By 2025, Volkswagen plans to invest around €27 billion in digitalisation and increase the proportion of in-house development of software in the car to 60% from 10% today. According to the intentions of the VW management, the Car.Software Organisation will play a key role in the transformation of the Volkswagen Group toward a software-driven mobility provider. It bundles and continuously expands the Group's software competencies, including the development of high-performance driving functions for passenger cars that will be integrated into future models of Volkswagen Group's brands.
Since 2018, Volkswagen and Microsoft have been collaborating on the Volkswagen Automotive Cloud (VW.AC), which is focused on integrating all the digital services and mobility offerings across the Group brands and models in the future. VW.AC's engineering team, based in Seattle, has enabled data to be exchanged between the vehicles and the cloud through Azure edge services. The cloud connectivity is also enabling Volkswagen to deliver vehicle updates and new features independently of the vehicle hardware to continuously improve the customer experience.