Summary:
Waymo and the Volvo Cars Group have agreed to develop a self-driving electric vehicle designed for ride hailing use, as part of a new global partnership.
Waymo, a unit of Silicon Valley`s Alphabet Inc, said it will be the exclusive global partner for Volvo Cars for developing self-driving vehicles capable of operating safely without routine driver intervention. Waymo will focus on the artificial intelligence for the software "driver." Volvo will design and manufacture the vehicles. The companies said Waymo will work with Volvo`s global brands, including Polestar and Lynk & Co.
Volvo, owned by China`s Zhejiang Geely Holding Group Co, has a separate agreement to deliver vehicles to ride hailing company Uber Technologies Inc that Uber will equip to operate as self-driving vehicles. Volvo Cars is continuing to deliver vehicles to Uber.
The partnership also includes other subsidiaries under Volvo Car Group, including electric performance brand Polestar and Lynk & Co. International, a point that Volvo Car Group CTO Henrik Green specifically noted in his prepared statement.
If a licensing deal between the two companies materializes, it could be similar to Waymo’s partnership with Fiat Chrysler Automobiles. In May 2018, FCA announced it expanded its contract with Waymo to supply the self-driving car company with up to 62,000 Chrysler Pacifica Hybrid minivans. FCA also said at the time that it was exploring ways to license Waymo’s self-driving car technology in order to deploy the tech in cars for consumers.
Waymo has a supplier partnership with Jaguar Land Rover for up to 20,000 all-electric I-Pace vehicles. In June 2020, Waymo locked in a partnership with Renault and Nissan to research how commercial autonomous vehicles might work for passengers and packages in France and Japan.
Rival Cruise, majority-owned by General Motors Co, last year unveiled a prototype for an electric, self-driving people carrier called the Cruise Origin.
Waymo and Volvo did not say when or where they expect to launch their new ride-hailing vehicle.