Credit: Horizon Robotics
- Volkswagen and Horizon Robotics will deepen their technological cooperation in AI foundation models through their joint venture Carizon.
- Carizon’s advanced driver-assistance solution has entered mass production and will be deployed in Volkswagen models in China starting in the third quarter of this year.
Volkswagen is accelerating the localized development of automated-driving technology in China, with deliveries of vehicles equipped with L3 capabilities set to begin as early as the second half of 2027.
The German automotive giant and Chinese intelligent-driving solutions provider Horizon Robotics (HKEX: 9660) will further deepen their technological cooperation in AI foundation models through their joint venture Carizon.
Under a white-box licensing model, Carizon will leverage Horizon’s AI foundation-model capabilities to develop and accelerate the creation of a unified AI driving solution for Volkswagen Group China, according to a statement on Wednesday.
Horizon’s AI foundation model will work with Carizon’s C7H system-on-chip, currently under development, and its GAIA world-model data platform to support the deployment of Volkswagen’s L3 and L4 automated-driving capabilities.
The technology will also provide a foundation for future passenger-vehicle and robotaxi applications.
The intelligent-driving technology system will be deeply integrated with Volkswagen’s first locally developed zonal electronic and electrical architecture, the China Electronic Architecture, or CEA.
The technologies can be flexibly adapted to multiple vehicle platforms and used across product lineups targeting China and selected international markets, the company said.
“China has become one of Volkswagen Group’s key innovation and technology hubs, particularly in software, artificial intelligence and automated driving,” Volkswagen Group CEO Oliver Blume said in the statement.
Combining world-class AI capabilities with the group’s engineering expertise will enable Volkswagen to better serve Chinese customers and support its business development in selected international markets in the future, he said.
Carizon is a joint venture between Volkswagen’s software subsidiary Cariad and Horizon. Headquartered in Beijing, it was formally established in December 2023.
Volkswagen invested about 2.4 billion euros in the joint venture and holds a 60% stake.
Carizon had delivered its first advanced driver-assistance system for use in the ID. UNYX 07 sedan and ID. UNYX 06 SUV, offering functions including highway navigation-assisted driving and memory parking.
Carizon’s full-scenario advanced driver-assistance solution has now entered mass production and can additionally support urban navigation-assisted driving.
The solution will be deployed in 7 new electrified models from Volkswagen’s 3 joint ventures in China starting in the third quarter of this year, according to Volkswagen’s statement.
Beginning next year, it will gradually be expanded to a broader range of products based on the CEA architecture.
Intelligent driving is becoming a key area of competition in China’s automotive market. More than 30% of new vehicles sold in China in the first half of this year were equipped with advanced navigation-assisted driving functions, according to data from the Ministry of Industry and Information Technology.
Under pressure from local competitors, a growing number of international automakers are turning to Chinese technology companies for support in developing intelligent-driving capabilities.
Stellantis is working with Pony AI on robotaxi trials in Europe, while Mercedes-Benz has deployed robotaxi services with Momenta in Abu Dhabi.
In addition to its partnership with Horizon, Volkswagen is jointly developing vehicles with Xpeng (NYSE: XPEV). The ID. UNYX 08, developed through the partnership, went on sale in China in April.
The Volkswagen ID. UNYX 09 is the second model jointly developed by Volkswagen and Xpeng within 24 months.
