Volkswagen Terminates Bosch Automated‑Driving Collaboration
Volkswagen announced that it will end its automated‑driving partnership with Bosch, a move framed within the group’s broader cost‑cutting programme. The joint effort, launched in 2022 between Bosch and Volkswagen’s software arm Cariad, was created to develop driver‑assistance and autonomous‑driving software for all Volkswagen brands. Both parties issued a joint statement confirming the long‑standing collaboration aimed at bringing automated‑driving systems to the global mass market, while noting that they would not comment on confidential partner discussions.
Internal assessments, reported by Germany’s Bild newspaper, concluded that the technology was not yet competitive. The project had absorbed approximately €1.5 billion (US$1.71 billion) in investment but failed to meet expectations. Consequently, the partnership is scheduled to terminate according to contractual terms, with final termination not expected before Monday following the report’s publication.
Volkswagen is now seeking a new supplier for both hardware and software components of its automated‑driving systems. The company is in the selection phase for a replacement partner, and a new contract is planned to be signed by September.
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