Tesla Stock Decline and BYD's Autonomous Driving Challenge: The Arrival of a DeepSeek Moment

Recent Tesla Stock Trends

In June 2024, Tesla's stock price fell by 6%
BYD (BYD Auto) stock price rose by 4.76%
Tesla's stock price has been declining since mid-December 2023

Reasons for Tesla's Stock Price Decline

1. Decline in Sales Performance

Tesla vehicle registrations in the European market (Spain, Norway, Netherlands) decreased by 54% year-on-year and 47% compared to the previous quarter
Vehicle registrations in France also decreased by 63%
Decline in sales of existing models ahead of the release of the new version of Model Y (Juniper model)

2. Image Damage Due to Political Controversy

Elon Musk's support for German far-right parties and involvement in European politics
Increased antipathy among European consumers → decline in brand image

Tesla's Future Growth Engine and Crisis

1. Autonomous Driving Technology (FSD, Robotaxi)

Autonomous driving (FSD, Full Self-Driving) and robotaxi business are Tesla's core future businesses
However, China's autonomous driving competitiveness is rapidly increasing

2. BYD's Challenge and the Development of China's Autonomous Driving Technology

BYD equips autonomous driving technology in ultra-low-priced electric vehicles in the 14 million won range
BYD sells more vehicles than Tesla in European markets such as the UK, Spain, and Portugal
Expanding influence in the global market due to price competitiveness

3. Growth of China's Autonomous Driving Technology

The quality of Chinese autonomous driving is not inferior to Tesla's
Wuhan has more than 500 Baidu robotaxis in operation, with plans to deploy an additional 1,000 units
Various Chinese companies such as Xiaomi, Huawei, and BYD are rapidly adopting autonomous driving technology

Popularization of Autonomous Driving Technology and the DeepSeek Moment

1. What is a DeepSeek Moment?

A moment when AI deep learning rapidly advances in a specific technology, and existing players can no longer monopolize it
Similar to the DeepSeek case, the moment has come when Chinese autonomous driving technology is similar to or superior to Tesla's

2. Factors Contributing to China's Autonomous Driving Development

Government deregulation: Support for autonomous driving testing and commercialization
Abundant real-world data: Technology development through accumulating real data on the roads
Growth of AI talent and technology: Reduced gap with Tesla due to advancements in deep learning technology

Tesla's Future Prospects

Tesla's unmanned robotaxi test scheduled in Austin, Texas in June
Expectation of sales rebound after the release of Model Y Juniper
However, questions raised about Tesla's growth potential due to intensified competition in Chinese autonomous driving

< Summary >

Tesla's stock price down 6%, BYD up 4.76%
Impact of sluggish European market and Elon Musk's political controversy
BYD equips autonomous driving technology in ultra-low-priced electric vehicles, increasing influence in the global market
The rapid growth of Chinese autonomous driving technology is shaking Tesla's unique position
Tesla's robotaxi test in Texas in June is the key to future stock price rebound

[More…]

BYD Electric Vehicles Accelerate Global Market Expansion
👉 https://nextgeninsight.net/?s=BYD
Analysis of Tesla's Autonomous Driving FSD Latest Status
👉 https://nextgeninsight.net/?s=%ED%85%8C%EC%8A%AC%EB%9D%BC

*YouTube Source: [내일은 투자왕 – 김단테]

– 테슬라 2달만에 30% 폭락. 자율주행에 딥시크 모먼트가 왔습니다.

China's Talent Acquisition Strategy and AI Innovation: Significance of the Thousand Talents Plan

1. China's Talent Acquisition Policy: Thousand Talents Plan

1.1 What is the Thousand Talents Plan?

The Chinese government is promoting the Thousand Talents Plan (千人计划) to attract outstanding talent from overseas.
This plan is not just about inviting 1,000 talents, but is actually developing into Ten Thousand Talents Plan, and Hundred Thousand Talents Plan.

1.2 Main Targets

Overseas Chinese students and overseas Chinese
Top-level scientists, engineers, and entrepreneurs
Especially experts in cutting-edge science and technology fields such as AI, semiconductors, bio, and nuclear power
Excellent researchers and faculty from the United States and Europe

1.3 Recruitment Methods and Benefits

Providing 3 to 10 times higher annual salary than before
Support for research environment (providing high positions and independent laboratories within universities and research institutes)
Supporting the settlement of families in China (including support for international school tuition fees)
Research funding and investment funding support
Strong policy support at the national level

2. China's Research and Development (R&D) Competitiveness and Education Reform

2.1 Rise in the Global Competitiveness of Chinese Universities

Chinese universities rank 1st to 9th in the number of global research papers
Surpassing American universities such as MIT, Harvard, and Stanford
The competitiveness of prestigious Chinese universities such as Tsinghua University and Peking University has rapidly improved

2.2 Rapid Growth in AI and the 4th Industrial Revolution Fields

The Chinese government is making large-scale investments in research on artificial intelligence (AI), semiconductors, bio, and renewable energy
Establishment of AI research institutes and innovation centers such as Tsinghua University and East China University of Science and Technology
Growth of global companies such as AI startup ‘DeepSeek’

2.3 Mathematics and Science-Oriented Education System

China is simultaneously implementing rote learning while creating a culture strong in discussions and practical research
Applying the ‘Bao Song(保送)’ system to students who achieve excellent results in mathematics and science competitions (Olympiads) → Automatic admission to top universities such as Peking University and Tsinghua University
Providing strong incentives according to individual abilities (a structure that rewards as much as achieved)

3.1 Differentiated Competition System

Thoroughly merit-based society (differential incentives rather than equality)
People with outstanding abilities receive extraordinary treatment and support and grow rapidly
When talents from the ‘Thousand Talents Plan’ enter, competition intensifies among existing local talents
→ However, rather than simply becoming obsolete, there are many cases of overcoming this and growing further (revival of local companies such as BYD, DeepSeek)

3.2 Virtuous Cycle Structure in AI and Semiconductor Fields

Establishment of a structure of national funding by the Chinese government → inflow of private venture capital → industry-academia collaboration research
Activation of national funds (India Fund, National Science and Technology Fund, etc.) that support research
Strengthening technological capabilities through talent acquisition and training → creating a new ecosystem again

4. Differences Between China and Korea

4.1 Differences in Talent Investment and Support

China: Supports the growth of internal talents while attracting overseas talents → Virtuous cycle structure
Korea: Serious outflow of excellent talents overseas, lack of policies to attract global talents

4.2 Research and Development Environment and Compensation Structure

China: Thorough performance-based compensation system (extraordinary provision of stock options and incentives if performance is outstanding)
Korea: Research environment is relatively conservative and a structure that makes it difficult to guarantee creative research

4.3 Differences in Education System

China: Strengthening rote learning + discussion-based learning / Maintaining a practical competition system
Korea: Education system centered on averaging lacks a system to nurture geniuses

< Summary >

China's 'Thousand Talents Plan' goes beyond simply bringing in overseas talent, and includes a comprehensive talent development and acquisition strategy.
Providing extraordinary compensation systems to talents along with strong research and development (R&D) support in advanced industries such as AI, semiconductors, and bio.
As a result, Chinese universities rank 1st to 9th in the world based on the number of papers and are rapidly emerging as science and technology powerhouses.
Education is also not just simple rote learning, but is strengthening mathematics and science-centered competition system along with discussion-based learning culture to produce creative talents.
On the other hand, Korea is concerned about falling behind in global competition due to problems of outflow of excellent talents, lack of talent support, and problems of averaging education.