Volkswagen might shut down its car factory for AI hubs and robotics instead

Looks like Volkswagen fans could be in for a shock. Recently, Volkswagen has announced the closure of its car manufacturing plant in Dresden, Germany, which will be transformed into a hub for the development of artificial intelligence (AI), robotics, and chip design research. So, what should you know about it?

The first local plant to shut down in 88 years

For your information, he plant, which opened in 2001, is the first local Volkswagen plant to be closed in 88 years. VW's move is not surprising, as Western automakers are currently facing a crisis of not being able to compete with electric vehicles (EVs) from China.

Moreover, the lack of software expertise and chip usage has left them struggling to keep up with innovations introduced by Chinese competitors. Among the issues VW faces are sluggish vehicle software, a lack of innovative features and the much higher prices of Chinese EVs.

Additionally, VW is another car company that is now changing direction into the AI arena. Yesterday, we reported that Ford is renovating its EV battery production plant to produce battery packs for industrial needs, especially AI data centres.

Stay tuned to TechNave.com for more updates.