Volkswagen Group is considering using an electrical and electronic architecture co-developed with Chinese automaker Xpeng for roughly 75% of next-generation Volkswagen, Škoda and Cupra models. The shift, which VW brand boss Thomas Schäfer plans to present to management on October 27, could generate savings of €4-5 billion and significantly reduce Rivian's role in software development for the joint venture.
The Xpeng-developed architecture may not be suitable for all vehicle segments, according to the report. The potential cost advantage over Rivian's involvement reflects the price differences between Western and Chinese automotive development approaches.