KPMG has today released the list of 2017 Leading AutoTech 50 companies in China. This is the first time that KPMG published this list.
A committee of 20+ experienced partners from KPMG International and China assessed the candidates on six core criteria including technology and business model innovation, valuation and capital market recognition, team capabilities, market acceptance, financial strength, and vehicle manufacturer acceptance. The committee selected Leading AutoTech 50 companies through research, interviews, quantitative and qualitative analysis by using the KPMG proprietary Startup Insight Platform (SIP).
Honson To, Chairman, KPMG ASPAC and China, said, “KPMG has been exploring development trends of the industry with global auto executives over the past 18 years. In selecting the Leading AutoTech 50 companies in China, we observed that the future of auto industry lay in intelligence and connectivity: intelligence and connectivity technology will bring about a profound transformation of the auto ecosystem and a reshaped competitive landscape. Vehicles will become a carrier of content and services rather than a mere transportation tool when mobility as a service becomes the mainstream in future."
Philip Ng, Head of Technology in KPMG China, added, “We collected information of more than 4,000 companies from the automotive big data platform of KPMG China. We have interviewed over 100 AutoTech companies across the country during months of selection. We observed that a large number of outstanding innovative companies were emerging in areas such as intelligence and connectivity, after-sales market, mobility and new automobiles etc. These emerging companies in technology and business model innovations are posing increasing challenges to the traditional automotive companies. To cope with the increasing challenges and capture business opportunities in the new era, we believe that innovation should become the top strategic priorities of auto executives. We also noticed that some automotive companies are actively developing innovation strategies as first movers and building an open innovation ecosystem by connecting and collaborating internal and external innovations."
In new era of intelligence and connectivity, cars will evolve from a simple transportation tool into a new space for a new way of life. During this transitional period, traditional automotive companies should redefine their roles in the future market of automobiles and mobility services, and engage in open cooperation with new players in the automotive technology in order to remain relevant and influential in the future market.Huu-Hoi Tran, Head of Automotive in KPMG China, said,“The automotive industry is going through a massive transformation. Especially in China, where the consumer expectation on change seems to set a new level. This requires a common approach in partnership and collaboration between players with different expertise to accomplish. China seems to be in the beginning of building up a strong ecosystem of AutoTech companies, ready to meet the challenge. They are starting to form a strong foundation to help this transformation happen. Throughout our research and interviews with these players, we see a very strong role of these AutoTech companies towards the creation of a new approach, where they will be acting as connectors of the dots and creating ideas and technical solution to other adjacent sectors. In a broader sense, AutoTech companies will play a vital role in creating the technologically possible and contribute to a more sustainable mobility environment – green, smart, sustainable.”
Honson To, emphasised KPMG’s commitment to empowering innovative changes in the auto industry,“ Chinese auto companies may still need to overcome various challenges in the journey, but there are many positive signs that they can become market leaders in the new era. From the perspectives of policy, environment, market acceptance, and technology development, automated driving technology and Mobility as a Service (MaaS) may be the areas for China to be in leading positions. As an enabler and professional service provider in the automotive technology area, KPMG is committed to help establishing an ecosystem of automotive technology by enabling the connections between innovators and corporate partners and helping automotive companies to innovate and transform with our extensive professional capabilities. ”
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KPMG China operates in 17 cities across China, with around 12,000 partners and staff in Beijing, Beijing Zhongguancun, Chengdu, Chongqing, Foshan, Fuzhou, Guangzhou, Hangzhou, Nanjing, Qingdao, Shanghai, Shenyang, Shenzhen, Tianjin, Wuhan, Xiamen, Hong Kong SAR and Macau SAR. With a single management structure across all these offices, KPMG China can deploy experienced professionals efficiently, wherever our client is located.
KPMG is a global network of professional services firms providing Audit, Tax and Advisory services. We operate in 154 countries and territories and have 200,000 people working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. Each KPMG firm is a legally distinct and separate entity and describes itself as such.
In 1992, KPMG became the first international accounting network to be granted a joint venture licence in mainland China. KPMG China was also the first among the Big Four in mainland China to convert from a joint venture to a special general partnership, as of 1 August 2012. Additionally, the Hong Kong office can trace its origins to 1945. This early commitment to the China market, together with an unwavering focus on quality, has been the foundation for accumulated industry experience, and is reflected in the Chinese member firm’s appointment by some of China’s most prestigious companies.