Volvo Sticks With Uber Despite Autonomous Crash and Stolen Tech Litigation

Matt Posky
by Matt Posky

After Friday’s high-speed crash, it’s back to business as usual for Uber’s autonomous programs. Last week, one of the company’s self-driving Volvos was struck by a flesh-piloted crossover — causing Uber to temporarily ground its entire test fleet. With the exception of the wrecked unit, all of those vehicles are now back in action as the business attempts to get on with R&D while simultaneously moving its legal dispute with Waymo out of the public eye.

Meanwhile, Volvo’s 300-million-dollar alliance with the ride-sharing company remains unperturbed. In the crash’s aftermath, Volvo maintained that it would continue to support Uber and preserve the partnership.

According to a company spokesperson, Uber’s recently permitted San Francisco vehicles were the first to resume testing, while the Tempe, Arizona and Pittsburgh self-driving mules returned to work Monday evening. With things settled on the streets, Uber now has to worry about its courtroom battle with Alphabet’s Waymo — which has accused to company of pilfering some of its technology when it purchased former Google employee Anthony Levandowski’s Otto autonomous trucking platform.

On Monday, Bloomberg reported that Uber petitioned a San Francisco federal judge to hold an April 13th hearing on its arbitration request for key claims in the complaint filed by Waymo last month. Its lawyers informed the judge that Alphabet’s employment agreements contain broad provisions. However, Waymo seems to have intentionally left Levandowski out of the claim to avoid getting slowed down by just such a move. As Uber is the one being accused of patent-infringement, shifting the judge toward arbitration may be a nonstarter.

Waymo lawyer, Charles Verhoeven, addressed the issue during a March 16th hearing, after Uber’s lawyer Arturo Gonzalez told the court he planned to file a request for arbitration. Without offering details on how it apply to the individuals Waymo accuses of stealing information, Verhoeven reminded U.S. District Judge William Alsup that “those individuals are not parties” within its lawsuit.

After months of bad press, it makes sense that Uber would want to move this court case out of the public eye and buy itself a little time. However, none of the unpleasant publicity has seemed to phase Volvo’s partnership with the company. Still, the automaker has said that the partnership is purely for the sake of hardware development and has carefully distanced itself from Uber’s myriad of problems.

“They have to deal with those things, and it’s their responsibility,” Lex Kerssemakers, CEO of Volvo Car USA, told Automotive News earlier this year.

Dave Sullivan, an analyst at AutoPacific, believes that Volvo has everything to gain by maintaining a professional relationship with Uber. It reaps the rewards of the business’ autonomous testing programs while accepting a negligible amount of risk in exchange. “Volvo, at the top, is run by Chinese management, and they see the big picture,” Sullivan said. “Some human resource hiccups, looking 10 or 15 or 20 years down the road, aren’t going to throw this thing off the track.”

[Image: Volvo]

Matt Posky
Matt Posky

A staunch consumer advocate tracking industry trends and regulation. Before joining TTAC, Matt spent a decade working for marketing and research firms based in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Dissatisfied with the corporate world and resentful of having to wear suits everyday, he pivoted to writing about cars. Since then, that man has become an ardent supporter of the right-to-repair movement, been interviewed on the auto industry by national radio broadcasts, driven more rental cars than anyone ever should, participated in amateur rallying events, and received the requisite minimum training as sanctioned by the SCCA. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and managed to get a pizza delivery job before he was legally eligible. He later found himself driving box trucks through Manhattan, guaranteeing future sympathy for actual truckers. He continues to conduct research pertaining to the automotive sector as an independent contractor and has since moved back to his native Michigan, closer to where the cars are born. A contrarian, Matt claims to prefer understeer — stating that front and all-wheel drive vehicles cater best to his driving style.

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  • OldManPants OldManPants on Mar 28, 2017

    What's up with that crazy perpendicular parking in the photo?

    • See 1 previous
    • OldManPants OldManPants on Mar 28, 2017

      @SunnyvaleCA Won't those same slope problems apply as soon as someone backs out and assumes the direction of traffic flow?

  • Jpolicke Jpolicke on Mar 28, 2017

    REALLY GETTING SICK OF THE ARITHMETIC PROBLEM EVERY TIME I TRY TO LOG IN! And then getting dumped into the Wordpress site.

    • OldManPants OldManPants on Mar 28, 2017

      WordPress is truly the Hoyt-Clagwell of content management systems.

  • Redapple2 jeffbut they dont want to ... their pick up is 4th behind ford/ram, Toyota. GM has the Best engineers in the world. More truck profit than the other 3. Silverado + Sierra+ Tahoe + Yukon sales = 2x ford total @ $15,000 profit per. Tons o $ to invest in the BEST truck. No. They make crap. Garbage. Evil gm Vampire
  • Rishabh Ive actually seen the one unit you mentioned, driving around in gurugram once. And thats why i got curious to know more about how many they sold. Seems like i saw the only one!
  • Amy I owned this exact car from 16 until 19 (1990 to 1993) I miss this car immensely and am on the search to own it again, although it looks like my search may be in vane. It was affectionatly dubbed, " The Dragon Wagon," and hauled many a teenager around the city of Charlotte, NC. For me, it was dependable and trustworthy. I was able to do much of the maintenance myself until I was struck by lightning and a month later the battery exploded. My parents did have the entire electrical system redone and he was back to new. I hope to find one in the near future and make it my every day driver. I'm a dreamer.
  • Jeff Overall I prefer the 59 GM cars to the 58s because of less chrome but I have a new appreciation of the 58 Cadillac Eldorados after reading this series. I use to not like the 58 Eldorados but I now don't mind them. Overall I prefer the 55-57s GMs over most of the 58-60s GMs. For the most part I like the 61 GMs. Chryslers I like the 57 and 58s. Fords I liked the 55 thru 57s but the 58s and 59s not as much with the exception of Mercury which I for the most part like all those. As the 60s progressed the tail fins started to go away and the amount of chrome was reduced. More understated.
  • Theflyersfan Nissan could have the best auto lineup of any carmaker (they don't), but until they improve one major issue, the best cars out there won't matter. That is the dealership experience. Year after year in multiple customer service surveys from groups like JD Power and CR, Nissan frequency scrapes the bottom. Personally, I really like the never seen new Z, but after having several truly awful Nissan dealer experiences, my shadow will never darken a Nissan showroom. I'm painting with broad strokes here, but maybe it is so ingrained in their culture to try to take advantage of people who might not be savvy enough in the buying experience that they by default treat everyone like idiots and saps. All of this has to be frustrating to Nissan HQ as they are improving their lineup but their dealers drag them down.
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