Daimler Truck and Volvo Group have solidified their plans to launch a joint venture aimed at creating a shared software-defined vehicle platform and dedicated truck operating system, following the announcement of this collaboration in May. The two commercial vehicle giants have now signed a binding agreement to establish the venture, which will be based in Gothenburg, Sweden. This platform will serve as a foundation for both companies and potential future clients to offer unique digital vehicle functionalities.
Driving Digital Transformation Forward
Karin Rådström, CEO of Daimler Truck, highlighted the joint commitment to innovation: “The signing demonstrates our joint commitment to lead the digital transformation of our industry. The software and hardware from this joint venture will be crucial for achieving unprecedented levels of safety, comfort, and efficiency for our customers.”
Martin Lundstedt, President and CEO of Volvo Group, echoed the sentiment, saying, “We are joining forces to redefine software architecture and pioneer a new era of self-optimizing trucks. Together we are reducing complexity to empower our customers with greater connectivity, safety, and efficiency. It is a revolutionary response to the challenges of our modern world, and we are proud to be setting the industry standard.”
Revolutionizing Commercial Vehicle Software
The joint venture will focus on specifying and procuring centralized, high-performance control units tailored for commercial vehicles, capable of processing extensive data volumes. This new company will create an operating system and development tools, enabling manufacturers to build distinct digital vehicle features. This approach will separate software from hardware development timelines, allowing customers to buy and update applications wirelessly, improving both efficiency and user experience.
Despite the joint venture, Daimler Truck and Volvo Group will maintain their competitive edge in overall product and service offerings, including digital solutions.
The transaction is anticipated to close in the first half of 2025, pending regulatory approvals.
