Uber has signed a deal with Volvo.
Under the deal, which is reportedly worth more than $1 billion, Volvo will supply the ride-hailing company with 24,000 "autonomous driving compatible" vehicles between 2019 and 2021. Uber is clearly trying to ramp up its effort to bring self-driving vehicles to consumers, while Volvo has said that the automotive industry is being disrupted by technology and it wants to play an active part in that disruption.
"Our aim is to be the supplier of choice for AD ride-sharing service providers globally," Volvo announced in a statement. "[This] agreement with Uber is a primary example of that strategic direction." Uber agreed, saying, “This new agreement puts us on a path toward mass produced self-driving vehicles at scale." Keep in mind this isn't Volvo's first rodeo with Uber. The two companies previously formed a partnership in 2016.
Thanks to that other partnership, Uber was able to roll out Volvo-branded, self-driving vehicles on the road in California last year, but they weren't permitted vehicles, so Uber had to publicly go back and forth with the Department of Motor Vehicles over the issue. Volvo must not of cared too much about that debacle, however, as Uber is now buying 24,000 XC90 SVUs from it to help form it driverless car fleet.
Uber has also been spotted testing Volvo XC90 SUVs in Pittsburgh.