All future electric Volvo cars will originate from one single technology stack
On Volvo Cars’ Capital Markets Day, held today in Gothenburg, Sweden, we revealed our new, game-changing approach to technology. This new approach will define the company’s future by channeling all our engineering efforts into one direction: making cars that get better with time.
Starting with the EX90, our future electric cars will be based on the same fundamental core of systems, modules, software and hardware, called the Volvo Cars Superset tech stack. It’s a single tech and software base that contains all modules and functionalities that we will use in our future product line-up. Like a set of building blocks, it can be configured in many different ways. Each of our new cars will be a selection, or a subset, of building blocks from the Superset tech stack, and we will continuously improve and grow the tech stack.
This approach makes sure that our cars truly get better with time, as all our engineering work will focus on improving and enhancing the one tech stack. It means that our work on the EX90 will directly benefit the ES90, and that the work done for the ES90 will carry on – both into the development of the EX60 coming after it, as well as improving the EX90 already in the hands of our customers, and so on.
“The Volvo Cars Superset tech stack is a true game changer: it allows all of our engineering effort to be channeled into one single direction that powers all our products, instead of working on specific car projects,” says Anders Bell, Chief Engineering and Technology Officer at Volvo Cars. “Our engineers will work on one superset, constantly improving, growing and expanding its capabilities and features. This allows for dramatically improved quality, increased speed to market and continually better cars for our customers.”
Closed-loop development
The Superset tech stack approach, which enables us to deliver one brand in many different product flavours, is emblematic of our overarching idea of how to make cars.
We now do closed-loop development based on data, connectivity, software and core computing. This shift to core computing is at least as significant as the shift to electrification. It impacts anything connected to the cars’ electrical system, and the potential benefits are limitless.
By creating a closed-loop development process we will be able to endlessly and relentlessly improve every aspect of our cars, thanks to real-time insight and advanced compute capabilities inside our cars, as well as by our engineers in our development centres.
Our next-generation SPA3 platform
One of the key building blocks for any of our cars is the electric technology base: a combination of the latest propulsion, electric and electronic systems on top of which the car is built.
To put ourselves in a position to become leaders in next-generation mobility, we’re developing a new electric technology base, called SPA3, which will be underpinned by the Volvo Cars Superset tech stack. Our first car to be built on SPA3 will be the forthcoming all-electric EX60 mid-size SUV.
SPA3 builds on many of the building blocks of SPA2 and introduces several key upgrades. It will, for example, have an enhanced core computing capability, which will allow us to secure higher performance and improve features through our tech stack. But the most important change is that the SPA3 architecture has been built to be far more scalable than its predecessor. This means that, if we wanted, we could continuously develop and build cars of all sizes – larger than the EX90 and smaller than the EX30 – using the same technology base. The modularity and upgradeability of SPA3 will allow for lower investment costs – with lower variance as well – in relation to sales, which in turn should lead to a stronger future cash flow.
Lower production costs
By having a scalable SPA3 architecture, we create increased synergies and improve technology efficiency when it comes to core computing, batteries, e-motors, megacasting and modular manufacturing – all factors that contribute to significantly driving down the costs of producing cars.
Our Torslanda plant and its preparation for production of SPA3 cars showcase our approach to future manufacturing, with all capabilities needed to produce a car located in the same area. This approach becomes especially powerful when we’re able to use the same key components across all cars built on SPA3, meaning that complexity goes down and flexibility goes up.
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Volvo Cars in 2023
For the full year 2023, Volvo Car Group recorded a record-breaking core operating profit of SEK 25.6 billion. Revenue in 2023 amounted to an all-time high of SEK 399.3 billion, while global sales reached a record 708,716 cars.
About Volvo Car Group
Volvo Cars was founded in 1927. Today, it is one of the most well-known and respected car brands in the world with sales to customers in more than 100 countries. Volvo Cars is listed on the Nasdaq Stockholm exchange, where it is traded under the ticker “VOLCAR B”.
"For life. To give people the freedom to move in a personal, sustainable and safe way." This purpose is reflected in Volvo Cars' ambition to become a fully electric car maker and in its commitment to an ongoing reduction of its carbon footprint, with the ambition to achieve net zero greenhouse gas emissions by 2040.
As of December 2023, Volvo Cars employed approximately 43,400 full-time employees. Volvo Cars' head office, product development, marketing and administration functions are mainly located in Gothenburg, Sweden. Volvo Cars' production plants are located in Gothenburg, Ghent (Belgium), South Carolina (US), Chengdu, Daqing and Taizhou (China). The company also has R&D and design centres in Gothenburg and Shanghai (China).
For further information, please contact:
Volvo Cars Media Relations
+46 31-59 65 25
media@volvocars.com
Volvo Cars Investor Relations
+46 31-793 94 00