VOLVO CARS AND Uber, the ride-sharing company, are joining forces to develop next-generation autonomous vehicles.

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The two companies are establishing a joint project to develop new base vehicles that will be able to incorporate the latest development in autonomous driving technologies, up to and including fully autonomous driverless cars.

The base vehicles will be manufactured by Volvo using its Scalable Product Architecture (SPA) platform, as used on the current XC90 SUV, S90 saloon and V90 estate. Uber will then purchase these base vehicles from Volvo and will add its own self-developed autonomous driving systems.

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Volvo will use the same base vehicle for the next stage of its own autonomous car strategy, which will involve fully autonomous driving.

Volvo Cars and Uber are contributing a combined USD300m to the project.

Speaking about the project, Håkan Samuelsson, president and chief executive of Volvo Cars, said:

We are very proud to be the partner of choice for Uber, one of the world’s leading technology companies. This alliance places Volvo at the heart of the current technological revolution in the automotive industry.

Travis Kalanick, Uber’s chief executive, said:

Over one million people die in car accidents every year. These are tragedies that self-driving technology can help solve, but we can’t do this alone. That’s why our partnership with a great manufacturer like Volvo is so important.

Volvo is a leader in vehicle development and best-in-class when it comes to safety. By combining the capabilities of Uber and Volvo we will get to the future faster, together.