Earlier this year, Huawei and Baidu poured $19 billion USD into electric vehicles (EVs) and self-driving technology, and now Huawei is set to partner with another company, known for being a worldwide automaker.
Huawei and Volkswagen will reportedly start a new joint venture together, in order to begin focusing on self-driving technology, according to people familiar with the subject per a report from 36kr (via CNEVPost).
Those familiar with the matter noted that the project is swiftly moving forward, using VW as a supplier.
Tesla’s Gigafactory in Berlin Will Increase Competition in German, Says VW CEO https://t.co/Hs486XB7Ij
— TeslaNorth.com (@RealTeslaNorth) September 25, 2021
The two companies are also still considering how to run the joint venture, with one of the ways they’re discussing being VW providing capital and becoming the controlling company of the venture, while Huawei offering technology and intellectual property for the project – including both software technology and chip-based intellectual property.
In response to the news, Huawei denied the claims, while VW hasn’t yet responded.
The report also says the Su Jing, Huawei’s head of smart driving and a former self-driving business executive, will join the joint venture, providing a range of technical expertise within the field.
Traditional automakers are racing to catch up to Tesla as they pivot to electric vehicles. Volkswagen recently had Tesla CEO Elon Musk as a surprise guest speaker to inspire company managers.
A report from earlier this month also showed that Volkswagen CEO Herbert Diess warned of the potential to lose up to 30,000 jobs in a shift to EVs, though others at the company said the figure was “baseless.”
