"Something like Stanford": Volkswagen is repurposing its Dresden plant into an AI center

Volkswagen has decided to turn the production site in Dresden, known as the Transparent Manufactory, into an innovation center for artificial intelligence and other advanced technologies. In this way, the carmaker is fulfilling its promise not to close plants in Germany, Bloomberg explains.

The company has signed a preliminary agreement with the authorities of Saxony and the Technical University of Dresden to create a campus and research hub at the plant, focusing on developments in AI, robotics and chip design. According to the agreements, the university will eventually occupy almost half of the former automobile plant. Joint research projects will begin as early as next year. According to Volkswagen, the automaker and the university will invest more than €50 million ($58.3 million) in the project over the next seven years.

Volkswagen intends to capitalize on the university's strong technological competencies and the growing importance of eastern Germany for the European semiconductor industry, the company said in a press release. Major projects of Bosch, Infineon and TSMC are already operating in Dresden, and the agreement with VW should further strengthen the attractiveness of the region for specialists in advanced industries, emphasized Volkswagen CEO Thomas Edig.

"I strongly believe that we are creating something like the Stanford of East Germany here - a world-class high-tech campus that will attract young professionals and international researchers," Bloomberg quoted Edig as saying. - We will meet this challenge thanks to the energy of the Saxons and the support of Volkswagen."

The Dresden plant has been under threat of closure since last year. "Transparent manufactory" was opened in 2001 as a showcase of technological processes of assembly of premium cars, designed in particular for visitors and customers, writes Bloomberg. The plant could produce no more than 6,000 cars a year and was, in fact, more of an image project than a full-fledged production facility, the agency believes. The plant has produced about 150,000 cars over the years, and in the last few years it has assembled the ID.3 electric car. Volkswagen said about 50 to 60 of the plant's 225 employees will receive offers of transfers or early retirement when it stops assembling cars later this month.

This article was AI-translated and verified by a human editor