“Automakers are finding out this is too big a job for any one company, so they’re finding ways to pay for development and propagate this technology into the market gradually to help pay for the rest,” said Roger Lanctot, director of the automotive connected mobility practice at Strategy Analytics. “None of them can solve all the problems on their own.”
Some of these partnerships are in place simply to reduce cost or as a response to a short-term shortage of something very specific, according to Stan Caldwell, executive director of the Transportation Center for Safety, Traffic21 and Mobility21—U.S. Dept. of Transportation-affiliated research institutes focused on transportation safety.
Today, nearly all the major automotive OEMs have close alliances with at least one other car company, often to share the cost of the AV platform or the effort of developing an artificial intelligence (AI) pilot for the new, connected cars. The mesh of automotive partnerships helps spread costs over a wider area.