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Electric Cars

See Triple Crash Test: Two Cars Hit Chinese EV at 60KM/H

2024-12-08

Chinese automaker Chery recently showcased the safety prowess of its new Exeed Sterra ES through a remarkable crash test. In this test, three real electric cars were put to the test to simulate a U-turn accident scenario. The EV was struck by two other vehicles traveling at a speed of 60 km/h from opposite directions, demonstrating the strength and integrity of the vehicle.

Chery's Exeed Sterra ES Proves Safety in Triple Crash Test

Crash Test Setup and Scenario

The crash test aimed to replicate a real-world U-turn accident. One key aspect was that a static car was attempting a U-turn and was then hit from both sides by two moving vehicles. While this setup has its limitations compared to an actual accident, it still provided valuable insights. Two white Sterra ES EVs, each traveling at 60 km/h, struck the red vehicle at different angles. One car hit the front-right corner at a 30-degree angle, while the other directly impacted the passenger compartment from 180 degrees. Despite the challenging nature of the crash, the footage and photos suggest that the Exeed Sterra ES maintained a high level of protection for its occupants.During the test, the pillars withstood the impact, all seven airbags deployed as expected, and the doors automatically unlocked. The emergency call function was also activated, adding an extra layer of safety. Crucially, the battery pack showed no signs of leaks, smoke, or fire, and the high-voltage system shut down automatically, as it should in the event of a crash.

The Need for Independent Validation

While Chery's self-conducted crash test is impressive, there is always the question of how the Exeed Sterra ES would perform under the more stringent scrutiny of third-party evaluations. EuroNCAP and IIHS set rigorous standards, and it's one thing to conduct internal tests but another to meet those industry-wide benchmarks.It's also important to note that keeping one car stationary in the crash test affects realism by concentrating impact forces on the moving vehicles. In a real-world U-turn accident, all vehicles would be in motion, dissipating force differently. This isolation of impacts in the test may exaggerate their severity and not fully capture how the vehicles would behave in a dynamic, unpredictable real-world scenario.

About the Exeed Sterra ES

The Exeed Sterra ES was first launched in 2023 and shares its platform with the Huawei-backed Luxeed S7. It competes in the electric sedan market, aiming to dethrone the Tesla Model 3. It comes with both RWD and AWD configurations and offers an impressive driving range of up to 905 km on a full charge thanks to its large 97.7 kWh battery pack. For the 2025 model year, Chery has introduced several updates, including reinforced body and chassis elements, further enhancing its safety credentials.Chinese cars have made significant strides in safety, as evidenced by their performance in independent crash tests. Many EVs from Chinese automakers have earned five-star ratings in EuroNCAP, even with the organization's stricter testing protocols. This growing safety standard among Chinese manufacturers indicates a broader shift, with more models becoming increasingly competitive in global markets.Thanos Pappas, a product design engineer by trade, has been actively involved in automotive journalism, bringing his expertise to provide in-depth insights into these safety tests and the vehicles involved.

The colorful and fully functional EV is set to become The Wiggles' new stage ride, adding a touch of fun and engineering to their performances. Toyota Australia's collaboration with The Wiggles has resulted in a one-of-a-kind vehicle that combines off-road heritage with playful design.

Toyota's Electric Ute Takes the Stage with The Wiggles

Design and Styling

The Big Red Ute showcases Land Cruiser-inspired styling with its chunky tires and vibrant livery. The front end draws from the tough design of the Toyota Cruiser J70, featuring LED headlights that can display various patterns. Muscular fenders and exposed wheels give it an off-road character, while the 3,120 mm length keeps it compact for the stage. The 12-inch Turbofan wheels with a rainbow theme add to its visual appeal.

The exposed cabin can accommodate four passengers, each with their own seatbelt attached to the oversized bull bar. An integrated bubble machine at the rear produces 6,000 bubbles per minute, captivating toddlers during performances.

This one-off vehicle isn't just a showpiece; it's a fully functional EV powered by a 48V electric powertrain, independent coil spring suspension, and drum brakes. Despite its toy-like appearance, it's built to handle the stage and provide a unique experience.

Performance and Functionality

With a top speed limited to 20 km/h (12 mph), this "ute" is designed specifically for the music stage. It made its debut on December 7 when The Wiggles performed in Melbourne and will accompany the band on their Australian and global tour dates.

The 48V electric powertrain ensures smooth and quiet operation, while the independent coil spring suspension provides a comfortable ride. The drum brakes offer reliable stopping power, ensuring the safety of the performers and the audience.

Toyota's Big Red Ute is a testament to the company's ability to combine creativity and functionality. It's not just a vehicle; it's a part of The Wiggles' stage show, bringing joy and entertainment to children around the world.

The storied Dow Jones Industrial Average (^DJI -0.28%) stands as one of the most ancient and esteemed stock market indexes. Comprising 30 industry-leading blue chip stocks representing their respective sectors, it has witnessed significant metamorphoses over the past five years. Two recent changes this year saw Amazon (AMZN 2.94%) replace Walgreens Boots Alliance in February and Nvidia (NVDA -1.81%) replace Intel in November. These additions have quickly demonstrated their worth in modernizing the Dow, with both components outperforming the S&P 500 (^GSPC 0.25%) and Dow indexes year to date. However, investors often focus more on a company's future prospects than its past achievements.

Why Nvidia Outshines Amazon in 2025

Amazon and Nvidia: A Symbiotic Relationship

Before delving deeper, it's crucial to note that Amazon's cloud computing arm, Amazon Web Services (AWS), is a significant client of Nvidia. This creates a scenario where both companies can thrive and achieve market-beating gains. On December 3rd, Nvidia announced that its latest technology, including the Blackwell architecture for generative artificial intelligence (AI), would be available on AWS. A new computing platform through AWS Marketplace Private Offers will enable enterprises to build AI models with Nvidia's expert support. AWS has also developed liquid-to-chip cooling across its data centers, offering air and liquid-cooling capabilities for powerful AI supercomputer systems like the Nvidia GB200 NVL72. Nvidia is the undisputed leader in chips for hyperscalers, and AWS is the leading hyperscaler, commanding a significant market share. According to a November 1 report by Synergy Research Group, AWS holds a 31% market share in the cloud market compared to 20% for Microsoft and 13% for Google. However, AWS doesn't have the same dominance in cloud as Nvidia does in data center chips.

The Superior Business Model of Nvidia

Throughout its history, Amazon has demonstrated remarkable flexibility, branching into various end markets and weathering economic uncertainties. The company's network effects, leading cloud position, growing e-commerce business, and combination of diversification and disruption make it a compelling investment. AWS' operating income accounted for 62% of Amazon's total operating income in the nine months ending September 30, 2024. Compared to the same period last year, AWS revenue increased by $12.22 billion, while operating expenses only rose by $479 million. This led to significant operating income growth. However, without AWS, Amazon's growth would be much slower. AWS has expanded Amazon beyond e-commerce and made it a more robust business. In contrast, Nvidia's data center business has been a game-changer. In its recent third-quarter fiscal 2025 (ended October 27), Nvidia reported $30.77 billion in revenue, with $27.64 billion from compute and $3.13 billion from networking. The compute and networking segment generated an operating income of $22.081 billion, resulting in an astonishingly high operating margin of 71.8%. For comparison, Amazon's overall operating income in the same quarter was $17.41 billion, and AWS' margins are not as high as Nvidia's. Nvidia's gaming and AI PC, professional visualization, and automotive and robotics segments combined for $4.22 billion in revenue, with the graphics segment earning $1.502 billion in operating income. Five years ago, Nvidia's data center business was smaller than its graphics segment. Today, data center revenue makes up over 85% of Nvidia's total revenue and over 90% of its operating income. In this quarter, Nvidia stated that cloud service providers accounted for around 50% of its data center revenue, while the rest came from consumer internet and enterprise companies. These customers are among the highest quality in the world and have the financial capacity to invest through market cycles. Nvidia has transitioned from a chip company for graphics to a dominant force in data centers. In contrast, Amazon still engages in multiple activities, but AWS is its best-performing segment. Nvidia has better margins, more growth potential, a more commanding market share, and is a more focused investment thesis on data center growth compared to Amazon, which spans multiple industries and is more complex.

Nvidia's Valuation: A Fair Assessment

Nvidia's main risks include a slowdown in AI capital spending or increased competition eroding margins. However, so far, these have not materialized. Nvidia has been an earnings-driven story, and earnings growth has outpaced the stock price.NVDA data by YChartsEventually, Nvidia's growth is likely to slow down. But until then, it's difficult to label it as a bubble as the business is generating real bottom-line results. This is not a company with future potential; it is delivering remarkable results right now. Due to its earnings-driven nature, Nvidia's valuation remains reasonable. It has a higher price-to-earnings (P/E) ratio and forward P/E ratio than Amazon. But as shown in the chart, if Nvidia continues to grow its earnings at a faster pace, the valuation gap between the two companies could narrow.NVDA PE Ratio (Forward) data by YCharts

Investing in Nvidia: A Long-Term Perspective

Nvidia and Amazon are excellent companies that will benefit from increased AI spending. However, competition or a cyclical slowdown could quickly make both companies appear more expensive, leading to a significant sell-off. When investing in industry-leading growth stocks at all-time highs, it's essential to understand that the factors driving the record highs can also lead to a sell-off. Wall Street is quick to downgrade a stock based solely on short-term growth prospects. But individual investors can focus on the long-term investment thesis instead of getting caught up in the noise. Investors interested in Nvidia should continue to monitor its technological advancements and ability to monetize them. Currently, Nvidia is out-innovating its competitors and can still command high prices for its products. Moreover, its customers are performing well and can afford to pay Nvidia's prices. Nvidia is at the top of its game, and there is no concrete reason to believe it will change. But if the cycle turns, signs will emerge from Nvidia's top customers like AWS and Meta Platforms. The stock price is driven by earnings growth, which is expected to continue next year. In conclusion, Nvidia has a simpler and more effective business model than Amazon and superior growth, making it a better investment choice at present.