Cariad’s Road to Recovery
Cariad, the troubled software division of the Volkswagen Group, has undergone significant changes over the past year. According to CEO Peter Bosch in an interview with Automobilwoche, the division is now in a better shape than before. Previously notorious for delays such as those affecting the all-electric Porsche Macan and Audi Q6 e-tron, Cariad faced immense challenges. In the last three years, it reported over .5 billion in operating losses, while generating revenue of nearly .5 billion from early Volkswagen ID.3 and ID.4 owners.
Addressing Technical Challenges
One of the most recognizable issues with Cariad’s software has been the laggy and buggy infotainment systems. However, as Bosch points out, the software in these vehicles has significantly improved. He stated, “When you take on a task that everyone knows is difficult, you don’t do it expecting constant applause. But we delivered.” This newfound focus on quality and efficiency highlights Cariad’s intent to move past its previous hurdles.
Strategic Changes and Future Focus
Under Bosch’s leadership, Cariad implemented strategic changes, including laying off 1,600 employees while hiring new talent to take control of software development. This effort aims to minimize reliance on external suppliers. Bosch noted that the goal is for employees to understand and alter the code directly to enhance future models. Additionally, the division is shifting its approach to vehicle software across regions to meet local consumer needs. Emphasizing cost savings and innovation, Cariad focuses on cloud infrastructure, advanced driver assistance systems, and infotainment enhancements. The commitment to improvement is evident, and the future looks promising as they aim to develop more advanced automated driving systems.
