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Volkswagen ADMT Announces Agreement With Mobileye for Autonomous Driving

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Volkswagen partners with Mobileye to develop autonomous Level 4 service vehicle for commercial use in Europe and the USA, utilizing advanced technology and shared modules within Volkswagen Group.
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The announcement by Volkswagen concerning the development of a Level 4 autonomous service vehicle marks a significant milestone in the automotive industry's shift towards automation. The collaboration with Mobileye Global Inc. to provide the software and hardware components for the ID. Buzz AD is a strategic move that leverages the expertise of a technology leader in the field of advanced driver-assistance systems (ADAS).

From an industry perspective, the shift to Level 4 autonomy represents a substantial leap from Level 2+ systems, which still require driver supervision. Volkswagen's approach to utilize shared modules across different levels of autonomous driving could lead to cost efficiencies and faster integration of technology across its product line. This modular strategy may also streamline the research and development process, potentially reducing the time-to-market for new autonomous features.

However, the path to commercializing autonomous vehicles is fraught with regulatory hurdles and safety concerns. The success of Volkswagen's autonomous ID. Buzz will largely depend on the public's acceptance of self-driving technology and the company's ability to navigate the complex regulatory landscape. Additionally, the continuous need for high-quality digital maps and real-time data to support autonomous driving raises questions about data privacy and cybersecurity.

The partnership between Volkswagen and Mobileye could have a notable impact on Volkswagen's financials, particularly if the ID. Buzz AD gains traction in the mobility and transport services market. The focus on commercial applications suggests that Volkswagen is targeting a B2B customer base, which might include ride-hailing services, delivery companies and public transportation providers.

Investors should monitor the capital expenditures associated with the development and production of these autonomous vehicles. While there may be high initial costs, the potential for long-term revenue streams from commercial clients could be significant. Furthermore, the shared module strategy implies that Volkswagen is looking to optimize its investment in autonomous technology by spreading costs across multiple vehicle models.

It is important to note that the success of this venture will likely hinge on the scalability of the technology and the adoption rate in the commercial sector. Investors should consider the competitive landscape, as other automakers and tech companies are also investing heavily in autonomous driving technology. The ability of Volkswagen to secure a first-mover advantage, particularly in the European and U.S. markets, could be a deciding factor in the financial outcome of this initiative.

The technical specifications of Volkswagen's Level 4 autonomous ID. Buzz, particularly the integration of dual high-performance computers and a suite of sensors, highlight the complexity and sophistication of the system. The reliance on swarm data and a constant online connection introduces a critical dependency on robust and secure data transmission channels.

As vehicles become more connected, the risk of cyber threats increases. It is imperative for Volkswagen to implement stringent cybersecurity measures to protect both the vehicles' operational integrity and the privacy of the data collected. The company's ability to ensure end-to-end encryption and secure cloud storage will be vital in maintaining consumer trust and complying with data protection regulations.

The use of swarm data, which involves the collection and analysis of information from numerous vehicles, presents both an opportunity and a challenge. While this data can significantly enhance the autonomous driving experience by providing real-time updates on road conditions, it also necessitates a transparent data governance policy to address potential concerns around data sharing and user consent.

  • Volkswagen is the first vehicle manufacturer to develop an autonomous Level 4 service vehicle for large-scale production
  • The aim is to use it in the commercial sector, for example for mobility and transport services in Europe and the USA
  • High synergies with systems for automated driving within Volkswagen Group: shared module use from Level 2+ to Level 4

HANNOVER, Germany--(BUSINESS WIRE)-- Autonomous driving is coming. Following an extensive pilot phase with road testing in Germany and the USA, Volkswagen ADMT GmbH, part of Volkswagen AG, is announcing a cooperation agreement with the technology company Mobileye Global Inc. Mobileye shall develop and supply software, hardware components and digital maps for the self-driving ID. Buzz AD.

The Volkswagen ID. Buzz AV built on the Mobileye Drive™ autonomous platform. (Photo: Mobileye)

The Volkswagen ID. Buzz AV built on the Mobileye Drive™ autonomous platform. (Photo: Mobileye)

The main part of the agreement covers delivery and use of a self-driving system (SDS) for a special version of the ID. Buzz, which has been under development for autonomous driving since 2021. It corresponds to the so- called Level 4 definition of the Society of Automotive Engineers (SAE), in which the autonomous vehicle operates self-driving in a defined area such as a city. The basis for this are various software and hardware components, including two independent high-performance computers as well as 13 cameras, nine lidar and five radar units, each of which is capable of producing 360-degree surroundings. A constant online connection to clouds provides the autonomous vehicles with swarm data from other road users about the traffic situation as well as updates to the three-dimensional maps.

“Bringing autonomous shuttles on the road in large quantities requires cooperation from strong partners,” says Christian Senger, member of the Board of Management at Volkswagen Commercial Vehicles, responsible for Autonomous Driving: “We are developing the first fully autonomous large- scale production vehicle, and Mobileye brings its digital driver on board.”

An advantage of the cooperation is the synergy with systems for automated driving in the Volkswagen group; depending on the expansion level, modules can be shared across SAE levels from 2+ to 4. The aim of Volkswagen ADMT GmbH is to develop the fully electric autonomous ID. Buzz AD for the use in mobility and transport services from 2026.

This also includes intelligent fleet control: The Volkswagen Group company MOIA has been operating Europe's largest private ride pooling service in Hamburg since 2019 and has transported more than ten million passengers to date. MOIA brings its practical know-how into the development: Unlike individual (partially) autonomous cars, which are used individually by vehicle owners, mobility services are dedicated to transporting passengers to their desired destinations within the defined urban area and drop them off safely. Another use case for self-driving vehicles is, for example, the transport of packages. The logistics market has grown significantly in recent years due to the increasing share of e-commerce. Delivery capacity is already one of the biggest challenges the industry is facing due to the driver shortage. Autonomous transport will therefore be a possible solution to ensure long- term delivery capability and participate in market growth. Volkswagen ADMT GmbH is working intensively on autonomous freight transport for various industries as a second important pillar alongside autonomous passenger transport. In the future, autonomous vehicles shall be able to drive to certain loading and unloading stations or to customer addresses independently.

Autonomous vehicles for mobility and transportation services solve the driver shortage that has been the case for many years. Robo-shuttles promote both the quality of life and the economic development of cities.

Volkswagen Commercial Vehicles: We Transport Success, Freedom and Future As a leading manufacturer of light commercial vehicles, the Volkswagen Commercial Vehicles brand (VWCV) is reshaping the transportation of goods, services and people in a fundamental and lasting way. Our vehicles transport construction workers, families and adventurers, bread rolls, parcels and surfboards. Every day they help countless people all over the world to do a good job, they operate as mobile workshops and they bring paramedics and police personnel to wherever they are needed. At our sites in Hanover (D), Poznań (PL), Września (PL) and Pacheco (ARG), around 24,000 employees produce the Transporter, the new Multivan, Caddy, Crafter and Amarok model lines, and since May 2022 the ID. Buzz – the fully electric version of our iconic Bulli. Within the Volkswagen Group, VWCV is also the lead brand for autonomous driving and mobility offerings such as Mobility-as-a-Service and Transport-as-a-Service - areas in which we are shaping the future of mobility. In this way, the brand is transporting the society of tomorrow with all its requirements for clean, intelligent and sustainable mobility. It is this that Volkswagen Commercial Vehicles stands for with its brand promise: We transport success, freedom and future.

About Mobileye

Mobileye (Nasdaq: MBLY) leads the evolution of mobility with its autonomous driving and driver-assistance technologies, based on world-renowned expertise in artificial intelligence, computer vision, mapping, and integrated hardware and software. Since its founding in 1999, Mobileye has enabled the wide adoption of advanced driver-assistance systems while pioneering groundbreaking technologies such as REM™ crowdsourced mapping, True Redundancy™ sensing, Responsibility-Sensitive Safety™ (RSS™) driving policy and Driving Experience Platform (DXP). These technologies support a product portfolio structured for scale and designed to unlock the full potential of mobility, offering a range of solutions from premium ADAS to autonomous vehicles. By the end of 2023, about 170 million vehicles worldwide had been equipped with Mobileye technology. In 2022, Mobileye listed as an independent company separate from Intel (Nasdaq: INTC), which retains majority ownership. For more information, visit https://www.mobileye.com.

Mobileye

Justin Hyde

Director, Corporate Communications

+1 (202) 656-6749

justin.hyde@mobileye.com

Source: Mobileye

FAQ

What type of autonomous vehicle is Volkswagen developing with Mobileye?

Volkswagen is developing an autonomous Level 4 service vehicle with Mobileye for commercial use in Europe and the USA.

What is the main focus of the cooperation agreement between Volkswagen and Mobileye?

The main focus of the cooperation agreement is the delivery and use of a self-driving system (SDS) for a special version of the ID. Buzz.

What level of autonomy does the ID. Buzz AD correspond to according to the Society of Automotive Engineers (SAE)?

The ID. Buzz AD corresponds to Level 4 autonomy according to the SAE, allowing autonomous operation in defined areas like cities.

What components are included in the self-driving system for the ID. Buzz AD?

The self-driving system includes two high-performance computers, 13 cameras, nine lidar, five radar units, and constant online connection to clouds for swarm data.

Where has Volkswagen conducted road testing for the autonomous vehicle?

Volkswagen has conducted road testing in Germany and the USA for the autonomous vehicle.

What is the aim of using the autonomous vehicle in the commercial sector?

The aim is to use the autonomous vehicle for mobility and transport services in Europe and the USA in the commercial sector.

Mobileye Global Inc.

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