Volvo and Mercedes Strike Major Partnership with New Joint Venture

Written by Kathrine Frich

Oct.29 - 2024 9:55 AM CET

Autos
Photo: Shutterstock
Photo: Shutterstock
The newly established company will be headquartered in Sweden.

Trending Now

Volvo Group and Daimler Truck have formalized plans to create a joint venture aimed at developing an advanced software-defined vehicle platform.

Rival Leaders Cooperate

First announced in May, this initiative will establish a common operating system for commercial vehicles, setting new standards in safety, efficiency, and connectivity.

The newly established company will be headquartered in Gothenburg, Sweden, with plans for completion by mid-2025, pending regulatory approvals, according to a pressrelease.

The collaboration, unique for two rival leaders in the commercial vehicle sector, reflects a shared commitment to digital transformation within the industry.

The platform is designed to enable flexible digital features that can enhance and customize truck functionality. This move is expected to redefine vehicle software architecture, helping trucks become “self-optimizing” by integrating digital functions that can be updated wirelessly.

Unprecedented Levels of Safety

Karin Rådström, CEO of Daimler Truck, expressed that this partnership underscores a commitment to setting new standards in commercial vehicle digitalization.

Volvo Group President and CEO Martin Lundstedt echoed this sentiment, noting that the platform will help achieve “unprecedented levels of safety, comfort, and efficiency.”

The platform will focus on providing high-performance control units capable of handling vast data volumes, supporting features such as over-the-air updates, which allow operators to manage and enhance their fleet software without physical modifications.

This capability promises to increase flexibility, reduce maintenance complexity, and improve vehicle performance over time.