The partnership between Volkswagen and Xpeng, which saw the German giant acquire a significant stake in the Chinese startup, is expanding: the two companies have recently announced the development of a new electric architecture, the “E/E Architecture,” aimed at reducing costs and improving the efficiency of electric vehicles.
This move is part of Volkswagen’s intention to close the technological gap with the Chinese and, most importantly, to regain market share in China. Meanwhile, Xpeng has the funds to continue developing its electric vehicles, which have recently been sold in many European countries, with Italy being one of the next markets to be included.
The New Architecture from Xpeng and Volkswagen
The E/E architecture is the system that connects the electronic control units (ECUs), sensors, and actuators within vehicles. With this new architecture, Volkswagen and Xpeng aim to offer better digital and connected services and to reduce costs through a more efficient structure that uses 30% fewer control units.
The new E/E architecture project is part of Volkswagen’s “in China for China” strategy, which focuses on catering to Chinese customers and technological innovations in order to recover lost market share.
Recently, Volkswagen unveiled the first of several new models in the Unyx range, also developed for the Chinese market but based on the current MEB technology: for example, the ID.Unyx, which is essentially a Cupra Tavascan with Volkswagen branding and some modifications. At present, there are no immediate plans to see this architecture in Volkswagen vehicles in Europe.
