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Volvo Partners With Chinese Tech Company Baidu

Volvo Partners With Chinese Tech Company Baidu

Most major auto manufacturers have begun picking teams, gearing up in the race for self-driving vehicles. Recently Volvo has thrown their hat into the ring by partnering with Chinese search engine developer Baidu and their Apollo software. Self-driving technology represents a major shift in the automotive world, especially in a country with a population as high as China. 

The immediate goal for the two companies is the development of level four autonomous vehicles, which would require no driver input under normal driving circumstances. This would be used as the heart for a fleet of robotic taxis. The current CEO of Volvo Haakan Samuelsson believes that by 2025 a third of the company's profits will be made from autonomous vehicles. 

“Robotaxis is a segment where we will compete not as operators but by selling cars to companies we’ve sold to previously,” he he said in a recent interview.

The first company to develop a fully-functional autonomous taxi will have a huge advantage in the global market of a blossoming business model. It's likely that the majority of the models sold initially will be to ride-hailing drivers. In the meantime, the partners will focus on the development of levels one and two driver assistance equipped vehicles. We and our partners at Service King Southeast Nashville here in Nashville, TN will be keeping tabs on the developments as they will impact every facet of the automotive industry, including those in the service and collision fields.

Written By: Todd Hendrickson
Source: Reuters

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