Nvidia Corp has entered into a deal with Daimler to develop and equip Mercedes-Benz cars with next generation graphic chips and software platform that could eventually be used for autonomous driving functions.
The alliance allows Mercedes to jointly develop new automated driving capabilities and software applications and comes at a time when the auto industry is struggling to generate profits.
“We want to launch a ground-breaking software-defined computer architecture for driving assistance and autonomous drive,” said Daimler Chief Executive Ola Kaellenius during a joint presentation by the two companies.
The Nvidia Drive AGX Orin Platform, an autonomous vehicle processor, will be rolled out starting from 2024; it will allow Mercedes to update its car’s software the same way that smartphones are updated today.
“Every future Mercedes-Benz with the NVIDIA DRIVE system will come with a team of expert AI and software engineers continuously developing, refining and enhancing the car over its lifetime,” said Nvidia Chief Executive Jensen Huang.
Both companies will collaborate to develop the artificial intelligence (AI) and automated vehicle applications to enable higher levels of automated driving, said Daimler.
This new partnership comes in the wake of Daimler’s move last week to pause a development alliance with rival German luxury carmaker BMW in automated driving.
When asked to comment on how the partnership with Mercedes will impact Nvidia’s decade-long collaboration with Audi AG, the company’s spokesman Danny Shapiro said neither arrangement was exclusive.
With Mercedes, there is “a huge dedication, huge energy, huge investment from both companies to bring this to market,” said Shapiro.
In 2019, Mercedes sold 2.39 million cars worldwide.
NVIDIA and Mercedes have been collaborating on autonomous driving and AI car technology for more than five years.