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VW talks to Huawei about licensing software for cars in China

Turmoil at German carmaker’s in-house tech arm threatens to affect market share

Volkswagen has held talks to use Huawei software in its cars in China, hoping to boost flagging efforts to claim a bigger share of the world’s biggest electric-vehicle market.

According to three people familiar with the situation, the carmaker has engaged in conversations with Huawei over the use of its technology in VW vehicles, while another person said the German company had held similar talks with other Chinese groups.

VW’s own software operation, Cariad, has been beset by problems since its creation in 2020, including budget misses and delays that led to hold-ups in the launch of new electric vehicles such as Audi’s Q6 e-tron and Porsche’s Macan.

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