- Building a proprietary system: The Mercedes-Benz
Operating System (MB.OS) is a new purpose-built chip-to-cloud
architecture that will be central to every future product,
delivering exceptional software capabilities and delighting
customers with its ease of use
- Partnering with innovation leaders: New strategic
collaboration to give Mercedes-Benz customers embedded access to
Google features and maps; further partnerships with key tech
players in hardware and software, ensuring efficient development
and rapid scaling
- Elevating infotainment experience: Integrating
best-in-class region-specific content spanning music, video, gaming
and productivity; vastly superior to smartphone mirroring thanks to
full width screen, immersive sound and voice control
activation
- Advancing automated driving: Mercedes-Benz is planning
enhanced SAE Level 2 functionalities tailored to urban use cases,
offering SAE Level 3 ultimately at speeds of up to 130km/h; all
powered by the NVIDIA DRIVE platform and machine learning
- Offering flexible upgrades: Fully connectable vehicles
will be able to share data and improve rapidly over time via OTA
updates; customers will be offered new features via app, web or
car
- Unlocking financial opportunity: Software-enabled
revenues to evolve to high single-digit billion EUR figure by end
of decade; MB.OS expected to enhance productivity and development
speed; software investments within existing financial
landscape
Mercedes-Benz today detailed its plans as the architect of its
own operating system MB.OS, which will be introduced mid-decade
with the new MMA platform (Mercedes Modular Architecture). MB.OS is
designed and developed in-house to retain full control over the
customer relationship, ensure data privacy, and to leverage the
unique integration of all car functions. Based on a purpose-built
chip-to-cloud architecture, MB.OS benefits from full access to all
vehicle domains: infotainment, automated driving, body &
comfort, driving & charging. This strategic approach allows the
world’s most valuable luxury automotive brand1 to offer its
customers a differentiated, superior product experience.
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Software architects: Mercedes-Benz
previews its operating system MB.OS (Photo: Business Wire)
“At Mercedes-Benz, we are dedicated to building
the world’s most desirable cars. Accordingly, we made the decision
to be the architects of our own operating system – a unique
chip-to-cloud architecture that leverages its full access to our
vehicles’ hardware- and software components. By combining this
in-house expertise with a selection of world-class partners, we
will create an outstanding customer experience, from driving
assistance, navigation and entertainment, all the way to integrated
charging. MB.OS will feature full upgradeability and constant
improvements.”
Ola Källenius, Chief Executive Officer,
Mercedes-Benz
Building a proprietary system – open for partners
MB.OS is designed to connect the major aspects of the company’s
value chain, including development, production, omni-channel
commerce and services – effectively making it an operating system
for the entire Mercedes-Benz business. That’s why the effects of
MB.OS range from decoupling development cycles to enhancing
customer lifetime value long after the original car purchase.
The company created its operating system to be standardized
across the entire vehicle portfolio, fully updateable for rapid
product upgrades and deliberately open for selected partners. While
Mercedes-Benz defines and controls the architecture with its own
hardware and software base layer, the integration of leading
technology players grants customers access to best-in-class
services, content and functions.
These MB.OS partners include NVIDIA, which provides its
software, data and AI expertise as well as its Orin system-on-chip
to enhance benchmark SAE Level 2 and Level 3 automated driving
systems. Vehicle variants will also be equipped with
next-generation sensors, including Light Detection and Ranging
(LiDAR) sensors from Luminar. Today, Mercedes-Benz announced its
most recent partnership – the new long-term strategic collaboration
with Google to develop and implement a next-generation in-car
navigation experience.
Elevating the infotainment experience
Mercedes-Benz will be the first automaker to build its own
branded navigation experience based on new in-car data and
navigation capabilities from the Google Maps Platform – embedded
into MB.OS. This aims to give the luxury carmaker access to
Google’s leading geospatial offering, including real-time and
predictive traffic information, automatic rerouting, and more. To
enrich the user experience, drivers will also be able to use the
YouTube app on the infotainment system when parked and while using
the DRIVE PILOT Level 3 conditionally automated driving system,
where permitted. In addition, Mercedes-Benz will give customers
access to Place Details provided by Google, helping them find
detailed information about more than 200 million businesses and
places around the world, including business hours, photos, ratings,
and reviews. Place Details provided by Google will be available
starting today in all vehicles with the latest generation of MBUX
in applicable markets2.
At the same time, Mercedes-Benz drivers will continue to benefit
from the native integration of essential navigation
functionalities, which are unavailable from off-the-shelf
infotainment systems. One example is precise and reliable range
management for electric vehicles. This is only possible because
MB.OS has access to all vehicle data such as state of charge and
energy consumption – underlining the strategic rationale of
combining proprietary assets with selected partnerships.
Mercedes-Benz will further expand its infotainment features with
new partnerships for leading video, gaming and productivity
applications. MB.OS will open up a new dimension of in-car gaming
through Antstream for arcade games. In-car video conferencing
solutions will be expanded by adding the popular services Webex and
Zoom. In addition, leading dedicated content from Tencent will
serve the specific customer preferences in China even better.
A precursor to MB.OS will already be available in the new
E-Class starting in 2023 with the third generation of MBUX. A new
MBUX API for Android allows the installation of third-party apps,
offering a better user experience compared to mirrored apps.
Find out more about the new features of the new E-Class and MBUX
here.
Advancing automated driving
The next generation of SAE Level 2 automated driving will start
in the Entry segment, leveraging the full potential of machine
learning. A comprehensive set of sensors will be available in the
MMA platform, which will also benefit from new dimensions of
processing power. The sensor setup will be designed to suit the
high demands of urban environments, specifically the presence of
pedestrians and dense, complex traffic patterns. Where local
regulations allow, Mercedes-Benz customers will be able to enjoy
more comfort, including hands-free driving while keeping the eyes
on the road. In China, navigation-based system-initiated lane
changes will also be available, based on a map data from the
Chinese local partner AMAP.
The company is focusing on Level 3 conditionally automated
driving with the ultimate goal of driving at speeds of up to 130
km/h in its final iteration. To achieve this, Mercedes-Benz has
partnered with NVIDIA to build fully programmable and updateable
driving automation systems. The “driving brain” of the vehicle is
the NVIDIA DRIVE Orin system-on-chip, capable of conducting 254
trillion operations per second to process data from a suite of
sensors surrounding the vehicle. The system’s “eyes”, also called
perception systems, alongside radar sensors and cameras, are LiDAR
sensors from Mercedes-Benz partner Luminar. Luminar’s
next-generation IRIS sensor can recognize even small objects with
low reflectivity in the infrared spectrum. Additional redundancy in
sensing modalities will ensure that the system meets the highest
Mercedes-Benz safety standards.
In China, Mercedes-Benz is engaging in a local cloud partnership
with Tencent to support its automated driving systems. An enriched
UI for automated driving functions including an advanced lane-level
map view is planned.
Find out more about Mercedes-Benz conditionally automated
driving features here.
Offering flexible upgrades
The technological foundation of MB.OS further enhances the
opportunities for software-enabled upgrades. The Mercedes-Benz
Operating System decouples hardware from software, allowing for
faster innovation cycles, increasing the flexibility and speed of
updates. Within MB.OS, everything will be fully connectable through
the Mercedes-Benz Intelligent Cloud. This provides the basis for
connected services for the entire vehicle fleet and allows
Mercedes-Benz to protect and leverage customer data, as the company
retains full control over all critical infrastructure.
Mercedes-Benz will offer new services that are more personalized
and convenient, thanks to the Mercedes me ID, which connects all
customer-related information: from purchase and financing to
service appointments right through to charging and payment data. It
allows customers to connect with Mercedes-Benz, personalize their
settings and profiles and receive offers tailored to their specific
needs.
To simplify the customer experience, personalized services and
upgrades will translate into three convenient bundles: MB.CONNECT,
MB.CHARGE, MB.DRIVE3. Vehicle functions such as Navigation, Remote,
Guard 360°, Entertainment and Communication, as well as many
others, will be united in the MB.CONNECT bundle – and kept up to
date via over-the-air updates. With MB.CHARGE, electric vehicle
customers will have access to flexible and attractive tariffs
depending on how much they drive. MB.CHARGE provides maximum
transparency thanks to fixed-price charging rates as well as
priority access to the Mercedes-Benz high-power charging
network.
With MB.DRIVE, customers will have the chance to expand the
functions of advanced driver assistance systems in their cars. All
new models will have the necessary sensing technology on board to
enable Level 2 assisted driving. Selected models can be ordered
with enhanced assisted driving or Level 3 conditionally automated
driving with a fixed-term contract. From 2025 onwards, certain
functionalities can be upgraded over the vehicle lifecycle through
the Mercedes me Store. To explore new functions and make purchases,
customers can access the Mercedes me Store via app, the web or from
inside the car.
Unlocking financial opportunity
The company is confident that this strategic approach to
software and hardware development will be the basis for lifetime
revenues as well as additional contributions. Already in 2022,
Mercedes-Benz generated more than 1 billion euro in
software-enabled revenues with products and services such as
navigation, Live Traffic or online map updates.
Further down the road, the company expects total
software-enabled revenues coming from MB.CONNECT and MB.DRIVE to
grow to a low-to-mid single-digit billion euro figure by
mid-decade; evolving to a high single-digit billion euro figure by
the end of the decade. As of today, the company is on track to
exceed its own goal of 1 billion euro EBIT from digital services in
2025, which is already part of the existing profit targets.
Software will become a substantial part of the company’s product
development process and investment plan, with 25 percent of R&D
budget allocated to software by mid-decade. The Group’s midterm
investment reduction goals will not be affected.
Forward-looking statements:
This document contains forward-looking statements that reflect
our current views about future events. The words “anticipate,”
“assume,” “believe,” “estimate,” “expect,” “intend,” “may,” ”can,”
“could,” “plan,” “project,” “should” and similar expressions are
used to identify forward-looking statements. These statements are
subject to many risks and uncertainties, including an adverse
development of global economic conditions, in particular a decline
of demand in our most important markets; a deterioration of our
refinancing possibilities on the credit and financial markets;
events of force majeure including natural disasters, pandemics,
acts of terrorism, political unrest, armed conflicts, industrial
accidents and their effects on our sales, purchasing, production or
financial services activities; changes in currency exchange rates,
customs and foreign trade provisions; a shift in consumer
preferences towards smaller, lower-margin vehicles; a possible lack
of acceptance of our products or services which limits our ability
to achieve prices and adequately utilize our production capacities;
price increases for fuel, raw materials or energy; disruption of
production due to shortages of materials or energy, labour strikes
or supplier insolvencies; a decline in resale prices of used
vehicles; the effective implementation of cost-reduction and
efficiency-optimization measures; the business outlook for
companies in which we hold a significant equity interest; the
successful implementation of strategic cooperations and joint
ventures; changes in laws, regulations and government policies,
particularly those relating to vehicle emissions, fuel economy and
safety; the resolution of pending governmental investigations or of
investigations requested by governments and the outcome of pending
or threatened future legal proceedings; and other risks and
uncertainties, some of which are described under the heading “Risk
and Opportunity Report” in this Annual Report. If any of these
risks and uncertainties materializes or if the assumptions
underlying any of our forward-looking statements prove to be
incorrect, the actual results may be materially different from
those we express or imply by such statements. We do not intend or
assume any obligation to update these forward-looking statements
since they are based solely on the circumstances at the date of
publication.
Mercedes-Benz Group at a glance
Mercedes-Benz Group AG is one of the world's most successful
automotive companies. With Mercedes-Benz AG, the Group is one of
the leading global suppliers of high-end passenger cars and premium
vans. Mercedes-Benz Mobility AG offers financing, leasing, car
subscription and car rental, fleet management, digital services for
charging and payment, insurance brokerage, as well as innovative
mobility services. The company founders, Gottlieb Daimler and Carl
Benz, made history by inventing the automobile in 1886. As a
pioneer of automotive engineering, Mercedes-Benz sees shaping the
future of mobility in a safe and sustainable way as both a
motivation and obligation. The company's focus therefore remains on
innovative and green technologies as well as on safe and superior
vehicles that both captivate and inspire. Mercedes-Benz continues
to invest systematically in the development of efficient
powertrains and sets the course for an all-electric future: The
brand with the three-pointed star pursues the goal to go
all-electric by 2030, where market conditions allow. Shifting from
electric-first to electric-only, the world’s pre-eminent car
company is accelerating toward a fully electric and software-driven
future. The company's efforts are also focused on the intelligent
connectivity of its vehicles, autonomous driving and new mobility
concepts as Mercedes-Benz regards it as its aspiration and
obligation to live up to its responsibility to society and the
environment. Mercedes-Benz sells its vehicles and services in
nearly every country of the world and has production facilities in
Europe, North and Latin America, Asia and Africa. In addition to
Mercedes-Benz, the world's most valuable luxury automotive brand
(source: Interbrand study, 03 Nov. 2022), Mercedes-AMG,
Mercedes-Maybach, Mercedes-EQ and Mercedes me as well as the brands
of Mercedes-Benz Mobility: Mercedes-Benz Bank, Mercedes-Benz
Financial Services and Athlon. The company is listed on the
Frankfurt and Stuttgart stock exchanges (ticker symbol MBG). In
2022, the Group had a workforce of around 170,000 and sold around
2.5 million vehicles. Group revenues amounted to €150.0 billion and
Group EBIT to €20.5 billion.
______________________________ 1 According to “Best Global
Brands 2022“ 2 All Generation 2020 MBUX (NTG7) vehicles with
navigation in connect markets except China, Japan and Korea.
Series: 223, 206, 295, 297, 296, 294, 254, 232, 177 (from
production 12/2022, model year 22/2), W247 (from production
12/2022, model year 22/2), V167 (from production 12/2022, model
year 22/2). 3 To use the Mercedes me connect services, you must
create a Mercedes me ID and agree to the terms of use for the
Mercedes me connect services. The services presented and their
availability and functionalities depend in particular on time, the
vehicle model, year of manufacture, selected optional equipment and
country.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20230222005724/en/
Tobias Just, Tel.: +49 (0) 160 868 7568,
tobias.just@mercedes-benz.com Katja Bott, Tel.: +49 (0) 160 861
0452, katja.bott@mercedes-benz.com Andrea Berg, Tel. +1 917 667
2391, andrea.a.berg@mercedes-benz.com
Further information on Mercedes-Benz Group is available at:
group-media.mercedes-benz.com and group.mercedes-benz.com
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