BMW and Daimler to jointly develop self-driving technology

Joint venture will focus on developing level three and level four self-driving systems

Car companies BMW and Daimler have signed a long-term agreement to develop next-generation vehicle technologies that will become widely available from around 2025.

Munich-based BMW and Mercedes-Benz owner Daimler announced that they would initially focus on level three and level four self-driving systems on a scalable architecture for automated driving.

Level three and level four systems include cars that still require drivers and steering wheels. Vehicles with level three technologies are able to detect their surrounding and can respond to circumstances, although a driver must be there to take control of the vehicle at all times.

Vehicles using level four technologies can drive autonomously under some but not all conditions.

The new scalable architecture developed by two companies would cover various stages of automation including technologies for driver assistance systems, automated driving on highways and parking features. New collaboration is expected to shorten development cycles and save costs for the companies.

"Instead of individual, stand-alone solutions, we want to develop a reliable overall system that offers noticeable added-value for customers," said Ola Källenius, a member of the Board of Management of Daimler AG.

"Working with the right partners, we want to make significant advances in enhancing the performance of this technology and bring it safely on the road," he added.

Each carmaker would continue to pursue separate efforts to develop fully self-driving cars. Daimler already has a development alliance for level five robotaxis with supplier Robert Bosch. BMW has also collaborated with Israeli tech firm Mobileye, acquired by Intel in March 2017, in an effort to launch autonomous cars by 2021.

The new collaboration comes as automakers face new competitors in the industry, such as Waymo and Uber, which are currently working to develop self-driving vehicles.

BMW and Daimler are also working together in the field of HD mapping and procurement. Earlier this month, both companies announced a joint project in auto-related digital services involving ride-hailing, car sharing, and ticketless parking.

Volkswagen and Ford have also revealed their plans to team up on the development of battery-powered and autonomous cars.

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