Behind the New ES8: Two Years of Internal Reflection and Rebuilding at NIO

The new ES8 isn’t a routine model update but a comprehensive course correction by NIO following the failure of the second-generation ES8 — covering product rhythm, organizational efficiency and how resources are allocated.

We learned from internal materials shared via Huxiu that behind the new ES8 lies NIO’s deep introspection on its past misjudgments in product strategy and the disconnect within its organizational efficiency.

The story starts earlier this year. While NIO’s sales volume appeared stable on the surface, internal alarms were already ringing. The ONVO L60 struggled to scale, Firefly fell short of expectations, and the main NIO brand was largely propped up by aging models. Combined with a RMB 12.03 billion loss in the first half and cash reserves shrinking to RMB 27.2 billion, the market began to wonder whether NIO might be heading toward another 2019-style survival crisis.

The second-generation ES8’s market performance was far below expectations. The first-generation ES8 had essentially built the three-row premium EV SUV segment from scratch, with 10,000 Founder Editions selling out quickly. But the second-generation model arrived nearly a year later than the Li Auto L9. Its product priority within NIO’s lineup was repeatedly pushed back, and by the time it finally launched, the momentum accumulated by the original ES8 had all but dissipated.

According to Huxiu’s reporting, NIO’s leadership began conducting high-frequency internal reviews from the second half of 2022, eventually turning them into monthly sessions. The issues were dissected down to the smallest details: a size that pleased neither market (too small for China, too big for Europe), interior space and perceived quality below rivals, overconfidence in smart driving with an excessive focus on front-row experience, an explosion of SKUs, chaotic product-launch sequencing… Individually they looked manageable, but together they weakened the product to a breaking point.

Against this backdrop, the definition logic of the new ES8 was completely rebuilt. In the past, NIO tended to start from “what technology can achieve”; this time the guiding principle became “what would make users actually choose it.” Early in the project, the team seriously explored a more MPV-like direction — even giving it an experimental codename “Pisces.” But after comparing market feedback and community discussions, that direction was halted, and the project returned to the mainstream three-row SUV positioning.

Changes in organizational workflow were just as crucial. NIO tried bringing experience, design, engineering and project management into a tighter decision-making group, shortening internal communication paths and enabling faster cross-functional discussions. William Li himself participated in several review sessions to ensure key resources were focused where they mattered most.

The results speak for themselves. After launch, the new ES8 ramped up quickly — exceeding 10,000 deliveries in just 41 days. Combined with the strong and steady performance of the ONVO L90, NIO achieved the best monthly deliveries in its history, surpassing 40,000 units in October.

Whether the new ES8 can maintain this momentum will take a few more months to confirm. But at the very least, it’s clear that NIO has recognized the issues — and has started fixing them.

And that, in itself, is one of the most meaningful shifts we’ve seen from NIO this year.