Volkswagen Group is developing its own in-house chips to provide robust support for advanced driver-assistance systems.

On November 5, 2025, the opening day of the 8th China International Import Expo, Volkswagen Group (China) officially announced that CARIZON, a joint venture established by CARIAD, the Group’s software company, and Horizon Robotics, a leading Chinese autonomous driving technology firm, will independently design and develop a System-on-Chip (SoC) in China. This cutting-edge system-level chip is specifically tailored for the Group’s next-generation intelligent connected vehicles, providing robust support for advanced driver-assistance systems and fully automated driving solutions. By equipping vehicles with the "ability to think," this innovative chip can process vast amounts of data from cameras and sensors in real time, enabling safer, smoother, and more intelligent decision-making even in complex traffic scenarios. This collaboration will further empower Volkswagen Group to leverage China’s vibrant innovation ecosystem, ultimately delivering a mobility experience that perfectly aligns with local road conditions and drivers’ unique habits.
In 2025, CoreCheng's first advanced driver-assistance system solution will officially enter mass production, marking a successful conclusion to the group's initial phase of independent R&D in intelligent driving for the Chinese market. With the launch of its self-developed system-on-chip, the "second phase" is now officially underway. Moving forward, the group will further strengthen its local full-stack R&D capabilities in intelligent driving, accelerating the scaling up of production and commercial deployment to deliver smarter, safer, and more valuable mobility solutions tailored specifically for Chinese customers.

Dr. Oliver Blume, Chairman of the Board of Management of the Volkswagen Group, stated: "As a globally technology-driven enterprise, the Volkswagen Group continues to strengthen its innovation foundation in key future technologies. The Chinese market plays a vital role in this journey. By independently designing and developing system-level chips in China, we are mastering the critical technologies that will shape the future of intelligent mobility. This initiative will further solidify the Group’s long-term innovative capabilities and help establish China as a major global hub for Volkswagen Group’s cutting-edge innovation."

Ralf Brandstätter, Member of the Board of Management of the Volkswagen Group and Chairman & CEO of Volkswagen Group China: "We are accelerating the implementation of our 'In China, For China' strategy, moving from production localization to localizing core technology R&D that will shape the future of mobility. The launch of our in-house system-level chip project marks another critical step forward on our journey of technological innovation—and once again demonstrates the Group’s steadfast commitment to placing Chinese customer needs at the heart of everything we do. Through this initiative, we aim to bring a smarter, safer, and smoother driving experience seamlessly integrated into the daily lives of Chinese consumers."

CARIAD CEO Peter Bosch stated: "This system-on-a-chip, custom-built by Corelio, marks a pivotal step forward in our intelligent driving strategy and represents a significant leap in the Group's R&D capabilities within China's advanced driver-assistance systems domain. Moving forward, we will not only continue deepening our development of autonomous driving software but also independently design AI system-on-a-chip solutions that deliver both exceptional performance and unmatched efficiency. As a global leader in automotive technology, this chip will further enhance the capabilities of our advanced driver-assistance systems, ultimately providing Chinese consumers with a smarter, more reliable, and universally accessible mobility experience."

Dr. Kai Yu, Founder and CEO of Horizon Robotics, stated: "This collaboration further strengthens the strategic partnership between Horizon Robotics and the Volkswagen Group, underscoring Volkswagen's long-term confidence and commitment to the Chinese market. We are thrilled to join forces with Volkswagen Group and its brands, bringing safe, intelligent, and accessible mobility experiences to more users. Moving forward, we will continue to work hand-in-hand, accelerating the large-scale adoption of advanced autonomous driving technologies and ensuring that cutting-edge innovations truly become a part of every user's everyday journeys."
Thanks to the Group's global expertise in engineering systems and system integration, the next-generation system-on-a-chip developed by CoreX will combine Horizon's cutting-edge software and hardware R&D capabilities with local mass-production advantages, delivering a high-performance, safe, and reliable integrated intelligent driving solution tailored for the Volkswagen Group in the Chinese market.

This system-on-a-chip boasts powerful computing capabilities of 500 to 700 TOPS per single chip, and it has been specifically optimized for China’s complex and diverse road and mobility environments. By doing so, it significantly enhances the intelligent driving system’s ability to deliver real-time decision-making, robust safety redundancy, and stable operation—especially under high-frequency usage scenarios—ultimately enabling a smoother, more secure, and seamless smart-driving experience even in challenging driving conditions. The system-on-a-chip is expected to enter mass production and delivery within the next three to five years, providing critical support for the Group’s next-generation intelligent connected vehicles’ advanced driver-assistance and autonomous driving systems. By advancing the localization and independent development of core technologies, the Group will make substantial progress in reducing system costs, boosting development efficiency, and enhancing technological scalability. This strategic technology roadmap not only underscores the Group’s unwavering commitment to deepening local innovation and firmly establishing itself in the Chinese market but also ensures that cutting-edge, high-performance intelligent driving technologies will become accessible across a broader range of vehicle models and price segments, ultimately benefiting a wider audience.
The Volkswagen Group is accelerating the implementation of its "In China, For China" strategy. By leveraging its next-generation regional centralized electrical/electronic (CEA) architecture and independently designed, in-house-developed system-on-chip solutions, the Group will establish a comprehensive local R&D ecosystem spanning chips, software, systems, and complete vehicles—laying a solid foundation for advancing intelligent driving technologies in China. Starting from 2026, the first batch of models equipped with the CEA architecture and advanced driver-assistance features developed by CoreDrive will be progressively delivered to Chinese consumers, significantly boosting the Group’s momentum in rolling out its smart connected vehicle initiatives across the Chinese market. By 2027, the Group plans to introduce more than 20 electrified vehicle models; and by 2030, it aims to offer approximately 30 all-electric models, firmly propelling the industry toward the era of intelligent, connected automobiles.
The launch of this self-developed, advanced chip for driving assistance and autonomous driving systems marks a significant breakthrough for the Volkswagen Group in the technology sector—and underscores the company’s steady transformation from a traditional automaker into a tech-driven innovator in the mobility space. Looking ahead, Volkswagen Group will continue to collaborate closely with local partners, deepening its presence in the Chinese market to jointly cultivate an open innovation ecosystem. Together, we aim to accelerate the integration of next-generation intelligent, connected vehicles into households, delivering a smarter, safer, and more user-friendly mobility experience tailored specifically for Chinese consumers. Meanwhile, Volkswagen Group’s partnership with Horizon Robotics is entering a new chapter: from establishing the joint venture CARIZON to jointly pioneering the development of core SoC solutions, this collaboration has now ventured deep into the realms of chip technology and foundational innovations, setting a groundbreaking "joint venture + collaborative, technology-driven co-creation" model that is already becoming a benchmark for cross-border automotive industry innovation between China and the rest of the world.
As a leading enterprise in China's intelligent driving technology sector, Horizon leverages its integrated software-and-hardware full-stack technological capabilities and deep understanding of local market scenarios, making it a core technology partner for Volkswagen as the automaker advances its "In China, For China" strategy. By empowering Volkswagen with its cutting-edge technologies, Horizon will help the company establish a localized R&D闭环 system, significantly shortening the development cycle for intelligent driving features in Chinese-market vehicles and enabling faster responsiveness to China’s unique automotive demands. In the first half of 2025, Horizon delivered impressive financial performance: revenue reached RMB 1.567 billion, representing a year-on-year growth of 67.6%; its comprehensive gross margin stood at 65.4%, while cash reserves surged to RMB 16.1 billion. Notably, the company’s product solutions business saw revenue soar by 3.5 times compared to the same period last year, forming a robust "dual-engine" structure alongside its licensed service offerings. Horizon continues to hold a commanding position in China’s autonomous driving computing solution market for domestic brands, capturing 32.4% of the market share, as well as in the ADAS front-view all-in-one unit segment, where it commands 45.8% of the market—solidifying its status among industry leaders. To date, Horizon’s innovative technologies have been adopted by 27 OEMs, powering over 400 vehicle models that collectively serve more than 6 million car owners. In August 2025, Horizon also became the first domestic intelligent driving technology brand in China to surpass 10 million units shipped, marking another milestone in its rapid growth and global influence.
Product-wise, the Journey 6 series has reached full maturity, becoming a mass-produced solution in China that comprehensively addresses all levels of advanced driver-assistance system (ADAS) requirements. Among them, the Journey 6P, an ultra-high-performance domestically developed computing platform, will begin mass production and roll out to vehicles within this year. Meanwhile, the Journey 6E/M have already secured collaborations with over 20 automotive companies, covering more than 100 vehicle models. Additionally, Horizon’s HSD—often referred to as the "Chinese version of FSD"—has been designated for use in over 10 vehicle models. In terms of ecosystem collaboration, Horizon remains committed to its "openness, win-win partnership, and holistic altruism," forging strong ties with over 200 partners across the automotive industry chain and establishing a robust, mature mass-production system. The company continues to deepen its partnerships with top-tier global Tier-1 suppliers, driving the widespread and accessible adoption of intelligent driving technologies worldwide. Moreover, Horizon is actively expanding its international presence, supporting multiple Chinese automakers in their global expansion efforts, with deployments spanning regions such as Asia, Europe, and the Middle East. At the same time, Horizon has formed strategic alliances with several foreign and joint-venture brands, helping to bring China’s cutting-edge intelligent driving technology to the global stage.
In terms of group strategy, Horizon Robotics has expanded into the robotics sector by holding a controlling stake in its subsidiary, Digua Robotics. Additionally, it has established joint ventures—CoreDrive and Continental Horizon—in partnership with Volkswagen and Continental Group, respectively, further strengthening its strategic synergy across both the intelligent automotive and robotics domains. Volkswagen Group’s deep collaboration with Horizon not only highlights the high degree of technological, ecological, and strategic complementarity between the two companies but also underscores China’s growing influence and leadership position within the global smart-driving industry ecosystem.

Translated from Sina Auto

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