Increasing their agreement to make cars "like mobile phones," Renault and Google

Renault SA is strengthening its partnership with Google in an effort to expand the capability for remote software upgrades to new models including the Austral and Megane E-Tech electric vehicles.

According to Renault Chief Executive Officer Luca de Meo, "We aim to make the car an intelligent item that learns and one that can be upgraded over the air like a mobile phone."

The technological prowess of Tesla Inc., which includes the capability to upgrade vehicles remotely, has forced automakers to race to catch up. Renault will be able to provide more over-the-air software upgrades as well as more on-demand services thanks to the expansion of the relationship with Google, which was established in 2018, the two firms stated on Tuesday. 

New digital capabilities for cars, according to De Meo, will increase sales, boost the residual value of Renault vehicles, and keep consumers. Drivers will be able to locate their autos in huge parking lots thanks to functions on demand. According to him, "the product remains connected with the company from birth to death, for more than one ownership cycle."

The growth of the partnership with Google demonstrates Renault's "horizontal" strategy under de Meo, which involves working with software developers rather than developing the technology internally. This approach has had varying degrees of success at other conventional automakers. Due to issues with its Cariad software division, Volkswagen AG postponed the release of many important new models and fired Herbert Diess in July. 

“We are a hardware manufacturer; software is another sport,” de Meo said. “If you want to learn to play tennis, you better go with someone who plays proper tennis.”