Nio launches smartphone to be used in conjunction with electric vehicles

Speaking at the launch event, Nio CEO William Li said the Nio Phone has more than 30 car-specific features and has made a breakthrough in connectivity technology. Drivers can use the phone to direct the self-driving car to a parking spot (allowed in China in designated areas and at low speeds), as well as open the car door even when the phone is turned off.

The phone is currently available in three models, priced between 6,499 and 7,499 yuan ($890 to $1,030). The Nio Phone will only be sold in the Chinese market and is expected to start shipping on September 28.

This is Nio's latest foray into the smartphone-automotive mix. In March 2022, smartphone maker Meizu, which was acquired by automaker Geely last year, launched a smartphone that can connect to Geely's Lynx & Co.-branded cars. Smartphone maker Xiaomi is also preparing to start making cars.

Nio, ranked ninth among electric and hybrid carmakers in China, has doubled down on technology to develop key components like chips and batteries. It has also courted auto enthusiasts by opening membership clubs and offering products like Nio-branded wine. Li said the company has a team of 11,000 engineers working on key areas of smart electric vehicle technology — from chips and batteries to autonomous driving features.

After a sluggish first half of the year, Nio has recently seen signs of recovery, with sales up 81% year-on-year in August, thanks to the revamped ES6 SUV. The company sold about 94,350 units in the first eight months of this year, up 32% year-on-year, outpacing China’s 20% growth in electric vehicle sales.