Volvo and Geely have announced they will join forces to deliver a range of collaborative vehicle powertrains, shared EV platforms and autonomous driving (AD) technology.
They will combine their existing individual powertrain operations into one standalone company, with production expected to begin later this year. The new company will provide Volvo, Geely and other vehicle manufacturers with an array of ICEs (internal combustion engines), transmissions and dual-motor hybrid systems for use in next-generation vehicles.
Alongside production, the companies say they will combine their knowledge to further develop and source next-generation technology for use in autonomous driving, connectivity and vehicle electrification. The collaboration will also see the sharing of electric motors and jointly sourced batteries, and the development of an autonomous driving solution led by Volvo software development company Zenseact.
For example, the newly designed SEA and SPA2 EV architectures will be shared, improving the efficiency of the development process for the hardware and software used in the modular EV platforms.
Håkan Samuelsson, president and CEO of Volvo Cars, said, “Having evaluated different options to realize value, we concluded jointly that a collaboration model between two standalone companies is the best way to secure continued growth and at the same time achieve technological synergies in many areas. We welcome the opportunity of further and deeper collaboration with Geely Auto.”