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German car giant Volkswagen teams up with Amazon to build 'industrial cloud'

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German car giant Volkswagen teams up with Amazon to build 'industrial cloud'
Photo: DPA
15:36 CET+01:00
German car giant Volkswagen announced Wednesday a long-term partnership with US technology firm Amazon to develop an online platform connecting its factories and increase productivity.

The system, dubbed 'Volkswagen Industrial Cloud', "will bring together the data from all machinery, plants and systems at the 122 factories within the Volkswagen group", including management schedule software and warehouses, said the manufacturer in a statement.

Currently, the IT infrastructure differs from factory to factory. The 'cloud' should be deployed by the end of 2019, said the world's largest car manufacturer, adding it wants to "optimise production processes and increase productivity".

Long term, it is hoped the system will integrate Volkswagen's global supply chain, which involves 30,000 locations and more than 1,500 suppliers.

Increasing productivity is one of the goals of Volkswagen's cost savings plan as it embarks on an expensive transition to electric mobility.

SEE ALSO: VW says it can't rule out job cuts amid plans for electric new start

The axing of between 3,000 and 5,000 net jobs within the group's main VW brand by 2023, announced earlier this month, is also expected to boost margins.

The group is already cooperating with computer giant Microsoft to create a separate network, called the 'Volkswagen Automotive Cloud' that brings together all of VW's online services, from software updates to carsharing.

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