BMW said on Tuesday it will incorporate advanced driver assistance functions from Momenta’s so-called “Flywheel” artificial intelligence model in future China-specific models, starting with its “Neue Klasse” EV line, joining German rivals Mercedes-Benz and Audi in embracing Chinese auto technologies from the Suzhou-headquartered startup.
The collaboration will allow BMW to offer Chinese customers “a very unique automated driving experience,” Mihiar Ayoubi, a senior vice president at BMW Group, said in an announcement. The news comes after Mercedes-Benz and Audi reached similar deals with Momenta for the use of such technologies on their upcoming CLA Class and E5 Sportback, as announced last June and in April, respectively.
On Tuesday, Mercedes-Benz China said (in Chinese) its locally built, all-electric CLA will go on sale this fall. Audi’s E5 Sportback, which made its global debut at this year’s Shanghai Auto Show in April, is also scheduled to launch later this year. BMW’s first Neue Klasse electric vehicle model, the iX3 Long-Wheelbase, will hit the market in China in 2026.

The German auto giants are faced with growing competition from younger Chinese rivals such as Huawei-backed Aito, Li Auto, and NIO. The China sales of BMW, Audi, and Mercedes last year declined 13.4%, 10.9%, and 6.7%, respectively, while Chinese-branded passenger cars reported 23.1% annual growth, according to figures published by the China Association of Automobile Manufacturers. Consultancy AlixPartners estimates the market share of overseas brands could shrink from 33% this year to only 24% by the end of this decade.
READ MORE: Global automakers must be agile in China over next five years, AlixPartners says
Global carmakers have increased their efforts to develop high-tech features tailored to Chinese consumers, making companies like Momenta, which has signed contracts for more than 130 car models, one of the most sought-after partners. BMW has also partnered with Huawei, with its Neue Klasse EVs to be the first models sporting Huawei apps through HiCar, a smartphone mirroring system built on the tech giant’s Android replacement HarmonyOS.
READ MORE: China’s Momenta touts assisted driving deals with Toyota, GM, and more, eyes global expansion