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Nvidia and Mercedes Join Forces to Challenge Tesla in the Autopilot Market

Editorial staff
06 January 2026, 10:35
Nvidia and Mercedes Join Forces to Challenge Tesla in the Autopilot Market Photo Author: BBC

Nvidia CEO Jensen Huang has unveiled a new technological platform called Alpamayo at the CES trade show in Las Vegas, reports the BBC.

This system enables autonomous vehicles to do more than just drive; it allows them to reason like humans and make informed decisions in complex scenarios. In partnership with German automaker Mercedes-Benz, Nvidia has begun production of the Mercedes-Benz CLA, a driverless car powered by this technology. The new model is set to be released in the United States in the coming months, followed by rollouts in Europe and Asia.

Alpamayo is an open-source model, making its source code freely available to researchers on the Hugging Face platform. This move positions Nvidia as a major competitor to Elon Musk’s Tesla. Additionally, the company announced that its new Rubin chips, which consume less energy and reduce technology costs, will be released later this year. According to Jensen Huang, this project transforms Nvidia from a mere chip manufacturer into a global platform provider for physical AI ecosystems.

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