Volkswagen plans to design and develop its own high-powered chips for autonomous vehicles, along with the required software, Chief Executive Herbert Diess told a German newspaper.
Volkswagen did not decide to build semiconductors but wanted to have patents if possible, Diess said, adding that the group’s software unit Cariad would develop the expertise and expand. The move is a response to Tesla, which can integrate custom-designed chips, allowing the U.S. company to develop new features faster than its competitors.
Founded in 2020, Cariad is a 100% subsidiary of Volkswagen group. It has around 4000 engineers and developers working on software platform for automotive which is expected to be ready by end of 2024. It has stakes in 15 automotive technology companies, such as diconium or Wireless that are focusing on different software technology aspects of cars.