VW to develop smart driving chips with Horizon Robotics in China

  • The chip is expected to be delivered within the next 3-5 years, with a single-chip computing power of about 500 to 700 TOPS.
  • Volkswagen said that the chip is specifically designed for China's complex road environments and diverse driving scenarios.
VW to develop smart driving chips with Horizon Robotics in China
(Image credit: Volkswagen)

German automotive giant Volkswagen will collaborate with Horizon Robotics (HKG: 9660), a local smart driving solutions provider in China, to develop smart driving chips, becoming another automaker in the world's largest automotive market to develop its own chips.

Carizon, a joint venture between Volkswagen's software subsidiary Cariad and Horizon Robotics, will independently develop its first System-on-Chip (SoC) in China, according to a statement released today.

The new chip, specifically designed for China's next-generation smart connected vehicles, will power Volkswagen's advanced driver assistance systems and autonomous driving capabilities, the automaker said at the 8th China International Import Expo, which commenced today.

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The SoC is expected to be delivered within the next 3-5 years, with a single-chip computing power of about 500 to 700 TOPS.

For reference, Nvidia's latest Thor chip -- currently the most widely adopted in China's mainstream premium EV models -- delivers 700 TOPS.

Designed specifically for China's complex road conditions and diverse driving scenarios, the SoC will significantly enhance real-time decision-making capabilities, computational performance, and system efficiency, Volkswagen stated.

Following the start of production of Carizon's first ADAS (Advanced Driver Assistance System) solution in 2025 and market availability in first Volkswagen vehicles in 2026, the new SoC marks the official commencement of the second phase of Volkswagen's localized smart driving strategy, the German automaker said.

Carizon, whose name combines Cariad and Horizon, is headquartered in Beijing and was established in December 2023.

The joint venture would focus on developing autonomous driving solutions based on Horizon Robotics' Journey series chips, planned for deployment in Volkswagen's battery electric vehicle (BEV) models in China, according to a December 2023 statement.

Some domestic Chinese EV makers have begun deploying in-house developed smart driving chips to gain greater autonomy in developing smart driving capabilities.

Nio Inc (NYSE: NIO) launched its chip project in 2021 and unveiled its in-house developed smart driving chip, Shenji NX9031, in December 2023.

The Nio ET9 sedan, which began deliveries in late March this year, is equipped with two Shenji NX9031 smart driving chips. Nio said a single chip delivers computing power equivalent to four mainstream autonomous driving chips combined.

In May, Nio updated its mainstay models -- the ET5, ET5 Touring, ES6, and EC6 -- with one key change being the switch from four Nvidia Orin X chips to a single Shenji NX9031 for smart driving.

Xpeng (NYSE: XPEV) has also developed its own Turing AI chip, boasting over 700 TOPS per unit. Several models launched this year utilize three of these chips.

Nio will take orders from other automakers after spinning off its chip business, according to a local media report.
Jun 19, 2025