Volkswagen Partners With Valeo & Mobileye to Improve ADAS Technology

Zacks
27 Mar

Volkswagen AG VWAGY is collaborating with Valeo and Mobileye Global Inc. MBLY to enhance its advanced driver assistance systems (ADAS) to Level 2+ (enhanced partially automated driving) for its upcoming vehicle lineup based on the MQB platform. Set to roll out in the next few years, this partnership aims to improve safety and driving comfort in high-volume vehicles while meeting customer expectations and regulatory requirements.

The cooperation focuses on streamlining procurement, reducing complexity and increasing efficiency by integrating Mobileye’s Surround ADAS platform and Valeo’s sensor technology into a single, centralized system.

Beyond enabling hands-free driving in approved highway conditions, the system will include features like traffic jam assist, hazard detection, parking assistance, driver monitoring and 360-degree emergency assist. It will also support future-oriented capabilities like augmented reality displays. By integrating these technologies into a unified system across multiple brands, Volkswagen Group is advancing vehicle automation and safety while ensuring cost-effective and efficient development.

The new system incorporates a 360-degree array of cameras and radars, along with software-driven capabilities, enabling hands-free driving on designated roads, intelligent parking and enhanced safety for both occupants and pedestrians.

Valeo is supplying high-performance ECUs, sensors and parking software, while Mobileye is contributing its Surround ADAS platform, featuring the EyeQ 6 High processor and mapping technology. For the first time, these components are being combined into a single unit, replacing multiple ECUs with a centralized system. This integration enhances efficiency, optimizes system performance and allows for over-the-air updates to meet evolving safety standards. 

VWAGY’s Zacks Rank & Key Picks

Volkswagen carries a Zacks Rank #3 (Hold) at present.

Some better-ranked stocks in the auto space are China Yuchai International Limited CYD and Strattec Security Corporation STRT, each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for CYD’s 2025 sales and earnings indicates year-over-year growth of 9.17% and 36.84%, respectively. EPS estimates for 2025 have improved 25 cents in the past 30 days. 

The Zacks Consensus Estimate for STRT’s 2025 sales indicates year-over-year growth of 2.61%. EPS estimates for 2025 and 2026 have improved 91 cents and $1.06, respectively, in the past 30 days.

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Volkswagen AG Unsponsored ADR (VWAGY) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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