Li Auto CEO Li Xiang has publicly addressed the persistent criticism that the automaker is "not focusing on its core business" by pursuing artificial intelligence and embodied intelligence, declaring that car-form embodied intelligence may be the first AI robot to enter the physical world.
In a social media post on June 11, Li wrote: "For a while now, whenever I talk about AI or embodied intelligence, some people say 'a car company not properly building cars, not doing its proper job.' We have always been thinking about how AI enters the physical world and creates value. What is the definition of embodied intelligence, and what are the standards for good and bad? Every company, facing different needs, has different answers. We believe that embodied intelligence based on the automobile form may be the first AI robot to enter the physical world."
Li announced that the Livis Day software and AI event will take place on June 15 at 4:30 PM Beijing Time, where the company will reveal previously undisclosed details about its embodied intelligence standards, user value propositions, and when consumers can expect to experience the technology. "I believe that after watching the event, everyone will think we are 'extremely focused on our proper business,'" Li stated.
The announcement builds on a broader strategic transformation that Li Auto has been pursuing since early 2026, when the company upgraded its corporate vision to "become a globally leading embodied intelligence enterprise."
Humanoid Robotics Plans Emerge
According to reports, Li Auto's humanoid robotics team has two products in development: a wheeled robot and a bipedal robot. The wheeled robot is reportedly ready and could be launched as early as mid-2026, initially deployed in factory manufacturing scenarios. The company's development approach mirrors Tesla's strategy of iterating technology capabilities in closed environments before expanding to consumer markets.
The robotics project, internally codenamed "Nexus," was accelerated after a February organizational restructuring that created a dedicated humanoid robotics team within Li Auto's R&D system.
Organizational Overhaul for AI
In late May, Li Auto completed another round of organizational restructuring, establishing three new secondary departments focused on embodied engineering, embodied interaction, and embodied behavior. These teams report to Zhan Kun, head of the foundation model department, who reports to CTO Xie Yan.
The company has also separated its autonomous driving operations into an independent department, reflecting the strategic importance Li Auto places on both autonomous driving and general-purpose humanoid robotics as the two halves of its embodied intelligence vision.
Financial Context
Li Auto's aggressive AI investment comes amid financial headwinds. The company reported a net loss of 2.3 billion yuan in Q1 2026, ending a multi-quarter profitability streak. Revenue declined 11.4% year-on-year to 23 billion yuan, while vehicle gross margin fell sharply to 7.9% from 20.5% a year earlier. May deliveries dropped 18.4% year-on-year to 33,350 units.
Despite these pressures, Li Auto has maintained its R&D spending at approximately 30 billion yuan per quarter, with AI-related investments accounting for roughly half of its approximately 12 billion yuan annual R&D budget. Li has previously stated that 2026 represents the final window for companies seeking to become AI leaders, and that globally no more than three companies will simultaneously operate in foundation models, chips, operating systems, and embodied intelligence.
Livis Day Expectations
The upcoming event is expected to provide concrete answers to three key questions Li posed: What are the standards for qualified embodied intelligence? What is the user value? And how soon can people experience it? With the company's new Li L9 Livis already on the market featuring dual in-house Mach M100 chips delivering 2,560 TOPS of combined computing power, Li Auto appears ready to demonstrate that its AI ambitions extend well beyond automotive applications.
