Companies like Xiaoma and Wenyuan—autonomous driving companies of this kind—are a pretty bad business model. In essence, they’re just a fleet, except the drivers have been replaced by AI instead of people.

And their external competitors are becoming stronger one after another. It’s not that they don’t fight you—it’s just that they haven’t had the time or need to do so yet. When costs keep getting lower, and even users’ own FSD can handle transportation tasks, these companies that operate fleets will be no different from the owners of county bus services.