Bosch and the VW Group are working to develop AI for the cars of the future.

The next frontier in the automotive industry is the integration of artificial intelligence into driver assistance systems. Component manufacturers are developing powerful control units that allow vehicles to have everything in one—rather than multiple separate ones that need to coordinate—with greater computing power.

Now, two German automotive giants, the Volkswagen Group—through its software division Cariad—and Bosch—the world's largest component manufacturer—have announced a joint collaboration to develop Level 2 and Level 3 semi-autonomous driving, in which the driver's presence remains a requirement.

As they announced in a joint statement, they are working on advanced driver assistance software, incorporating the use of artificial intelligence. "The goal is to create more powerful, intelligent, and natural assistance systems, capable of acting with the fluidity of a human driver, elevating the driving experience and enhancing road safety."

This software will encompass all the essential cognitive functions expected of a driver: perception, interpretation, decision-making, and execution. It will also have the ability to optimize itself over time.

The alliance, which has already used artificial intelligence in areas such as object recognition, will expand its application to other areas, such as the fusion of data from cameras and radars, decision-making, and engine, steering, and braking control. In the future, these functions will be based on an end-to-end AI architecture, capable of analyzing urban traffic scenarios and anticipating the behavior of other road users based on multiple sensory sources.

Peter Bosch, CEO of Cariad, emphasized that the project demonstrates the German automotive industry's mastery of key artificial intelligence and automated driving technologies, ensuring a key role in European digital sovereignty.

Europe is moving forward to maintain the technological relevance of the automotive industry in the face of "threats" from China, which boasts very rapid development times, a powerful semiconductor industry, and control of strategic raw materials for electric cars.

Mathias Pillin, Chief Technology Officer of Bosch Mobility, emphasized that the success of this transition depends on data, AI, and equal partnerships. The software, scheduled for release in mid-2026, will be integrated into the Volkswagen Group's new software-defined vehicle architecture, and Bosch will offer this scalable solution to other manufacturers.

The development contemplates the possibility of integrating multimodal AI approaches, known as vision-language-action, which combine visual and linguistic information to mimic human reasoning, detect hidden risks, and respond appropriately in complex situations. The alliance has a large test fleet that collects data daily in Europe, Japan, and the United States, continuously improving the system's performance and reliability.

Models such as the ID.Buzz and the Audi Q8 are already serving as test vehicles, and hundreds more equipped with a comprehensive set of sensors will be added this year. With this joint effort, Bosch and Cariad aim to make assisted and automated driving safer, more convenient, and more accessible for millions of drivers around the world.