Autoliv and Tensor Introduce World's First Foldable Steering Wheel for autonomous driving
Rhea-AI Summary
Autoliv (NYSE: ALV) and Tensor unveiled the world's first foldable steering wheel for the Tensor Robocar, designed for dual-mode use—manual control or retracted for Level 4 autonomous driving. The steering wheel integrates adaptive airbags that switch between a steering-wheel airbag in manual mode and an instrument-panel passenger airbag when retracted. The Tensor Robocar is targeted for volume production in H2 2026 and will be offered in the US, EU, and Middle East. The system aims to improve cabin space, comfort, and adaptive safety for autonomous interiors.
Positive
- Volume production targeted in H2 2026
- Dual-mode foldable steering wheel supports manual and Level 4 autonomy
- Adaptive airbag system switches by driving mode for occupant protection
Negative
- None.
Key Figures
Market Reality Check
Peers on Argus
ALV gained 2.85% while key peers were mixed: BWA +2.62%, MOD +3.36%, GNTX +1.72%, ALSN +0.86%, LKQ -0.69%. Moves are not uniformly directional across peers.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Dec 31 | Share structure update | Positive | -1.2% | Retired 1,260,725 repurchased shares, reducing issued share count. |
| Dec 29 | Management change timing | Neutral | -0.1% | Extended CFO Fredrik Westin’s resignation date to March 31, 2026. |
| Nov 10 | Dividend increase | Positive | +0.7% | Raised quarterly dividend to $0.87 per share for Q4 2025. |
| Oct 14 | Strategic partnership | Positive | +1.6% | Signed partnership with CATARC to advance automotive safety standards in China. |
| Oct 09 | China JV announcement | Positive | -3.2% | Planned JV with HSAE for safety electronics, with 40% stake for Autoliv. |
Recent news has produced mixed price reactions: positive partnership and dividend announcements sometimes aligned with gains, but share retirement and a China JV saw negative next-day moves, indicating no consistent reaction pattern.
Over the last few months, Autoliv’s news flow centered on capital returns, leadership transition, and strategic partnerships. A Q4 2025 dividend increase to $0.87 per share aligned with a modest gain. Strategic collaborations in China, including a JV with HSAE and a partnership with CATARC, highlighted growth in safety electronics and standards, but price reactions were mixed. The latest foldable steering wheel collaboration with Tensor fits Autoliv’s focus on advanced safety and automated mobility, extending its innovation narrative beyond traditional airbags and seatbelts.
Market Pulse Summary
This announcement highlights Autoliv’s push into advanced safety for autonomous mobility through a foldable steering wheel co-developed with Tensor’s Robocar platform. It builds on a backdrop of rising 2024 sales of $10.4 billion and recent strategic partnerships aimed at future vehicle safety standards. Investors may focus on how this design integrates with Level 4 autonomy, the planned volume production in the second half of 2026, and potential follow-on agreements with additional OEMs.
Key Terms
foldable steering wheel technical
autonomous driving system technical
passenger airbag technical
AI-generated analysis. Not financial advice.
The innovative foldable steering wheel responds to the industry's transition toward high-level automation. As autonomous vehicles evolve, the traditional steering wheel can become a static obstacle in the cabin, limiting both passenger comfort and space. The co-developed folding steering wheel is designed to support changes in interior layouts for autonomous vehicles. It allows for more personal space and flexibility for those inside the vehicle.
Seamlessly integrated with Tensor Robocar's autonomous driving system, the steering wheel retracts in Level 4 mode—where the vehicle can handle all driving tasks within defined conditions without human intervention—clearing the driver's area entirely. This transformation not only improves comfort but also reimagines the cabin as a multifunctional space.
The airbag system adapts according to the chosen driving mode to ensure optimal safety. When in autonomous mode, and the steering wheel is retracted, a passenger airbag integrated into the instrument panel is enabled. During manual driving, the airbag located within the steering wheel is used. Both configurations provide an equally high level of protection.
"Automotive safety can no longer follow a one-size-fits-all philosophy. We asked ourselves how to make safety intelligent and adaptive—creating a system that seamlessly aligns with the driver's needs. Our collaboration with Tensor delivers precisely that: a steering solution that enhances both safety and comfort by adapting to the vehicle's mode," said Fabien Dumont, Executive Vice President & Chief Technology Officer of Autoliv.
"Fully self-driving technology provides a groundbreaking user experience, but manual driving in certain scenarios is still desired by many people. Our dual-mode approach with a foldable steering wheel combines the best of both worlds and gives customers the freedom to choose." said Jay Xiao, CEO of Tensor. "Foldable steering wheels previously existed only in concept cars—now we are bringing this innovation to volume-production vehicles for everyday use."
This partnership marks a significant milestone in the development of autonomous vehicle interiors. It reflects a broader vision where leadership in automotive safety extends beyond crash performance to encompass intelligent, user-centric design. By introducing a solution that physically adapts to the driving scenario, Autoliv and Tensor are establishing a new benchmark for how safety systems can harmonize with and elevate the overall user experience. The Tensor Robocar will be offered in the US, EU, and
The foldable steering wheel will be showcased at the tech event Consumer Electronics Show, CES, in
Press image and video: Media gallery and Autoliv Foldable Steering Wheel
About Autoliv
Autoliv, Inc. (NYSE: ALV) (Nasdaq Stockholm: ALIV.sdb) is the worldwide leader in automotive safety systems. Through our group companies, we develop, manufacture and market protective systems, such as airbags, seatbelts, and steering wheels for all major automotive manufacturers in the world, as well as mobility safety solutions, such as commercial vehicles and electrical safety solutions. At Autoliv, we challenge and re-define the standards of mobility safety to sustainably deliver leading solutions. In 2024, our products saved approximately 37,000 lives and reduced around 600,000 injuries.
We have operations in 25 countries, and we drive innovation, research, and development at our 13 technical centers. Our 65,000 employees are passionate about our vision of Saving More Lives and quality is at the heart of everything we do. Sales in 2024 amounted to
About Tensor
Tensor is an American AI company dedicated to building agentic products that empower individual consumers. The Tensor Robocar, is the world's first personal Robocar and the first AI agentic vehicle—fully autonomous, automotive-grade, and built for private ownership at scale. With native support for L0–L4 autonomy and a true Dual Mode design, you can choose to drive or be driven, enhanced by a foldable steering wheel and sliding display. Founded in 2016 in Silicon Valley, Tensor is headquartered in
Video - https://www.youtube.com/watch?v=q7aEyeP5lJs
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Logo - https://mma.prnewswire.com/media/2853645/Autoliv_Logo.jpg
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SOURCE Autoliv AB
FAQ
What is the announcement from Autoliv (ALV) on January 5, 2026 about?
When will the Tensor Robocar with the foldable steering wheel reach volume production?
How does the foldable steering wheel affect safety in the Tensor Robocar?
Which markets will offer the Tensor Robocar with Autoliv's foldable steering wheel?
How does the foldable steering wheel change interior design for autonomous vehicles?
