KATHMANDU: Leading German automakers Volkswagen, BMW and Mercedes-Benz, along with major suppliers such as Bosch, Continental, Porsche and ZF, have come together to form a European software alliance.
According to the German Association of the Automotive Industry (VDA), the partnership aims to reduce dependence on U.S. tech companies and boost local innovation.
The alliance includes 11 companies that recently signed a memorandum of understanding (MoU) during the 29th International Automotive Electronics Conference (AEK).
The focus of this collaboration is to jointly develop a modern, open-source automotive software platform. By sharing non-differentiating software components, the group plans to improve development speed, maintain high quality, and enhance safety.
The project adopts a “code first” approach, developing actual software modules instead of just writing specifications. This not only accelerates the development process but also helps meet certification standards more efficiently. The platform is open to other European and global companies and is expected to support autonomous driving technologies by 2026.
In a related move, Bosch has announced plans to invest USD 2.7 billion in artificial intelligence (AI) by 2027. The investment will help integrate AI into its products and services across mobility, manufacturing and consumer markets, driving long-term growth.
