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Stellantis invests 30 billion in software and electrification

At the "Software Day," the group presents its software strategy for the use of next-generation technology platforms. By 2030, they aim to achieve an additional revenue of around 20 billion euros.

Carlos Tavares presents the corporate strategy at the "Stellantis Software Days". | Photo: Stellantis
Carlos Tavares presents the corporate strategy at the "Stellantis Software Days". | Photo: Stellantis
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Thomas Kanzler

The Stellantis Group's software strategy goes hand in hand with the electrification of the company's vehicle portfolio. The goal is to achieve more than 70 percent of vehicle sales in Europe and more than 40 percent of vehicle sales in the USA with low-emission vehicles by 2030.

"Our electrification and software strategies will support our transformation into a leading sustainable mobility technology company," said Stellantis CEO Carlos Tavares.

STLA Brain as the new electrical/electronic and software architecture

The AI-based technology platform will be launched in 2024 on the four battery-electric platforms of Stellantis – STLA Small, Medium, Large, and Frame. STLA Brain is an architecture that is fully integrated into the cloud and connects electronic control units in the vehicle to the central computer of the vehicle via a high-speed data bus. Over-the-Air updates are intended to keep the vehicles up to date for years after their production, aiming to reduce costs for both customers and the company.

Technological Partnerships with BMW, Waymo, and Foxconn

Stellantis is already working with BMW on autonomous driving levels 2, 2+, and 3. At the same time, Stellantis has equipped Chrysler Pacifica Hybrids in the USA with the Waymo Driver and undertaken fully autonomous journeys in the USA. With the new partner Foxconn, four new chip families are to be developed. The complexity of the components is to be simplified in the process. Stellantis hopes that the cooperation will help avoid supply chain bottlenecks in the future and allow the software definition of Stellantis vehicles to be more flexibly adapted.

“We look forward to sharing this expertise with Stellantis and jointly addressing the long-term supply chain bottlenecks as we continue to expand into the electric vehicle market,” said Young Liu, Chairman & CEO of Foxconn Technology Group.

Fast-growing, software-based business

Stellantis aims to build its software and connected services business. The company currently has 12 million connected cars worldwide. By 2026, this figure is expected to grow to 26 million vehicles, generating around 4 billion euros in revenue. By 2030, with a planned 34 million vehicles, an annual revenue of approximately 20 billion euros is targeted. In addition, Stellantis will leverage its data collection capabilities in 2022 to introduce a usage-based insurance program. This will first be offered in Europe and North America, with the intent to expand globally.

What does that mean?

Stellantis feels prepared for the transformation and is bringing strong partners on board. Carlos Tavares has the final word: “In Future the Software is the Core.”

Translated automatically from German.
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