‘Mercedes-Benz Teams up with Google on Navigation to Offer “Super Computer-Like Performance” in Every Car with Automated Driving Sensors, in a Bid to Compete with Tesla and Chinese Newcomers while Retaining Customer Relationships and Valuable Data’

Mercedes-Benz announced its partnership with Google on navigation and revealed its plans to equip every car with automated driving sensors with “super computer-like performance”. The move is aimed at competing with Tesla and Chinese newcomers in the race to develop software systems that customers will recognize. However, the German automaker also seeks to retain control over its customer relationships and the valuable data generated by its vehicles.

According to Chief Executive Ola Kaellenius, every single Mercedes vehicle will have a supercomputer in it, starting from the mid-decade launch of its new operating system MB.OS. The carmaker earned over one billion euros ($1.06 billion) from software-enabled revenues in 2022 and expects that figure to rise to a high single-digit billion euro figure by the end of the decade. This is a more conservative estimate than other automakers such as Stellantis and General Motors have put forward.

Mercedes’ upcoming modular architecture platform will feature hyper screens extending across the cockpit of the car and a comprehensive set of sensors for automated driving. Kaellenius emphasized the importance of taking a prudent approach as no one knows how big the potential revenue from software-enabled products and services will be at this stage.

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