On September 28, Li Xiang, the CEO of LI AUTO (02015.HK), shared his insights on a recent perspective that has been circulating. This viewpoint equates self-development with 'de-XX-ization,' framing it as a stance against suppliers. However, Li Xiang contends that this is a misconception. He pointed out that Apple's A-series chips, along with the flagship chips from NVIDIA and Qualcomm, predominantly follow a self-developed-plus-TSMC-foundry model. Similarly, Tesla develops its own batteries while also partnering with CATL, LG, and Sunwoda for production. This approach, according to Li, empowers suppliers rather than diminishes their role. The idea of 'de-XX-ization,' he argues, is rooted in a zero-sum game mentality, a perspective that LI AUTO does not adopt in defining its self-developed strategy. We are confident that leading Chinese smart electric vehicle companies will not adopt such a narrow-minded approach either.