Volvo Cars and auto tech supplier Veoneer will split their jointly owned software venture Zenuity as the Swedish carmaker focuses on developing autonomous driving software, the companies said last week.
In parallel, Veoneer will integrate the current Zenuity business focused on ADAS software, while Volvo Cars will set up a new stand-alone company to take over Zenuity’s development and commercialization of unsupervised autonomous drive software.
.“This means that we will buy today’s systems ADAS from a more traditional supplier relationship, but development-wise we now want to put our focus on the next generation of products,” Volvo cTO Henrik Green said.
Volvos’ part of Zenuity will focus on software that will be introduced in the next generation of cars based on Volvo’s SPA2 vehicle architecture platform, starting from around 2022, Green added.
Veoneer, which also makes radars and vision systems and expects 90% of its available market to be for ADAS in the next decade, said the move would help it drive its business strategy more effectively.