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Analysts say Pony.ai's investment comes at a perfect time as China revs up its smart vehicle strategy as outlined in a blueprint released last week by the National Development and Reform Commission, the Ministry of Industry and Information Technology and another nine ministries.

And it is not just companies like Rio Tinto that are interested in the initiative. Multilateral groups, such as the B20 as you can imagine, are watching the progress closely.

And if it wants, the government can be more subtle in directing investment toward Chinese cloud companies.

And with just 4 percent of the Chinese population owning a passport, compared to 37 percent of Americans, the "revolution" looks set to continue for the foreseeable future.

Analysts said the move is expected to facilitate the development of autonomous driving in the country, which is already the world's largest car market and is determined to become a global automotive power in terms of smart cars.