DETROIT (Reuters) – Volvo Cars announced on Monday that it will use a new generation of high-power chips from Nvidia Corp to enable more autonomous driving functions in future vehicles, starting next year.
Volvo is among a multitude of new and established car manufacturers that put digital processing power ahead of power as they try to catch up with Tesla Inc.
Tesla, the world’s most valuable automaker, has taken the lead in software-based features and functional capability by equipping its cars and SUVs with powerful and expensive on-board equipment that can handle complex tasks such as driving automatic and be updated by antenna.
For Nvidia, the Volvo deal, a similar deal with the launch of Faraday Future electric vehicles and other deals slated for the coming weeks mark a resumption of growth in the center processor company’s car business of data and games.
“Nvidia’s automotive order pipeline has become many millions of dollars,” Danny Shapiro, Nvidia’s chief automotive director, said before the company’s GTC21 conference on Monday. Revenues from the company’s automotive business fell 23% in 2020.
Volvo Cars, owned by China’s Geely Holding, said it will use Nvidia’s new Drive Orin system, with much more processing power than current Nvidia chips used in Volvo vehicles, starting with a new XC90 sports utility that will be will launch next year.
In a gesture to Tesla, Volvo said vehicles equipped with the new Nvidia Orin systems will be “hardware-ready” for autonomous driving functions, such as a “Highway Pilot” function that will be activated via a software download “when verified to be secure for individual locations and geographic conditions”.
Faraday Future said it will offer autonomous driving, parking and a “call” feature on its FF 91 model that is due out in 2022. Tesla already offers a “call” system that allows a car to navigate through ‘a remote car park from the owner.
Rival car manufacturers, such as Daimler AG and several Chinese electric vehicle companies, take a similar approach.
Nvidia also said Monday that it will develop a new on-board computer system on a chip called the Atlan that will give a car the computing power it currently has in a data center. This chip should be ready for 2025 models, Nvidia said.
Joe White Reports; Edited by Nick Zieminski