XPeng(XPEV, Financial) shares surged 16% on Thursday after the Chinese EV maker hosted its AI Day in China and unveiled what it claims to be the world's first AI-defined car, the P7+. There was no new information from Wall Street, yet the company saw its valuation soar, taking a page from Tesla, which also uses major events to highlight advancements in artificial intelligence and driver assistance systems.

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The new P7+ is equipped with what the company calls AI Special Edition driver aids, all powered by a neural network running on high-end chips similar to those used in Tesla vehicles. In an interview, XPeng's CEO, He Xiaopeng, stated that their vision of premium' in the age of AI-assisted vehicles is to make these advanced technologies standard across all models.

The P7+ also introduces an option for a range extender, allowing the vehicle to travel farther than typical EV ranges. Similar to a hybrid, the extended-range electric vehicle includes a generator that uses gasoline to charge the battery while on the road. However, unlike traditional hybrids, the design does away with a gasoline engine transmission, with the electric motor and battery fully responsible for powering the vehicle.

XPeng has shifted its focus toward incorporating artificial intelligence into its vehicles, complementing the industry's growing emphasis on innovation and intelligent mobility. By adding intelligent features and extended range options, XPeng aims to capture consumer interest and distinguish itself within the highly competitive EV market.

This article first appeared on GuruFocus.