Market Overview

Nvidia-Volkswagen Relationship Deepens As Deluge Of Autonomous Car News Continues

Nvidia-Volkswagen Relationship Deepens As Deluge Of Autonomous Car News Continues

Another day, another deal in the autonomous vehicle space. Zenuity, a joint-venture between Volkswagen AG (ADR) (OTC: VLKAY) and Autoliv Inc. (NYSE: ALV), will partner with NVIDIA Corporation (NASDAQ: NVDA) to develop their own self-driving cars.

Get stories like this and the latest in business news even faster, with Benzinga Pro.

Volvo AB (ADR) (OTC: VOLVY) reiterated its commitment to having Level 4 autonomous cars for sale by 2021. Level 4 autonomy means that the car would be able to operate completely without human intervention within a (large) geofenced area. At Level 5, a steering wheel would be optional.

Zenuity will use Nvidia’s PX platform, deepening Volvo’s existing relationship with Nvidia from its “Drive Me” pilot program announced in January 2016.

Volkswagen shares jumped 1.7 percent on the news, holding steady at around $31.10.

Autoliv, on the other hand, saw its stock dip about 1 percent to the low-$108 handle. Wells Fargo analyst David Lim expressed optimism for the company though, reiterating an Outperform rating.

“[Autoliv] should continue to win its fair share of active safety business going forward,” said Lim.


Recent Autonomous Car Developments

The announcement comes just a day after two other notable partnerships in the space were announced.

Avis Budget Group Inc. (NASDAQ: CAR) announced a partnership with Alphabet Inc (NASDAQ: GOOG) (NASDAQ: GOOGL)’s self-driving car division, Waymo, in which it will store and service a fleet of 600 Waymo vehicles in the Phoenix area.

Shortly after, it was reported that Apple Inc. (NASDAQ: AAPL) is renting six vehicles from Hertz Global Holdings, Inc (NYSE: HTZ) to modify and test its own autonomous driving system.

Related Links:

Top 5 Companies For Autonomous Vehicle Technology

Your Guide To Trading The Autonomous Vehicle Theme

Latest Ratings for VLKAY

Apr 2018UpgradesHoldBuy
Nov 2016UpgradesSellBuy
Nov 2016UpgradesHoldBuy

View More Analyst Ratings for VLKAY
View the Latest Analyst Ratings

Posted-In: Analyst Color Long Ideas News Contracts Reiteration Travel Analyst Ratings Tech Best of Benzinga


Related Articles (AAPL + ALV)

View Comments and Join the Discussion!

Chaikin Analytics Solves One Of The Biggest Problems For Traders

Sprint 'The Most Interesting Stock' On Wells Fargo's Wireless List Following Report Of Comcast Talks