Waymo Expands Into Germany & Tesla Pumping Up Production While Volkswagen In Crisis
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The auto industry news of the week has to be Volkswagen’s apparent crisis and plan to cut four factories, half of its models, and about 100,000 employees.
So, when I saw other news coming out of Germany, I had to think about Volkswagen and what it’s been lacking, or has too much of.
Robotaxis — Waymo & MOIA
First of all, the Waymo news quickly caught my eye. The US robotaxi firm hasn’t announced service or any plans in Germany, but it just set up Waymo Germany GmbH in Munich, Germany. So, yes, it’s clear this country is now on its list of places to launch service. It can no commence detailed mapping and test drives in the country. For anyone eager to see where Waymo expands next and how fast it scales up electric robotaxi service, this is exciting news.
Volkswagen, of course, has its MOIA autonomous mobility solutions division. But we never seem to hear anything about that. Has it made any progress? Does it have any significant plans? Well, there have been three press releases from the company this year, one of which I did see and write about (but sort of forgot about), and two more that I didn’t apparently see. Here’s what’s happening with MOIA:
- Europe’s first industrially produced roboshuttle with Mobileye technology enters pre-series production
- Self-Driving Volkswagen ID. Buzz Vehicles Join Uber LA
- MOIA America to expand into new US markets through strategic partnership with Beep, starting in Orlando
So, yeah, progress is being made and there are some notable plans in place. We’ll have to keep a better eye on MOIA.
Still, it can’t be uplifting that Waymo is now walking into Volkswagen’s/MOIA’s backyard.
Tesla Jacking Up Production in Germany
Then there’s the news that Tesla is now planning to increase production at its German factory by 20% on the back of surging consumer demand. Starting in October, the company will increase its output to 7,500 vehicles/week.
So, Tesla is increasing production in Germany while Volkswagen is making severe cuts? That can’t look good to workers, investors, and the general public.
Note that Volkswagen Group does sell far more EVs in Europe than Tesla. Many people don’t know that. Nonetheless, the trends noted above are not dubious.
Perhaps Volkswagen’s efforts and moves into EVs haven’t been strong enough. Perhaps it should have been focusing on a faster transition. If that’s where the market is headed, why cling onto old tech? Perhaps it’s just too hard for a legacy automaker to make this transition in a smooth and trouble-free way.
Anyway, it’s got to sting that Tesla is increasing production 20% right there in Germany as Volkswagen Group is talking about historic factory closures and job cuts. And it’s got to be a little confusing that this is happening even as Volkswagen Group is, in terms of total sales, kicking Tesla’s butt in Europe. I don’t know what the solution is, but my bias clearly tells me that it would make a lot of sense to just focus on leading the way on the technologies of the future and be more willing to drop fossil fuels. I do think Volkswagen’s investments and partnerships with Rivian and XPENG look very smart, and probably the best way to leap into a more tech-savvy, leadership position in the EV world.
What do you think?
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