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Chinese tech giant Huawei is set to transfer its Aito-related trademarks and patents to its partner, Seres Group, reaffirming its stance on not building cars. Seres' subsidiary will buy these assets for RMB 2.5 billion ($340 million), according to a Shanghai stock exchange announcement.

The deal includes 919 trademarks and 44 design patents owned by Huawei. Despite the transfer, Huawei and Seres will continue to collaborate closely, with Huawei still supporting Seres in boosting Aito brand sales.

Huawei has consistently emphasized that it does not manufacture cars but rather uses its advanced smart vehicle technology to aid car companies. Aito, launched on December 2, 2021, is a premium brand developed by Seres in collaboration with Huawei and is the first new brand launched by Huawei in partnership with a car company.

In addition to Aito, Huawei has partnered with Chery, BAIC, and JAC to create other new brands. Huawei's automotive business became profitable in the first quarter of this year, with Aito sales surging, as noted by Richard Yu, head of Huawei's smart car solutions, in a May interview with Tencent News.

The sale of Aito-related assets aims to make Huawei's automotive business independent. Changan Automobile and Huawei signed an investment cooperation memorandum on November 25, 2023, aiming to support a new company established by Huawei to offer automotive smart systems and components.

The joint venture was tentatively named Newcool, Zhu Huarong, Changan's chairman, said on January 16 at its global partner conference. Huawei plans to integrate its core smart car technologies into Newcool, aiming to become a global leader in automotive smart driving systems. Huawei has vowed not to engage in car manufacturing or in the business of this new company, according to Changan's chairman, Zhu Huarong.