VW to use Qualcomm chips for autonomous vehicles

BERLIN – Volkswagen Group has set up a partnership with U.S. chip maker Qualcomm to develop automated driving technology, Handelsblatt reported.

The automaker will use Qualcomm’s system-on-a-chip, developed specifically for automomous vehicles, across all its brands worldwide starting in 2026, the newspaper said citing company sources.

Sources say the deal will cost VW about $1 billion, with the contract set to run until 2031.

VW Group CEO Herbert Diess traveled to Qualcomm’s headquarters in San Diego in mid-April, where the companies agreed to the conditions of the deal, Handelsblatt said.

BMW, General Motors and Stellantis are among other automakers teaming up with Qualcomm for advanced software functions.