XPeng Inc‘s (NYSE:XPEV) CEO on Monday welcomed Tesla Inc‘s (NASDAQ:TSLA) full self-driving (FSD) driver assistance software to China despite the significant competition between the two players in the East Asian country.

What Happened: “I genuinely welcome this development with open arms,” Xiaopeng He wrote on Linkedin. “The next decade is set to be an era for ‘Smart EVs’, largely propelled by the implementation of AI large models.”

Large AI models should enable the implementation of autonomous driving in at least three years, he said.

“Tesla, known for its robust autonomous driving technology and strong brand presence, helps set a high standard. The introduction of top-tier products and technologies like this not only enriches customer experiences but also drives the entire industry forward,” the CEO wrote.

Why It Matters: XPeng has its own advanced driver assistance system aimed at vehicle autonomy called XNGP (Navigation Guided Pilot).

Last week, the CEO said in another LinkedIn post that the company has been testing the system on European roads.

“Our team’s NGP testing on German highways has shown great promise – we are happy to share that XNGP’s exceptional capabilities are nearly road-ready for Europe!,” he wrote while adding that it is already available in 259 cities in China.

On Monday, it was reported that Tesla has partnered with Beijing-based internet company Baidu Inc for lane-level mapping and navigation data for China and was deemed in compliance with China’s data security requirements by a Chinese auto association, marking a significant stride towards the deployment of its full self-driving (FSD) driver assistance software in the world’s largest EV market.

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