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Volkswagen Outsourcing Software, Hardware Future to China

The German automaker has no way to compete with Tesla save by partnering with China, says one auto industry analyst.
Volkswagen's ID 3 EV
(Image: Volkswagen)

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By Junko Yoshida

What’s at stake?
As Volkswagen rapidly loses market share in China, its 2.4 billion-euro investment in Horizon Robotics might be interpreted as a desperate act. Or could it be that Volkswagen has a secret deal brewing with the Chinese government?

Volkswagen AG, one of the world’s largest automakers, has made possibly the boldest move in the technology/automotive world by becoming the first western company to entrust its software and hardware future to Horizon Robotics, China’s national champion in the development of AI hardware and software.

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