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Waymo, Volvo partner to develop electric robotaxis

By Kirsten Korosec

Waymo’s self-driving software footprint is expanding — this time in a partnership with Volvo Car Group. The two companies announced Thursday an “exclusive” partnership to integrate Waymo’s self-driving software into a new electric vehicle designed for ride-hailing.

Volvo and Waymo provided just a few details on the partnership and what this might actually look like except that the companies “will first work together to integrate the Waymo Driver into an all-new mobility-focused electric vehicle platform for ride hailing services.” The phrase “first work together” suggests more is coming. We know that the new vehicle platform will be capable of Level 4 autonomy, a designation by SAE that means it can handle all driving in a specific geographic area or in certain weather and road conditions.

The partnership also includes other subsidiaries under Volvo Car Group, including electric performance brand Polestar and Lynk & Co. International, a point that Volvo Car Group CTO Henrik Green specifically noted in his prepared statement.

“Fully autonomous vehicles have the potential to improve road safety to previously unseen levels and to revolutionize the way people live, work and travel,” Volvo Car Group CTO Henrik Green said in a statement. “Our partnership with Waymo opens up new and exciting business opportunities for Volvo Cars, Polestar and Lynk & Co.”

The term “exclusivity” is also used to describe the partnership. But without specific details it’s hard to know where this is headed and what “exclusive” actually means. The exclusivity term is used to describe Waymo’s Level 4 self-driving software, which suggests that the two companies might be co-developing or certainly sharing sensitive information on the inner workings of the stack. It also hints that the partnership is structured to include a possible licensing deal.

Waymo’s strategy so far has been to partner with automakers. Waymo handles the design of its hardware suite, software and compute system. It then works with the automakers to create vehicles that integrate easily with its so-called Waymo Driver. These relationships have largely focused on ride-hailing applications, but could be customized to make the vehicles more suitable for local delivery, trucking and personal car ownership.

If a licensing deal between the two companies materializes, it could be similar to Waymo’s partnership with Fiat Chrysler Automobiles. In May 2018, FCA announced it expanded its contract with Waymo to supply the self-driving car company with up to 62,000 Chrysler Pacifica Hybrid minivans. FCA also said at the time that it was exploring ways to license Waymo’s self-driving car technology in order to deploy the tech in cars for consumers.

Waymo has a supplier partnership with Jaguar Land Rover for up to 20,000 all-electric I-Pace vehicles. In June 2020, Waymo locked in a partnership with Renault and Nissan to research how commercial autonomous vehicles might work for passengers and packages in France and Japan.

Don’t forget that Volvo still has a deal with Uber self-driving unit Uber Advanced Technologies Group. Both Volvo and Uber ATG confirmed that its four-year partnership is still intact. Under that partnership, Volvo is supplying Uber with a vehicle designed for autonomous driving. These special Volvo XC90 vehicles are equipped with the hardware necessary to support Uber’s self-driving software. Uber then integrates its self-driving software stack into the vehicle. Volvo said it has a “framework agreement with Uber to deliver tens of thousands of autonomous drive ready vehicles.”

Polestar to open first US stores in the second half of 2020

By Kirsten Korosec

Polestar’s first U.S. retail stores will open in Los Angeles, New York City and two locations in San Francisco later this year — the latest milestone for the automaker as it gets closer to bringing its all-electric vehicle to market.

Polestar, which is jointly owned by Volvo Car Group and Zhejiang Geely Holding of China, was once a high-performance brand under Volvo Cars. The 2021 Polestar 2 is the first EV to come out of Polestar since it was recast as an electric performance brand in 2017.

The company has had plans to open physical retail showrooms called “Polestar Spaces.” Those plans have been delayed by stay-at-home orders prompted by the COVID-19 pandemic. The stores are expected to open in the second half of 2020.

Polestars plans to expand its retail footprint in the first half of 2021 with locations in Boston, Denver, Texas, Washington, D.C. and Florida. More than 80% of Polestar 2 reservation holders reside within a 150-mile range of the stores scheduled to open by mid 2021, according to Gregor Hembrough, head of Polestar USA.

Unlike the traditional dealership model, Polestar will sell or lease its cars online to customers in all 50 states. The physical stores, which will be in partnership with retailers such as Manhattan Motorcars, Galpin Motors and Price-Simms Automotive Group, are meant to supplement its digital strategy.

Volvo to use Luminar’s lidar in production vehicles to unlock automated driving on highways

By Kirsten Korosec

Volvo Cars will start producing vehicles in 2020 that are equipped with lidar and a perception stack — technology developed by Silicon Valley startup Luminar that the automaker will use to deploy an automated driving system for highways.

For now, the lidar will be part of a hardware package that consumers can add as an option to their Volvo vehicle, starting with the second-generation XC90. Volvo will combine Luminar’s lidar with cameras, radar, software and back-up systems for functions such as steering, braking and battery power to enable its highway pilot feature.

Volvo, which is known for making its advanced safety features standard, sees a bigger opportunity in its partnership with Luminar. The Swedish automaker said Luminar will help it improve advanced driver assistance systems and may lead to all of its second-generation Scalable Product Architecture (SPA2) vehicles to come with lidar as a standard feature.

The announcement is a milestone for Luminar and its whiz founder Austin Russell, who burst onto the autonomous vehicle startup scene in April 2017 after operating for years in secrecy. It also makes Volvo the first automaker to equip production vehicles with lidar — the light detection and ranging radar that measures distance using laser light to generate a highly accurate 3D map of the world around the car.

Luminar’s Iris lidar sensors — which TechCrunch has described as about the size of really thick sandwich and one-third smaller than its previous iterations — will be integrated in the roof. The sensor’s tucked away placement is a departure from the bucket style spinning lidars that have become synonymous with autonomous vehicle development.

Image Credits: Volvo

Shipping a vehicle with the proper hardware and perception stack doesn’t mean customers will be able to let their Volvo take over driving on highways from the get go. The software, which is being developed by Zenuity, is still underway, Volvo CTO Henrik Green said.

The software will be activated wirelessly once it is verified to be safe in individual geographic locations. Volvo will continue to expand the capability of the software such as pushing up the maximum speed a vehicle can travel while driving autonomously. This hardware first-continual software update strategy is similar to Tesla, which has sold an automated driving package to consumers for years that has improved over time, but still does not allow for so-called “full self-driving.”

“Soon, your Volvo will be able to drive autonomously on highways when the car determines it is safe to do so,” Green said. “At that point, your Volvo takes responsibility for the driving and you can relax, take your eyes off the road and your hands off the wheel. Over time, updates over the air will expand the areas in which the car can drive itself. For us, a safe introduction of autonomy is a gradual introduction.”

A turning point for lidar

Lidar sensors are considered by many automakers and tech companies an essential piece of technology to safely roll out autonomous vehicles. In the past 18 months, as the timeline to deploy commercial robotaxi fleets has expanded, automakers have turned back to developing nearer term tech for production vehicles.

“It’s a very isolated problem to solve and becomes a lot more solvable in a safe way than trying to solve autonomous driving through the inner city of Los Angeles or San Francisco,” Green said. “By narrowing the use case to those particular highways, we can bring safe autonomy into vehicles for personal use in the timeframe we’re talking about.”

Advanced driver assistance systems, or ADAS, that was pushed aside in pursuit of fully autonomous vehicles has become a darling once again. It’s prompted a pivot within the industry, particularly with lidar companies. Dozens of lidar startups once grappling to become the supplier of choice for fully driverless vehicles are now hawking their wares for use in regular old passenger cars, trucks and SUVs. Some lidar startups such as Luminar have developed the perception software as well in an effort to diversify their business and offer a more appealing package to automakers.

The companies will deepen their collaboration to ensure Luminar’s lidar technology is validated for series production. Volvo Cars said it has signed an agreement to possibly increase its minority stake in Luminar.

Polestar’s first all-electric vehicle will start at $59,900 in the US

By Kirsten Korosec

Polestar, the electric performance brand spun out of Volvo, said the base price of its first all-electric vehicle will be $59,900 in the United States, lower than originally targeted.

The 2021 Polestar 2, an electric performance fastback, is the first EV to come out of a brand that was relaunched three years ago. Polestar, once a high-performance brand under Volvo Cars, was recast as an electric performance brand in 2017. The aim was to produce exciting and fun-to-drive electric vehicles — a niche that Tesla was the first to fill and has dominated ever since.

The company believes the vehicle is well-positioned for a successful entry into the U.S. market thanks to its lower pricing, tax incentives and the ability for customers to buy it online, said Gregor Hembrough, who heads up Polestar USA. The U.S. prices are also below incentive thresholds in a few critical markets such as California and New York.

Polestar has been trickling out announcements around the upcoming Polestar 2 for months now, including pricing for Europe, which starts at €58,800. On Thursday, the company revealed a few more pricing details for the various options customers can buy, including a $5,000 performance pack, a $4,000 upgrade of Nappa leather interior and $1,200 for 20-inch alloy wheels.

The Polestar 2 will likely be held up as a possible competitor to the Tesla Model 3. The pricing on the two vehicles don’t quite match up unless the $7,500 federal tax incentive, for which Polestar still qualifies, is considered. Tesla no longer qualifies for the federal tax credit because it has sold more than 200,000 electric vehicles.

Stripping out the incentives, the base price of the Polestar 2 is slightly more expensive than the performance version of the Model 3, which starts at $56,990.

Until the automaker begins delivery to the U.S., which is expected this summer, it won’t be clear how it stacks up against the Model 3.

Polestar is aiming to attract customers with tech and the performance specs of the fastback, which produces 408 horsepower, 487 pound feet of torque and has a 78 kWh battery pack that delivers an estimated range of 292 miles under Europe’s WLTP. Polestar hasn’t released the EPA estimates for the Polestar 2.

The interior of the Polestar 2, which features Google’s Android Automotive operating system.

The Polestar 2’s infotainment system will be powered by Android OS and, as a result, bring into the car embedded Google services such as Google Assistant, Google Maps and the Google Play Store. This shouldn’t be confused with Android Auto, which is a secondary interface that lies on top of an operating system. Android OS is modeled after its open-source mobile operating system that runs on Linux. But instead of running smartphones and tablets, Google modified it so it could be used in cars.

Polestar, which is jointly owned by Volvo Car Group and Zhejiang Geely Holding of China, plans to open physical retail showrooms called Polestar Spaces once stay-at-home orders prompted by the COVID-19 pandemic are lifted. The first of these locations will open on the West Coast of the United States and New
York in late summer 2020, the company said. The Polestar 2 will be available in all 50 states to buy or lease.

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