Volvo Group and Daimler Truck aim to lead the transition to software-defined heavy-duty commercial vehicles to improve customer efficiency and experience.The companies plan to establish a joint venture to develop a software-defined vehicle operating platform, integrating both software and hardware, to enable distinct digital vehicle features. The proposed joint venture will be a 50/50 partnership headquartered in Gothenburg, Sweden.
Volvo Group and Daimler Truck have agreed to form a joint venture aimed at developing a common software-defined vehicle platform. This platform will serve as the foundation for future software-defined commercial vehicles, integrating both software and hardware to enhance digital vehicle features. The joint venture will incorporate existing assets and resources from both companies, aiming to set an industry standard for a truck operating system. It will offer a common developer platform, enabling other OEMs to build their own software layers on top of this foundation.
The joint venture will be structured as an independent entity, with equal ownership by Volvo Group and Daimler Truck. Both companies will continue to compete in other business areas. This collaboration is seen as essential to meeting development goals and customer expectations efficiently, especially in light of ongoing investments in CO2-neutral drive technologies.
“By combining our strengths, we can accelerate the development of a software-defined truck platform, benefiting our customers through enhanced digital services and solutions. This collaboration will enable faster product updates and create value for both companies.”Martin Lundstedt, President and CEO of Volvo Group.
“Digitalization is as crucial as transitioning to CO2-neutral technologies. Developing a common software-defined vehicle platform with Volvo Group will turn our vehicles into programmable devices, allowing us to build distinctive digital features more efficiently for our global customers.”Martin Daum, CEO of Daimler Truck.
Despite this collaboration, Volvo Group and Daimler Truck will continue to compete and differentiate their complete product and service offerings, including digital solutions. Each company will provide unique end-user applications on the shared platform to deliver distinct digital features to their customers.
The preliminary agreement between Volvo Group and Daimler Truck is non-binding. A final agreement is anticipated within this year, with the goal of completing the transaction by Q1 2025, pending necessary approvals from relevant authorities.
