Volkswagen's Cariad Delays Raise Concerns as Xpeng EV Tech Rumors Swirl
Volkswagen's software division, Cariad, has faced obstacles, delaying the launch of several models. Meanwhile, Volkswagen has been reported to use Xpeng's XNGP driver assistance system in its Chinese electric vehicles from 2026, although Volkswagen denies this.
Cariad's planned software platform has experienced issues, leading to delays in the introduction of several models. The software unit aims to develop a unified platform for all Volkswagen Group brands.
According to CarNewsChina, Volkswagen will use Xpeng's XNGP driver assistance system in its electric vehicles in China from 2026. The first model to feature this technology will be a mid-size SUV, developed in collaboration with Xpeng. This model is based on Volkswagen's CMP platform, but the specific name has not been revealed. The cooperation between the two companies involves four new electric models on the CMP base and a joint E/E architecture, aiming to reduce costs and development cycles. Volkswagen and Xpeng are also working on two mid-size SUV models with a planned market launch in 2026.
In July 2023, Volkswagen invested around 700 million euros for a nearly 5% stake in Xpeng.
Despite Volkswagen's denial of the CarNewsChina report, the potential collaboration with Xpeng on the XNGP system could significantly impact Volkswagen's electric vehicle strategy in China. The planned models and technology could enhance safety and reduce development costs, pending official confirmation.
