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Will German Manufacturers And Suppliers Ally Over Autonomous Cars?

Leading German car manufacturers could join forces to advance together in the race for autonomous cars, according to German media reports.

Volkswagen, BMW and Daimler, as well as suppliers Bosch and Continental are “evaluating” the possibility of an alliance to develop autonomous mobility, according to the German weekly Manager Magazin.

Earlier, the daily Handelsblatt had already held discussions between Daimler and BMW, while Bloomberg had reported preliminary talks between these two manufacturers in late 2018.

BMW, which already cooperates with Fiat and Intel, told AFP that “other companies are interested in a collaboration” around its “non-exclusive” platform for autonomous driving.

“Strategic partnerships and a large network of research and development are key success factors” because of the “substantial investment” necessary for the development of the autonomous car, explained a Volkswagen spokesman. Thus, the group “considers several projects in common with other companies in all regions of the world,” he added, refusing – like his counterpart at BMW – to specifically comment on the different press information.

Daimler, Continental and Bosch had no comment.

Last week, Volkswagen and Ford announced an alliance on vans and pickups to significantly reduce their production costs, while looking ahead to continuing discussions on a partnership in the field of electric and autonomous vehicles and mobility services.

According to Manager Magazin, the discussions between Volkswagen and Ford have not resulted in a wider agreement because the boss of VW, Herbert Diess, would prefer an alliance between German companies.

These discussions come at a time when the automotive industry is racing to develop these expensive technologies that are supposed to define the modes of transport of tomorrow.

The uncertainty and the sums involved encourage alliances: for example, Honda has recently invested in General Motors’ “Cruise” subsidiary, which is focused on autonomous technologies.