VW Group to Invest in Joint Venture Between CARIAD & China's Horizon Robotics

VW Group's software unit CARIAD and Horizon Robotics have announced plans to also establish a joint venture in China, with CARIAD holding a majority stake of 60%. Volkswagen Group will invest approximately EUR 2.4 billion in the cooperation with Horizon Robotics.

CARIAD and Horizon Robotics plan to develop advanced driver assistance systems (ADAS) and autonomous driving (AD) solutions for China to drive forward the integration of numerous functions on one chip, increasing the stability of the system, saving costs, and reducing energy consumption.

The fully integrated software/hardware technology provides scalable as well as cost efficient ADAS/AD solutions for the VW Group’s BEV (Battery Electric Vehicles) models in China. 

Horizon Robotics is a provider of energy-efficient computing solutions for ADAS and AD for smart vehicles. 

Ralf Brandstätter, Member of the Management Board of Volkswagen AG for China, says: “The partnership with Horizon Robotics is a central cornerstone of our strategy to realign and further strengthen our activities in our most important market worldwide. Localized technology development grants the region more autonomy to further expand its position in the dynamic automotive market. Cutting edge technology comprising the full software and hardware stack, which the new joint venture will develop, will enable us to tailor our products and services even faster and more consistently to the needs of our Chinese customers. Teaming up with Horizon Robotics will allow Volkswagen to accelerate the development of automated driving solutions as part of our NEW AUTO strategy and drive the repositioning of our China business.” 

“As the global automotive software and technology company of Volkswagen Group, CARIAD is an important force in the Group’s transformation into a software-driven mobility provider. Through the joint venture with Horizon Robotics in China and further investment in autonomous driving technology, we are underlining our position in innovation and modernization in China’s automotive industry. Our goal is to create long- term value in China for the Group and our shareholders in line with expected market development”, adds CARIAD CEO, Dirk Hilgenberg.

“Horizon Robotics is committed to empowering smart vehicles through integrated computing solutions with the mission to make human life safer and better,” comment Dr. Kai Yu, founder and CEO of Horizon Robotics, “As one of the leading companies to commercialize and mass produce computing solutions of autonomous driving in China, we will bring in our expertise to the partnership with CARIAD to develop next-generation technologies for smart vehicle users. We believe our integrated software and hardware solutions will continue to position Horizon Robotics as a partner of choice for international auto makers in China.”

CARIAD is an independent automotive software company in the Volkswagen Group that is consolidating and further expanding the Group's software competencies.