Volkswagen’s software subsidiary Cariad and automotive supplier Bosch announced on Wednesday that they have ended their joint autonomous driving programme.
According to the companies' statement, intellectual property and data produced during the collaboration will remain accessible to both organisations. Each party will have the option to pursue further development of the technologies on its own.
In the statement Volkswagen Group CEO Oliver Blume said: "CARIAD and Bosch have created a strong technological foundation through the Automated Driving Alliance. We are now building on that foundation with a clear focus on speed, scalability and rapid implementation for our brands and customers."
The two groups first launched the partnership in 2022 with the stated aim of producing software for driver assistance and autonomous driving functions across Volkswagen's marques.
The decision to discontinue the joint project was announced as Volkswagen is stepping up cost-reduction efforts across its group. In the statement the companies linked the timing to broader pressures facing Volkswagen, noting the firm is working on cutting costs as it contends with tariffs, weak demand and intensified competition from China.
Under the terms described by the firms, neither organisation is forfeiting claims to the technology and data generated while working together. Instead, both Bosch and Cariad retain rights that allow them to continue work independently or to integrate the assets into their own future programmes.
While the statement highlights an intention to leverage the partnership's technical groundwork, it also signals a structural change: the collaborative channel that tied Bosch and Cariad together for development of autonomous and driver assistance software is no longer active.
For the automotive supply chain and software development segments, the move alters a specific collaboration pathway without removing the underlying technologies from either participant. The companies did not provide further operational details about how ongoing development would be coordinated or how existing projects will be transitioned following the end of the alliance.
Clear summary - Cariad and Bosch have ended their joint autonomous driving effort. Both retain rights to IP and data from the partnership and may continue separate development. The change comes as Volkswagen pursues cost-cutting amid tariffs, weak demand and strong competition from China.