Pony AI Inc (NASDAQ: PONY) saw its stock price soar by 27.21% in pre-market trading on Friday, following the announcement of a strategic partnership with Tencent Cloud to advance autonomous driving technology and accelerate the commercialization of Robotaxi services.

The collaboration will integrate Pony.ai's Robotaxi services into Tencent's Weixin "Mobility Services" platform and Tencent Maps, significantly expanding Pony.ai's potential user base. This partnership leverages Tencent's robust digital ecosystem, including cloud computing, big data, and AI infrastructure, to enhance Pony.ai's autonomous driving capabilities and improve its proprietary PonyWorld virtual model.

The surge in Pony AI's stock price also comes on the heels of the company's recent unveiling of its seventh-generation autonomous driving system at the Shanghai Auto Show. This new platform boasts a 100% automotive-grade autonomous driving kit and a 70% reduction in bill-of-materials costs compared to its predecessor. Additionally, Pony AI announced collaborations with major automakers Toyota Motor, Beijing Automotive Group, and Guangzhou Automobile to develop three new robotaxi models, further solidifying its position in the autonomous vehicle market. The strategic moves and technological advancements have clearly resonated with investors, driving the stock's impressive gains.