CATL's first experience center opened today, bringing together nearly 100 models from about 50 automotive brands it ramps up its engagement with consumers.
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Contemporary Amperex Technology Co Ltd (CATL, SHE: 300750) has opened its first experience center to showcase electric vehicle (EV) models powered by its batteries, as the Chinese power battery giant increases its engagement with ordinary consumers.
The 13,800-square-meter showroom, called the Ning Space, opened today in Chengdu, Sichuan province in southwest China, which CATL said is the world's first new energy experience center.
The showroom features nearly 100 models from about 50 car brands, including Nio's (NYSE: NIO) ES8, ES6, ET7, ET5, ET5 Touring, Tesla's (NASDAQ: TSLA) Model 3, Model Y and Xiaomi's (HKG: 1810, OTCMKTS: XIACY) SU7.
CATL said the showroom offers consumers a never-ending auto show, with EV experts available to answer questions and provide personalized car-buying advices.
The showroom also introduces the history and development of EVs, showcases the latest battery technologies, and hosts science workshops.
Notably, Luo Jian, CATL's general manager of marketing, emphasized that the company will not join the ranks of making cars to compete with carmakers, nor will it sell cars, and that all of these efforts will be its partners' own business.
That's a different approach from Huawei's, where the Chinese tech giant has said it won't join the car-making ranks, but will help automakers sell cars. Huawei has already launched multiple models jointly with three car companies and is helping to sell them in its own channels.
In addition to its first experience center, CATL today launched its after-sales service brand Ning Service, which it said has a network of 112 professional service stations offering services including battery maintenance, health checks, and mobile rescue.
CATL is the world's largest maker of EV batteries, with a 37.8 percent share in the segment in the first half of 2024, the only battery supplier with a market share of more than 30 percent, according to South Korean market researcher SNE Research.
As of June, CATL's batteries have been used in more than 14.05 million new energy vehicles (NEVs), according to the battery maker.
Of the top 50 selling NEVs worldwide this year, 27 are equipped with CATL batteries.
The launch of CATL's first Ning Space comes at a key turning point in China's automotive market: in July, monthly sales of NEVs -- including battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs) -- surpassed those of traditional gasoline vehicles for the first time.
The opening of the offline experience center is CATL's first major effort to expand its reach to general consumers, and the company aims to build similar showrooms in more cities next.
It's a proactive move by CATL to solidify its leadership position in the power battery space, and at its core is somewhat similar to the "Intel Inside" model that has helped US chip giant Intel expand its market share, though the Chinese EV maker has denied such comparison.
In March, local media outlet 36kr reported that CATL was trying to push forward a so-called "CATL Inside" model to further expand its voice in the automotive industry chain.
CATL executives said in a media communication the night before the opening of the Chengdu experience center that the company did not have a so-called "CATL Inside" concept.
Still, creating its own "auto show" and providing consumer education clearly conveys some similar thinking.
Currently, Intel dominates the personal computer CPU space, while AMD is the choice of the few.
A similar situation exists in the smartphone sector, where devices with Qualcomm chips are considered high-end and are the choice of most phone makers, while those with MediaTek chips are considered low-end.
Global EV battery market share in H1 2024: CATL 37.8%, BYD 15.8%
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