Geely's management has realized the need to develop, market and sell electric cars differently from traditional cars, and decided to form a separate company, according to the sources.
According to the latest Reuters news, sources said that Geely plans to set up a new company to explore new ways to plan, market and sell electric vehicles, a departure from the industry practice of most automakers marketing and selling traditional fuel vehicles alongside electric vehicles.
Geely may set up Lingling Technologies this year to manage its models based on the Sea's vast intelligent evolution experience architecture, while the marketing and sales of Lynk & Co and Geometrical models produced on the Sea platform will also be the sole responsibility of the new company, according to people familiar with the matter.
"Geely's management has realized the need to develop, market and sell electric vehicles in a different way than traditional cars and has therefore decided to form an independent company."
Geely's latest plan will adopt a different way of operating as a key step in the company's new four-modernizations transformation.
Just last month, they announced a series of alliances, including an architecture partnership with Faraday Future (FF) and a joint venture with Foxconn aimed at transforming themselves into a leading electric vehicle contract manufacturer and engineering services provider.
Geely has so far declined to comment on the matter.
According to a person familiar with the matter, the new company has yet to be formally registered and its name has yet to be finalized.
In addition, the new company will conduct in-depth research and update related technologies of the SEA platform independently of the traditional automotive sector, and plan to access market data in a completely new way to develop new electric models for the future.
The new company will also have an independent sales force and showrooms in major Chinese centers, with some selling as distributors and others as direct self-management, with direct control over pricing and inventory, according to people familiar with the matter.