Chinese light detection and ranging (lidar) manufacturer Hesai Group plans to cut its lidar sensor prices by 50% next year.

The next-generation lidar, called ATX, will be available at below US$200, a reduction from the existing AT128 model.

The price cut will be possible through self-developed chips and more efficient production, according to CEO David Li.

This strategy targets more accessible lidar for mass-market EVs, particularly those under 150,000 yuan (US$20,700).

Li expects higher-end Chinese EVs’ lidar adoption to rise to 40% from 24%.