Martin Daum (left) and Martin Lundstedt by Daimler AG
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Volvo Group and Daimler Truck have announced a preliminary agreement on a joint venture under which they would co-develop a common vehicle technology platform that they said could eventually be shared with other partners.
The aim of the joint venture is to provide a common developer platform as a service that customers can build upon, the companies announced May 17. More specifically, the key goal is to create a software-defined vehicle platform and dedicated truck operating system that would provide the basis for future software-defined commercial vehicles. Both Daimler and Volvo said the aim is to establish an industry standard for a truck operating system and make it available to other manufacturers. This standardized hardware and software could enable the two partners and others to provide differentiating digital vehicle features for future products, the companies said.
A final agreement is expected this year with the aim of completing a final transaction in the first quarter of 2025.
“Volvo Group and Daimler Truck are two individually great companies,” said Volvo Group CEO Martin Lundstedt. “Now we are combining our forces to accelerate the customer benefits that a software-defined truck platform will bring. Given the rapid transformation of our industry, it makes sense to collaborate to accelerate development, increase volumes and share cost.”
Daimler Truck and @VolvoGroup intend to form a joint venture for a software-defined vehicle platform to amplify the digital transformation. The platform will provide the basis for differentiating digital vehicle features for trucks and buses.
Read more: https://t.co/AhZApgO3pp pic.twitter.com/H6NEuZAf0U
— Daimler Truck (@DaimlerTruck) May 17, 2024
“Developing a common software-defined vehicle platform with Volvo Group will enable us to turn our vehicles into a programmable device,” added Daimler Truck CEO Martin Daum. “It will allow us to build differentiating digital vehicle features with significantly greater speed and efficiency for our truck and bus customers around the globe. Together with the Volvo Group we can develop a benchmark truck operating system and set an industry standard.”
Volvo and Daimler will be equal partners in the joint venture while continuing to be competitors in all other areas of business. The venture itself will operate as an independent entity operating out of Gothenburg, Sweden. It will incorporate existing assets and resources of both companies into the new organization.
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