base in Nanjing. In addition, it has all advanced facilities for stamping, welding, painting, general assembly and battery packing being installed and commissioned. The first batch of pre-production vehicles rolled off the production line. Also, it completed safety tests in the first half of 2020. BYTON received a new energy vehicle production license in June 2020.

Who is Byton?

Based on its homepage, we can see the vision of Byton as follows.

We embrace the high velocity nature of tech and reinterpret what the automobile could be.

BYTON’s founders embarked on a journey to create a new automotive brand – one that embraces the high velocity nature of high tech – to reinterpret what the automobile could be.

Our philosophy is simple – make your user experience amazing, so we’re designing our vehicle around this vision. More than just another electric car, we’re creating the next – generation smart device on wheels to seamlessly connect your digital life and make your time on the move more enjoyable..

Who is Foxconn Technology Co Ltd?

According to Reuter, we can seee company profile of Foxconn Technology Co Ltd in the following way.

Foxconn Technology Co Ltd is a Taiwan-based company principally engaged in the research and development, manufacture and sale of computers, communications and consumer electronics (3C) products. The Company provides metal shells, structural components, thermal modules and game console assembly products. The Company’s products are applied in the manufacture of desktop computers, notebook computers, tablet computers, servers, mobile phones, projectors, e-book readers, digital cameras, servers, workstation radiators and home game consoles. The Company mainly distributes its products in China, the United States and Japan.

EV production: Easier said than done

In our previous article, Byton shows its excellence at CES 2020. However, several media reported that the Chinese EV startup faced financial difficulties. Byton seeemed to be “Chinese version Tesla” at first, but the company still has problems to manufacture electric vehicles massively. Therefore, the partnership with Foxconn can help “Chinese version Tesla” succeed in the EV market.

Even though megatrends including carbon neutrality give incentives to grow the global EV market, the mass production of electric cars can be expressed by the proverb “easier said than done”. In 2020, the market capitalization of Tesla surpassed that of Toyota. What’s more, the value of Tesla reaches three times as high as that of Toyota in January 2021. Due to this success, we can easily forget the fact that even the American EV giant faced the same challenge: Mass production. Thus, we can forecast more companies have to overcome the same obstacle to succeed in the EV market.