BMW and Mercedes End Automated, Autonomous Driving Alliance

On March 5, 2019, the first edition of Emerging Tech Brew ran with the subject line “Das Frenemies.” The top story focused on BMW and Mercedes Benz teaming up to develop automated and autonomous driving technology.

It brings me no pleasure to share that Das Frenemies are now undergoing a “mutual and amicable” split. It was too expensive to create a shared tech platform and source parts from suppliers, the German automakers said Friday.

• They also cited downbeat “business and economic conditions.” On Friday, BMW said it was cutting 6,000 jobs.

For now, BMW and Mercedes say they’ll focus on developing AV technology separately. But both companies left the door open to working with other partners and “explicitly wished to emphasize” they could tie the knot again down the road.

Bottom line: Electric and autonomous collaborations are becoming customary in the auto industry to defray costs. While it didn’t work out for BMW and Mercedes, many other automakers remain committed to long-term joint ventures.

+ Also on Friday: Volkswagen announced plans to develop its own automotive OS.