Renault plans extensive reorganisation – and massive digitisation

Renault plans extensive reorganisation – and massive digitisation

Business news |
By Christoph Hammerschmidt

Renault will split into five separate companies – for the production of electric cars, for vehicles with combustion and hybrid drive, the sports car brand Alpine, a financial and data service provider and a company for circular economy and battery recycling.

With Ampere, Renault Group is creating an independent company that will develop, manufacture and distribute electric cars with advanced software-defined vehicle technology. The French-based company will become a full-fledged OEM with around 10,000 employees. As a technology company, it will drive innovation with around 3,500 engineers, half of whom specialise in software.

The company is based on three industrial pillars: a high-tech and competitive production facility called ElectriCity. This is now considered one of the most important and competitive production sites for electric vehicles in Europe. It has a production capacity of 400,000 units, scalable to 1 million. 80 per cent of the suppliers are located within a 300 km radius.

A European EV value chain for batteries: Thanks to this, Ampere will ensure the supply of more than 80 GWh needed for its vehicles by 2030. From 10 per cent coverage of the EV value chain in 2020, it is now over 30 per cent and will reach 80 per cent by 2030.

A breakthrough Software Defined Vehicle technology: this concept allows the vehicle to be in constant contact with the OEM throughout its lifecycle, keeping its software up to date at all times and learning from its users With the goal of launching its first SDV in 2026, Renault has formed close partnerships with two major technology companies:

Qualcomm Technologies to jointly develop high-performance computing platforms based on Snapdragon Digital Chassis solutions for centralised electronic architecture. These include system-on-chip (SoC) and low-layer software and functions, in-car services and applications. Qualcomm also intends to take a financial stake in Ampere. This participation could also take place through a Qualcomm subsidiary, it said.

Multi-layered approach: Renaults cooperation plans with Qualcomm

Ampere also plans to work intensively with data and software specialist Google. This cooperation includes the development of an Android-based platform for software-defined vehicles and cloud software to enable a digital vehicle twin.

By 2030, Ampere plans to launch six electric cars: in the B-segment, the new Renault 5 Electric and the Renault 4 Electric; and in the C-segment, the Megane E-Tech Electric, the Scenic Electric and two other vehicles. Ampere aims to produce around 1 million e-vehicles for the Renault brand by 2031.

Renault Group’s traditional core business will continue to include the development of Renault and Dacia brand internal combustion and hybrid vehicles and Renault light commercial vehicles, each with its own organisation and management. In this area, Renault has now agreed to set up a joint venture with Chinese carmaker Geely, the group parent of Volvo – although so far only a non-binding outline plan for this joint venture is available. At the start, the new company is expected to supply several industrial customers, including Volvo, Proton, Nissan and Mitsubishi. In order to strengthen this part of the business, the foundation of a worldwide supplier for conventional and hybrid drive technologies is also envisaged under the project name “Horse”.

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