June 30th, 2024

Volkswagen Willing to Pay $1B Just to Look at Rivian's Software

Volkswagen partners with Rivian for software development, investing $1 billion. Uncertainty surrounds success due to potential integration challenges from cultural differences and past partnership struggles. Future outcomes in software technology advancement remain uncertain.

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Volkswagen Willing to Pay $1B Just to Look at Rivian's Software

Volkswagen has announced a partnership with Rivian to develop next-generation software, ECUs, and network architecture. The deal involves Volkswagen paying $1 billion to acquire Rivian stock, becoming its second-largest shareholder. The joint venture aims to create advanced electrical architecture and software technology, but its establishment depends on meeting certain milestones. Volkswagen's move reflects its desperation to enhance its software capabilities, as its previous software arm, Cariad, faced challenges. However, integrating Rivian's software into Volkswagen's vehicles may prove difficult due to cultural differences and bureaucratic hurdles within Volkswagen. The joint venture's success remains uncertain, given Volkswagen's history of struggling with similar partnerships. While the partnership could offer Volkswagen opportunities in the software-defined vehicle market, challenges lie ahead in aligning strategies and achieving desired outcomes. Time will tell if this collaboration will lead to successful advancements in software technology for Volkswagen.

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Link Icon 5 comments
By @kkfx - 6 months
Automotive is one of the many field heavily dependent on software and unable to create anything good in that. That's a good example of why we damn need to change the IT landscape for a future society...

FLOSS MUST BE BY LAW, we can't accept a modern society of black boxes and this allow for collaborative development witch anyone own it's own while all other can cherry pick creating a fast enough, stable enough, safe enough stream of innovation.

Another part is electronic witch we are still champion but many industries who need electronics are TERRIBLE at it. Again open hw is mandatory to create evolvable architecture for any field.

We can't accept things like a car briked because parked in at a certain steepness and for some reasons a crapware update fails under that condition, overnight, without any human owner control. Similarly we can't accept safety features like ADAS being tied to car infotainment just because the automaker bought some ancient SoC and tablets for that purpose not knowing what to do otherwise. FLOSS prove to be a technical success, a business failure. It's time to make it the norm so business can compete in hw not in selling services.

Of course it's terribly hard but if back then at Xerox this happen it can happen again, recreating some relevant conditions like public fund for public FLOSS projects, created to serve the people not some private parties and used by any private party for commerce. This allow for a balance between the private sector needs and the public allow freedom of innovation and reducing certain level of crap for all.

By @rychco - 6 months
> Volkswagen benefits from Rivian's expertise in developing and producing software-defined vehicles

What is wrong with current Volkswagen cars that this is so desirable? What is the benefit for consumers?

By @WhereIsTheTruth - 6 months
Sounds like someone at Volkswagen is getting blackmailed

This article for sure sounds like FUD