Nio has confirmed plans to significantly scale up its investment in artificial intelligence across all business functions in 2026, positioning AI as a core pillar of its long-term strategy. Founder and CEO William Li has called on employees to embed AI deeply into daily operations to strengthen product competitiveness and improve overall efficiency. To support this push, the company has established an AGI committee tasked with accelerating AI adoption throughout the organisation.
Speaking during an internal staff meeting on 14 January, Li outlined key departments earmarked for intensive AI integration, including research and development, manufacturing, supply chain management, finance and human resources. He reinforced this stance earlier at a media briefing in Hefei on 6 January, stating that any automaker with serious ambitions today must operate as an AI-driven company.
The renewed focus on AI follows recent leadership changes within Nio’s autonomous driving division, notably the departure of Bai Yuli, who had headed the company’s AI platform since 2020. In response, Nio restructured its intelligent driving unit using a “4×100 relay baton” framework, consolidating pre-research, mass production, platform replication and vehicle-model replication into a unified development structure.
This reorganisation appears aimed at overcoming development challenges that Li described as “quite demanding,” while also addressing competitive pressures. During his internal address, Li warned that reluctance to embrace AI could leave Nio lagging behind rivals that are already using the technology to enhance efficiency and speed to market.
Despite these challenges, Li expressed confidence that Nio will achieve its first-ever quarterly profit in the fifth quarter of 2025. He attributed this optimism to improving gross margins and strong demand for the new ES8, with around 40,000 units delivered since launch. Looking ahead, Nio is targeting annual growth of 40% to 50% over the next three to five years, alongside a steady increase in vehicle gross margins to between 17% and 18%.
