STOCKHOLM (Reuters) – China’s Geely, has been chosen Zenuity, a joint venture between the Volvo car marque, the Swedish technology group, Veoneer, as a preferred supplier for the guided and self-driving software.
FILE PHOTO: Visitors look at a Geely Jiaji vehicle is displayed during the media day of the Shanghai auto show in Shanghai, China-April 16, 2019 at the latest. (REUTERS photo/Aly Song, File/Photo
Geely’s deal, which includes automobile brands, including Geely Automobile, performance, brand, Business, a subscription-based electric car manufacturer, Lynk & Co, a British sports car maker Lotus, is a welcome boost for Zenuity.
Regulatory challenges and rising costs of development, car manufacturers have slowed down the forecasts for the mass adoption of self-driving cars, and the pressure on the suppliers, such as Zenuity, who declined to comment on the financial terms on Tuesday.
Veoneer, said in April it was conducting a review of Zenuity, which is focused on the development of a software assisted floating-point functions (ADAS) such as lane keeping and autonomous driving (AD), and the search for the efficiency of the company.
Its Chief Executive, Dennis Nobelius said the Geely deal was a major win, if only to 3 to 5 first-generation self-driving software and platforms are going to survive to the end of the next decade, compared to the 40 CB Insights estimates have been available.
“Our plan is, obviously, that we want to be one of them,” he told reporters. “We have a number of rfq’s (request for quotation), at the time of ADAS, and we will discuss a deeper relationship if it’s going to be the AD part of it.”
Nobelius said it is a German car manufacturer that would produce models with Zenuity ADAS features in the next couple of weeks.
Zenuity all the ADAS software stack and, together with the parent, Veoneer the sensors have been exposed to clients and experts at an event in Detroit, Mich., later on Wednesday.
AN UNCERTAIN ROAD TO
Gothenburg-based Zenuity was founded in 2017, the Volvo, which Geely bought from Ford in 2010, and the former Veoneer older Trials, which are a 1.1 billion Swedish kronor ($115 million) in the company.
It is not to compete with the larger competitors in the self-driving technology, where AMERICAN companies are leading the way, with Google’s Waymo last year, winning the first approval to test the cars, without the safety and security of drivers on California’s roads.
Zenuity, where the customers are, among others, Volvo and Geely Auto, with more than 600 people and this year it won approval to start using the “hands-free” testing for volvo cars on Swedish roads.
Technology consultant, Erik Coelingh said Zenuity, the edge of which came from the fact that the products of both the ADAS and the ENVIRONMENT.
“And this is exactly where the ADVERTISEMENT will be shipped in a large volume of it is relatively uncertain, but the car will drive itself, then you will have ADAS,” Coelingh said. “The fact that we both have a really good position to be in, in this uncertain market.”
Reporting by Esha Vaish in Stockholm; Editing by John Hellstrom, Alexander Smith,