Dassault Systemes on Tuesday introduced a long-term partnership with Volkswagen to speed up the German automaker’s transition in direction of automobiles that rely closely on software program to manage and optimise key features.
The French software program group’s 3DEXPERIENCE platform was chosen by Volkswagen as its important engineering and manufacturing platform, it stated.
“Volkswagen chosen us to standardise engineering and manufacturing for your entire group to speed up time to market and the transition to software program outlined automobiles,” Dassault’s finance chief Rouven Bergmann stated on a name with journalists.
Volkswagen couldn’t instantly be contacted for remark.
As Dassault already supplies its flagship platform to BMW , the Volkswagen deal will permit the French group to streamline its a number of fragmented programs in Germany, Bergmann stated on a separate name with analysts, one of many few remaining markets the place the 3DEXPERIENCE platform had not been broadly applied.
“This may speed up the penetration of the auto provide chain, particularly now that the sector is underneath strain,” he stated, including that the recurring nature of the corporate’s contracts creates additional progress potential.
Dassault’s shares have been nearly 8% increased at 1451 GMT, main France’s mid-cap SBF 120 index and on observe for his or her greatest day since December 2023.
Dassault didn’t disclose the unique worth of the take care of Volkswagen.
It’s a full-subscription, recurring cloud-based contract, with an preliminary time period of seven years and the choice to increase for an additional ten, Bergmann stated, including that there have been alternatives so as to add additional worth to the deal.
Bergmann stated the deal’s influence on the group’s fourth-quarter outcomes, introduced on Tuesday, was “marginal”.
