Fiat Chrysler to join BMW-led self-driving car alliance

Intensifying the race to develop the so-called ‘robotaxis,’ Fiat Chrysler (FCA) has decided to join a BMW-led alliance to develop self-driving or autonomous vehicles.

Robotaxis can be called up by customers via smartphone and payments can be made by the minute. Robotaxies are becoming more and more popular as customers are abandoning car ownership in favor of pay-per-use mobility services.

BMW and its partners Intel and Mobileye said FCA would bring engineering and other expertise to the deal, paving the way to creating an industry-wide autonomous car platform which other carmakers could adopt.

FCA’s chief executive officer, Sergio Marchionne, cited the synergies & economies of scale feasible in joining the BMW-led alliance.

In April this year, Marchionne said the company was looking for new partners in autonomous development, stressing that banking all of the company’s solutions on a single possible outcome would be disastrous.

According to consultancy firm McKinsey, the market for such autonomous cabs would likely worth $2 trillion by the end of 2030.

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