Autoliv and Volvo are to form a new jointly-owned company to develop next generation autonomous driving software. The planned new company will have its headquarters in Gothenburg, Sweden, and an initial workforce taken from both companies of around 200, increasing to over 600 in the medium term. The company is expected to start operations in early 2017.
Once finalized, the joint venture will be a new entrant in the growing global market for autonomous driving software systems. It will mark the first time a leading premium car maker has joined forces with a tier one supplier to develop new ADAS and autonomous driving (“AD”) technologies. The new company, which has yet to be named, will develop ADAS and AD systems for use in Volvo Cars and for sale exclusively by Autoliv to all car makers globally, with revenues shared by both companies.
Both Autoliv and Volvo will provide IP for their ADAS systems to the JV. The new company is expected to have its first ADAS products available for sale by 2019 with AD technologies available by 2021.