Plus, a company specializing in developing self-driving truck technology, will work with European company IVECO to install self-driving software in trucks in China, Europe and elsewhere.
Because of existing partnerships, electric truck startup Nikola Corp (NASDAQ: NKLA ) could eventually find itself involved as an addition to the understanding between Plus and U.K.-based CNH Industrial NV (NYSE: CNHI ). But not right away. And maybe not ever.
IVECO is a joint venture partner of Nikola. The two parties are using IVECO’s heavy-duty S-WAY truck as the basis for Nikola’s Class 8 electric Tri truck. It is scheduled to be assembled at Nikola’s under-construction plant in Coolidge, Arizona, in the fourth quarter. Prototypes for Europe and export to the United States are being produced at a plant in Ulm, Germany.
Plus also has a joint venture with Chinese state-owned First Auto Works (FAW). CNHI and FAW are in talks that could lead to a sale of IVECO to FAW. Bloomberg reported in late March that FAW was preparing a potential bid for IVECO’s truck and bus business.
CNHI had previously considered spinning off IVECO as a separate business unit. This plan may resurface as the impact of the pandemic eases.
“Our joint venture with FAW continues as normal,” Sean Kerrigan, co-founder and CEO of Plus, told FreightWaves. “We are currently focused on preparing to start mass production of our jointly developed smart trucks this quarter.”
10,000 pre-orders
Plus has about 5,000 non-binding pre-orders to install its autonomous technology in China and 5,000 non-binding pre-orders in the United States, where the technology will be installed on existing trucks.
Under the non-binding MoU, IVECO and Plus will integrate IVECO’s latest generation S-WAY system with the PlusDrive fully autonomous driving system. The companies will also explore the use of IVECO’s LNG engine system to power jointly developed autonomous trucks.
S-WAY LNG trucks reduce carbon emissions and reduce empty truck weight, increasing payload capacity.
Nikola’s battery-electric truck is not part of the MOU, Kerrigan said.
“We are delighted to partner with IVECO, who share our vision for a safer, more sustainable future with autonomous trucks,” Kerrigan said in a press release. “IVECO’s global footprint in more than 160 countries will enable us to accelerate our commercial deployment and maximize the impact of our autonomous technology.”
Plus recently added $220 million to a $200 million funding round announced in February. The proceeds were targeted for global expansion.
“The partnership with Plus represents an excellent opportunity to accelerate the development of the highest levels of automation for heavy trucks,” said Marco Liccardo, Chief Technology Officer at IVECO.
“Plus’ technology leadership, non-linear thinking, and established relationships with key component suppliers make it the ideal partner to accelerate our progress toward fully autonomous trucks.”
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