Karaoke in the car? China’s new wave of gadget-laden electric vehicles

China's electric vehicle industry is blending entertainment with technology, as new models are emerging with features such as karaoke systems, movie projection headlights, and immersive digital cockpits. These advanced capabilities are aimed at appealing to younger drivers and addressing a sales slump in the domestic market. Zhao Zhen, a sales director at a Shanghai-based dealer, noted that young Chinese drivers are attracted to intelligent features, while also appreciating their affordability due to the rapid response from Chinese automakers, tech firms, and component suppliers.

The automotive industry's push toward creating autonomous, intelligent EVs has helped Chinese brands compete with global rivals, according to AlixPartners. Some premium models now include high-tech headlights that can project films, games, and animations, as well as navigation arrows onto the road. Sitan Technology, a micro-LED display developer based in Xiamen, China, supplies these micro-LED modules to top-tier automotive suppliers and AI glasses manufacturers.

Sitan aims to build a second factory in Xiamen to meet growing demand. Meanwhile, Chinese supply-chain vendors are successfully managing costs to benefit consumers, bringing down the price of smart cars. For instance, BYD, the world's largest EV maker, recently partnered with Canadian firm Stingray to offer in-car karaoke systems in its vehicles.

As Chinese companies and consumers redefine the role of intelligent cars, the country's supply-chain vendors could see higher profit margins for exported products.