Volvo Establishes Joint Venture with Supplier to Sell Autopilot Technology |

On September 6, Volvo announced cooperation with Autoliv, a Swedish car seat belt and air bag supplier, to develop driverless software and sell the research results to other car manufacturers. This cooperation has opened up a precedent for car manufacturers and "first-tier" suppliers to cooperate in the development of driverless car technology.

Through this cooperation, Volvo and Autoliv have migrated both their driverless car software development and intellectual property rights to a joint venture (currently without a name) established by both parties. How much money will be invested by both parties to establish a joint venture will not be revealed. According to Volvo official sources, the joint venture will initially employ 200 employees (both from Volvo and Autoliv) and is expected to increase to more than 600 in the near future.

The new joint venture company headquarters will be located in Volvo R & D headquarters - Gothenburg, Sweden. The company is expected to be officially operational in 2017, and its management will be composed of representatives from both sides. Dennis Nobelius, general manager of Volvo Cars, will become the CEO of the new company. The first set of co-pilot systems that both parties hope to develop can be launched in 2019, and the autopilot system is in 2021.

So far, most automakers have always maintained the habit of independently researching and developing unmanned car technologies and have kept these technologies strictly confidential. However, Volvo will use its new joint venture company to provide its own driverless car technology to other car manufacturers, and the income will be divided by Volvo and Autoliv.

Through collaboration, Volvo and Autoliv will transfer their intellectual property rights in driverless cars to joint ventures, and Autoliv will act as an exclusive supplier of all R&D technologies to supply these technologies to external companies.

At the same time, other automakers, auto suppliers, or technology companies are also launching offensives on autopilot, and the news on this area shows an outbreak:

In March of this year, General Motors spent 600 million U.S. dollars to acquire Cruise Automation, a pioneering startup company. It also spent 500 million U.S. dollars to invest in Lyft, a taxi software.

BMW and Intel and the Mobileye Alliance jointly developed a self-driving car that will be produced in 2021.

Ford announced a plan to build car sharing services around its own unmanned vehicles. In the recently announced L2 fully-autonomous driving in 2021, the car will have no steering wheel and brakes.

Elon Musk paints a new blueprint for Tesla, and also looks forward to the formation of car sharing services for Tesla's unmanned vehicles around the future. Tesla announced earlier this year that Autopilot has accumulated 100 million kilometers of miles, surpassing Google’s driverless approach. 10 years of accumulation.

Nutonomy has launched its own shared ride service pilot in Singapore, and has been rebuilt by Renault and Mitsubishi.

Uber announced that it has partnered with Volvo to conduct unmanned vehicle testing in Pittsburgh, and announced the acquisition of Otto, a start-up company for unmanned vehicles, which was created by Levandowski.

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Volvo has been particularly busy in recent months and has devoted most of its energy to autonomous driving.

In addition to Volvo’s announcement last month to cooperate with Uber on the development of the next generation of self-driving cars, earlier this year, Volvo also announced that it will schedule its autonomous driving team to conduct tests in Pittsburgh, London and China. Last week, Volvo announced that it will employ 400 engineers in the next year to conduct research and development related to safety-related, autopilot and automotive electronics.

The Volvo's choice of cooperation with Autoliv to a certain extent shows that Volvo itself is also seeking a "security feeling" and needs to use additional strength to maintain the same level with other competitors.

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