Aurora, the autonomous vehicle technology startup, has signed a deal with Fiat Chrysler Automobiles (FCA) to create autonomous commercial vehicles.
The deal between the two organizations aims to focus on using Aurora’s technology in FCA’s line of Ram Truck commercial vehicles, which includes trucks and vans. There has been speculation that the deal may extend to the Fiat Professional brand later on.
Through the deal, the companies plan to develop and deploy autonomous commercial vehicles that will have the advantage of being used by any third party with a delivery-to-consumer need. This means that once Aurora’s technology is implemented into FCA’s commercial vans, FCA will be able to sell them to a third-party company that has a need for using autonomous vehicles for its delivers. This will prove to be useful for many logistics companies such as Amazon.
The financial details of the deal are yet to be released.
Developing and deploying technology like electrification and self-driving cars often comes at a high cost. This has caused many automakers to look for ways to create partnerships or collaborate, even with their own competitors, to minimize the financial cost of developing and deploying smart technology.
“As part of FCA’s autonomous vehicle strategic partners in this space to address the needs of consumers in a rapidly changing industry,” said Mike Manley, Chief Executive Officer of FCA.