🧠 Food for thought

Implications, context, and why it matters.

Robotics growth masks pressure in the core auto business

• RoboSense earned a fourth-quarter profit, yet it still expects a full-year 2025 net loss of up to RMB 180 million 1.
• Robotics sales jumped on new uses such as lawn-mowing robots, backed by an initial order for 1.2 million units 2.
• Auto advanced driver-assistance systems (ADAS) revenue dropped 17.9% in the first half of 2025 after two large automaker customers cut orders, and one moved to a rival supplier 3.
• Margins also split, with robotics gross margin at 37.2% in Q3 2025 versus 18.1% for ADAS 4.

A brutal auto market forces LiDAR firms to find new homes

• RoboSense’s move adds to a wider LiDAR shift as an auto price war squeezes suppliers and pushes them to branch out.
• Its average price for core automotive sensors slid from about RMB 2,500 to RMB 1,600 within one year, tied to discounting and a shift toward the lower-priced MX series 4.
• Supplier choices can change fast when automakers swap partners, so design wins do not lock in future revenue 3.
• Higher-volume uses outside cars, including lawnmowers and warehouse robots, are becoming the main path to steadier margins across the sector 2.