FRANKFURT (Dow Jones) — Mercedes-Benz wants to open up further sources of income with the operating system developed in-house from the middle of the decade and is also relying on Google. According to the announcement, the Stuttgart group’s own navigation system should be based on the latest navigation data from the Google Maps platform. This is to be embedded in the specially developed Mercedes-Benz Operating System (MB.OS), which is to roll off the assembly line in cars from 2025 with the newly designed electric vehicle platform, the so-called Mercedes-Benz Modular Architecture (MMA).
“At Mercedes-Benz, we want to build the most desirable cars in the world, and that includes being the architects of our own operating system,” said CEO Ola Källenius when presenting further details about the operating system in Sunnyvale, California. The system should centrally control functions such as driver assistance systems, navigation, entertainment or loading planning. “This degree of integration is only possible through complete access to all hardware and software components,” says the manager.
MB.OS is based on a chip-to-cloud architecture, with which, for example, the software and hardware cycles should also be able to be decoupled from one another. The partners at MB.OS include the US chip company Nvidia. However, the DAX group is open to other partners. In China, Mercedes-Benz is entering into a local cloud partnership with Tencent.
In view of the future increase in infotainment services such as video and gaming applications or automated driving functions, the car company is relying on other lucrative sources of income. As early as 2022, more than 1 billion euros in software-based sales were generated – with products and services such as navigation, real-time traffic conditions or map updates. By the middle of the decade, sales generated by navigation, entertainment, communication (MB.Connect) and driver assistance systems (MB.Drive) are expected to increase to a low to mid-single-digit billion euro amount. By the end of the decade, it should then be in the high single-digit billions in euros.
“As of today, the company is on the way to exceeding the goal it has set itself of generating 1 billion euros in EBIT with digital services in 2025,” Mercedes-Benz continued on Wednesday. This is already part of the existing profit targets.
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(END) Dow Jones Newswires
February 22, 2023 13:30 ET (18:30 GMT)
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