Huawei Sold Off Aito Trademarks, Patents to Comply With Rule, Executive Says

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Yu Chengdong, head of Huawei's smart vehicle business unit, introduces the Aito M9 at a launch event on Dec. 26, 2023, in Shenzhen. Photo: VCG

Huawei Technologies Co. Ltd. recently offloaded the intellectual property of its electric vehicle (EV) brand Aito to its automaker partner in order to comply with a rule requiring a car brand be owned by its manufacturer, an executive at the Chinese tech giant said.

Huawei sold Aito’s trademarks and patents to Seres Group Co. Ltd. (601127.SH), with whom it developed the brand, earlier this month in accordance with the national regulation about brand ownership, which authorities have been enforcing more stringently in recent years, Richard Yu, chairman of Huawei’s smart car unit, said in a livestream Monday.

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Huawei transferred Aito’s intellectual property to Seres Group to comply with brand ownership regulations.
The Harmony Intelligent Mobility Alliance, including partners like Chery and JAC, emphasizes Huawei’s role as a smart tech supplier.
Aito dominates the alliance's sales, with Huawei’s other co-developed models like Luxeed S7 struggling to match its success.

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Who’s Who

Huawei Technologies Co. Ltd.: Huawei Technologies Co. Ltd. offloaded the intellectual property of its EV brand Aito to Seres Group Co. Ltd. to comply with ownership regulations. Despite earlier regulatory encouragement for non-carmakers to enter the EV market, Huawei rebranded its Smart Selection ecosystem to Harmony Intelligent Mobility Alliance, focusing on smart driving technologies. Huawei's Aito brand is responsible for most of its vehicle sales, while its new models with partners like Chery and JAC face mixed success.

Seres Group Co. Ltd.: Seres Group Co. Ltd. (601127.SH) is Huawei's automaker partner with whom the Aito EV brand was developed. Huawei recently sold Aito’s trademarks and patents to Seres to conform with regulations that mandate car brands be owned by their manufacturers. Seres is part of Huawei’s Harmony Intelligent Mobility Alliance and collaborates closely in the design, development, and marketing of vehicles.

Chery Automobile Co. Ltd.: Chery Automobile Co. Ltd. is a partner of Huawei's Harmony Intelligent Mobility Alliance. The two companies co-developed the Luxeed S7 electric sedan, which had supply and delivery issues prompting a relaunch. They also plan to launch the Luxeed R7 electric SUV in September.

BAIC BluePark New Energy Technology Co. Ltd.: BAIC BluePark New Energy Technology Co. Ltd. is one of Huawei’s partners in the Harmony Intelligent Mobility Alliance. The first model co-developed by Huawei and BAIC BluePark, the Stelato S9 luxury sedan, is set to debut in the first half of August.

Anhui Jianghuai Automobile Group Corp. Ltd. (JAC): Anhui Jianghuai Automobile Group Corp. Ltd. (JAC) is a partner in Huawei’s Harmony Intelligent Mobility Alliance. Although the formal English name for their premium co-developed auto brand hasn't been announced, JAC Chairman Xiang Xingchu mentioned that several models are in the pipeline, with the first expected to hit the market in the first half of 2025.

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What Happened When

December 2021：: Huawei and Seres established the Aito brand after sales of their first Smart Selection-branded EV, the Seres SF5, fell short of expectations.

April 2024：: Huawei relaunched the Luxeed S7 electric sedan, which it co-developed with Chery, after addressing some supply and delivery issues.

June 2024：: Huawei sold 46,141 vehicles under the Harmony Intelligent Mobility Alliance, about 93% of which were from Aito.

June 2024：: Yu announced plans to launch the Luxeed R7 electric SUV, the second model co-developed with Chery, in September 2024.

July 2024：: Huawei sold Aito’s trademarks and patents to Seres Group Co. Ltd. in accordance with national regulations.

July 15, 2024：: Richard Yu, chairman of Huawei’s smart car unit, announced the sale of Aito’s trademarks and patents to Seres during a livestream.

July 2024：: JAC Chairman Xiang Xingchu stated that Huawei and JAC would collaborate on several models under the Harmony Intelligent Mobility Alliance, with the first set to hit the market in the first half of 2025.

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