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- SW Issues at VW, Stellantis might drop Maserati, Joint Venture Galore, Deepfake scam
SW Issues at VW, Stellantis might drop Maserati, Joint Venture Galore, Deepfake scam
Summary
Volkswagen Group's software division, Cariad, is facing significant delays, pushing the launch of the Scalable Systems Platform (SSP) from 2024 to an uncertain date after 2026. Audi, initially set to launch an SSP-based model in 2026, now expects delays until 2027 or 2028 and has considered purchasing a platform from a Chinese automaker. The Volkswagen brand is also affected, with next-generation models like the electric Golf and ID.4 pushed back to 2029. Delays have also impacted the launch of the large electric Volkswagen SUV T-Sport, now moved from 2028 to 2031.
Some more context
Creating a SW platform for multiple models always results in a overly bloated "superset" of a platform that ends up being a beast of its own. This is a very dangerous direction especially when the effects of it will be felt across multiple OEM brands, countries and years to come.
The only way these kind of initiatives end up working is to start simple and small. The platform has to become the thinnest minimum viable piece of SW that is really robust and smart. And building from there.
Moving all the SW expertise outside of the OEM is also a bad move. SW abstraction layers, no matter how clean they can be split on a diagram, will have a lot of dependencies to each other. And the only way to figure all that out, especially when it is the first iteration is to keep the right engineers together and focused on a common goal. Starting a new SW company does not necessarily make that easier.
Joint Venture Galore
Summary
Volkswagen Group has granted approval on Monday from Germany’s Federal Office for the creation of a joint venture with U.S. electric vehicle (EV) maker Rivian. Earlier this month, Volkswagen Group said it was set to invest up to $5 billion in the US-based electric vehicle maker Rivian to leverage its technology and form a joint venture.
Earlier this month, Volkswagen Group said it was set to invest up to $5 billion in the US-based electric vehicle maker Rivian to leverage its technology and form a joint venture.
Volvo Group and Daimler Truck intend to form a joint venture for a software-defined vehicle platform to amplify digital transformation
My take on this
It is a weak hedge in my opinion. Now that it is becoming clear for OEMs that SW is much harder than they thought. They need more allies (also read as headcount) and joint ventures seem to be a nice way to learn from other OEM mistakes and to better create synergies
Different OEMs have different product lines, vision, culture and even customers. The conclusion of joint ventures is the next best step is accepting mediocrity and producing to the average instead of standing out.
Summary
Maserati is in bad shape and things look so bleak that Stellantis is considering selling it off. The historic, Modena-based luxury automaker isn’t doing so hot this year, with global sales down 50 percent year-over-year. Maserati only sold 6,500 units from January to June, while it sold 15,300 units during the same time period last year. This accounts for an adjusted operating loss of $88.6 million in 2024. Knight blamed Maserati’s poor performance on the discontinuation of models like the Quattroporte, Ghibli, and Levante. If the brand stays in Stellantis hands, Maserati’s coming EVs will likely get delayed, with the Levante’s electric successor hitting the market in 2027 and the Quattroporte’s electric successor in 2028.
Autowist Hot Take: The sustainability of large conglomerates is not in the common-ification of the tech, the worksforce or products. But to find a way to create a space for each brand in the market and product portfolio.
Autowist Prediction: Geely is going to be a template example for other Chinese OEM Conglomerates. More conglomerates will begin to form in the second half of this decade.
Meanwhile,
Summary
Self-driving cars are so hot right now, with automakers like Mercedes offering autonomous driving capabilities to customers in America and Tesla promising that one day it really, really will crack full-self driving. Polestar, part of the Geely group, is also working on its own autonomous tech but won't roll it out until it can prove it enhances vehicle safety. “You would not push it out when you are not 100 percent sure that it is actually safety enhancing," Polestar boss Thomas Ingenlath explained. While Ingenlath doesn’t name them, those “others” probably include brands like Tesla, which has continued rolling out its advanced Autopilot and Full-Self Drive systems to drivers across America. Polestar is currently working to roll out its new Polestar 3 electric SUV in America, which has been hit by delays on its way to becoming the first car built by the brand here in America.
How can we ever be sure that the self-driving technology is safe for human both inside and outside the vehicle. The "Engineer" or "Rational" way to think about this is what risk is the OEM willing to accept.
It is the strategic balance between "trying it in the real world so you can learn better and faster, which can possibly yield real world success or real world failures" vs. "taking the long term approach in developing a piece of technology; so we arrive at a solution that is acceptable on paper/theoretically and test it in reality after" that OEMs are trying to strive for. One looks better to calm down investors, media, customers. While the other might be more enticing for an engineer.
In either way, it is crucial for OEMs to embrace mistakes and openly change the strategic direction with new data and results. (Autopilot’s Reliance On Only Cameras Is Tesla’s ‘Fundamental Flaw’)
Smaller cars are doing better in the US
Due to higher car prices and increased borrowing rates, Americans are turning to smaller, more affordable vehicles. Small car sales, especially subcompact SUVs, have surged in 2024, with models like the Chevrolet Trax seeing significant increases. Despite being more affordable, these smaller vehicles now come equipped with advanced technology and safety features. Additionally, the rise of inexpensive electric vehicles from China is pushing automakers to produce smaller, budget-friendly models to stay competitive. Read more here.
On an interesting note: Ferrari Exec Nearly Duped By Deepfake Voice Of CEO Benedetto Vigna In Scam Attempt
A Ferrari executive was targeted by a scammer who impersonated the automaker’s CEO, Benedetto Vigna, using a deepfake voice and WhatsApp messages. The scam aimed to persuade the executive to make a financial transaction by creating a sense of urgency and secrecy. The executive grew suspicious when the caller's mechanical speech pattern didn't match Vigna's usual cadence. To confirm the caller's identity, the executive asked about a book Vigna had recently recommended, causing the scammer to abruptly end the call. Ferrari has since launched an internal investigation into the incident.