The rise of China's tech giants, often referred to as the "Seven Sisters," is reshaping the global technology landscape. Traditionally dominated by the American "Seven Sisters"—Apple, Google, Amazon, Microsoft, Meta, Tesla, and NVIDIA—this group has driven significant growth in the tech sector with a combined market value nearing $16 trillion. However, Chinese companies are now challenging this dominance.
China's tech sector is gaining momentum, with companies like Deepseek reducing the hardware barriers for developing large models, consequently boosting various segments such as computing chips, cloud services, and intelligent applications. This shift has prompted global investors to reevaluate Chinese tech stocks, with investment banks like UBS noting the undervaluation of Chinese assets, especially as China's AI capabilities grow.
Several Chinese companies, including BYD, Alibaba, Lenovo, Meituan, SMIC, Tencent, and Xiaomi, have been identified as comparable to the American tech giants. This year, these Chinese firms have outperformed their American counterparts in stock performance, spurring a shift in the global supply chain focus towards the East.
BYD (BYDDF, Financial), a leader in the global electric vehicle market, exemplifies this trend. Since 2025, BYD's stock has surged over 27%, reclaiming its status in the "trillion RMB club," while Tesla's stock has declined nearly 30% in the same period. BYD recently completed a significant H-share placement, raising HKD 43.51 billion, marking it as the largest equity refinancing project in the automotive industry over the past decade.
In terms of sales, BYD sold 4.27 million vehicles globally in 2024, ranking fourth among global automotive brands, while Tesla's sales dropped to 1.7892 million vehicles, marking a 1.1% decline. BYD's aggressive expansion into overseas markets has seen it surpass Tesla in sales in several European countries, further highlighting its growing international influence.
BYD's success is underpinned by substantial R&D investments, totaling over RMB 160 billion, and a diverse range of brands and vehicle types. With over 11,000 R&D engineers and the largest vehicle operation database in China, BYD is well-positioned for continued innovation in intelligent driving and battery technology.
