PARIS, France — French car giant Peugeot has announced a strategic partnership with Vay, a German mobility startup, to integrate cutting-edge “teledriving” technology into its vehicles. This collaboration aims to revolutionize last-mile delivery services by leveraging remote-controlled driving technology.

The partnership between Peugeot and Vay will initially focus on evaluating the feasibility and efficiency of Vay’s teledriving tech in last-mile delivery vans and smaller logistics vehicles, specifically targeting business-to-business (B2B) customers. This innovative approach seeks to mimic the typical journey a delivery vehicle takes from an order fulfillment center to its final destination, akin to models used by companies like Amazon. However, in this scenario, the vehicles will be remotely controlled rather than autonomously driven.

Pilot Testing and Vehicle Integration

The first pilot tests of Vay’s teledriving technology with Peugeot vehicles are slated to begin this year. The primary focus will be on integrating this technology into Peugeot’s E-3008 electric SUVs and various electric vans. The collaboration has been in development for the past 18 months, according to Justin Spratt, Vay’s Chief Business Officer. He highlighted Peugeot’s innovative reputation and broad customer base as key factors in selecting them as their first original equipment manufacturer (OEM) partner for teledriving tech integration.

Spratt emphasized that this partnership would demonstrate how delivery operations can be significantly improved. The ability to deliver vehicles on demand, redistribute them as needed, and manage cleaning and charging in a cost-effective manner can revolutionize logistics.

Understanding Teledriving Technology

Teledriving involves vehicles being controlled remotely by human operators using real-time video feeds of the vehicle's surroundings. This concept contrasts with autonomous vehicles, which operate without human intervention. Teledrivers undergo extensive training and certification before they can operate one of Vay’s teledrive stations, ensuring a high level of safety and reliability.

This technology is particularly effective for short-distance trips, making it ideal for last-mile deliveries and operations within logistics centers. Last-mile deliveries refer to the final step of the delivery process, where goods are transported from a transportation hub to their final destination.

Peugeot and Stellantis

Peugeot, a renowned French automobile brand, is owned by Stellantis, a Netherlands-based multinational automotive manufacturing corporation. Stellantis was formed through the merger of Fiat Chrysler Automobiles and PSA Groupe in 2021, and its extensive brand portfolio includes Chrysler, Dodge, Jeep, Citroën, and Maserati.

Potential Cost Savings and Efficiency

Spratt noted that the teledriving technology could drive substantial cost savings for logistics companies, particularly those involved in e-commerce delivery. By separating drivers from commercial vehicles at distribution centers, operational costs can be significantly reduced. Additionally, Vay is exploring the implementation of on-vehicle lockers with unique customer QR codes for pick-up, further enhancing the efficiency of last-mile delivery.

Showcasing at Viva Technology Trade Fair

Vay is presenting its teledriving technology with Peugeot at the Viva Technology industry trade fair in Paris. Spratt expressed optimism about the potential for cost savings and efficiency improvements, stating, “We believe it can drive large cost savings for all logistics companies, in particular e-commerce delivery.”

Expansion and Regulatory Approvals

Earlier this year, Vay launched a commercial teledriving service in Las Vegas, Nevada. This service allows users to order cars to their location, drive themselves to their destination, and then have a teledriver take over to park the car or return it to base. Vay has conducted tests on public roads in Europe and the U.S. with remote drivers, and it is working towards full regulatory approval for the technology on both sides of the Atlantic.

Company Background and Future Prospects

Founded in 2018 by tech entrepreneur Thomas von der Ohe, Vay has raised over $110 million in funding from investors, including Kinnevik, Coatue, Eurazeo, Atomico, La Famiglia, and Creandum. Von der Ohe, a former technical program manager at Zoox (a self-driving car startup acquired by Amazon), envisions teledriving as a bridge between manual driving and fully autonomous vehicles. While Vay does not plan to introduce an autonomous driving product in the near future, it is gathering valuable data on the physical environment that could support future self-driving functionality.

Conclusion

Peugeot’s partnership with Vay marks a significant step towards the future of logistics and last-mile delivery, utilizing innovative teledriving technology. This collaboration has the potential to transform delivery operations, offering substantial cost savings and efficiency improvements. As the technology gains regulatory approval and further integration, it could pave the way for broader adoption and new applications in the automotive and logistics industries.