Volkswagen’s unit to spend $2 bn for stake in joint venture with Horizon Robotics

 

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Volkswagen’s software unit Cariad will spend more than $2 billion to take a 60% stake in a new venture with Chinese technology firm Horizon Robotics, it said on Thursday.

The carmaker will invest $1 billion in Horizon Robotics and a further 1.3 billion euros ($1.26 billion) in the joint venture, with the transaction to be completed in the first half of 2023.

Together the companies will develop technology that can integrate numerous functions for autonomous driving onto a single chip that will be available only in China.

Volkswagen’s software unit Cariad will play an active role in developing the chip technology with Horizon Robotics, and the know-how will be shared across the Volkswagen Group, the carmaker’s China chief said.