Transportation Systems 2011 - Innovation the Swedish way

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Transportation Systems 2011 - Innovation the Swedish way
Transportation Systems 2011
Innovation the Swedish way
Transportation Systems 2011 - Innovation the Swedish way
Developing the vehicles of the future
    Sweden has a unique position of strength to lead the
    development of the automotive technologies of tomorrow.

    Sweden has for many years been                  from its powertrain to complex elec-
    among the leading vehicle nations               trical and electronics systems, from
    with excellence through the com-                scratch. The nation’s extensive auto-
    plete value chain, from research and            motive cluster encompasses all
    design to manufacturing and testing.            aspects of state-of-the-art car and
    This makes Sweden the ideal spring-             heavy vehicle development.
    board from which to develop the                    Sweden can offer incentives to
    green, safe, intelligent and con-               foreign actors looking to perform key
    nected vehicles that consumers will             technology research in Sweden. The                   Transportation brands of
                                                                                                         Swedish origin
    increasingly expect.                            Swedish state has a long history of
       Sweden is one of the world’s most            financing R&D in the automotive
    automotive-intensive countries, with            industry, and its current initiative,
    a long and proud history and a strong           Strategic Vehicle Research and Inno-
    reputation for inno­vation and quality,         vation Initiative (Fordonsstrategisk
    who produce hundreds of thousands               forsk­ning och innovation, or FFI),
    of vehicles each year. Sweden is also           also welcomes applications from for-
    the birthplace of a number of leading           eign companies and organizations.
    suppliers to the industry, including               The Swedish way of collaboration
    Autoliv, Haldex and SKF, with all the           between many stakeholders yields
    world’s major vehicle manufacturers             better overall results, and creates
    among their customers. Sweden is                benefits in flexibility, time-to-market
    one of the few countries that has the           and costs.
    competence and experience to
    develop an entire premium vehicle,

       Green vehicles                               Intelligent vehicles                             Tested vehicles

       Be part of Sweden’s cutting-edge             Learn from and contribute to Sweden’s            Why build your own facilities when
       development of electric vehicles and         tightly integrated electronic systems cluster,   some of the world’s most
       plug-in hybrids for passenger and com-       which brings together innovative minds from      advanced testing centers are avail-
       mercial use. Work with the most              the fields of telecommunications, aerospace      able for you to use in Sweden?
       demanding OEMs in close collabora-           and the automotive industry.                     Advanced simulators and
       tion with innovative local clusters.                                                          unmatched winter testing facilities
                                                    Connected vehicles                               in the arctic north are used by the
       Safe vehicles                                                                                 major global OEMs and sub-sup-
                                                    Get involved in the many large-scale projects    pliers. Tomorrow’s electric vehicles
       Benefit from Sweden’s long and proud         already rolled out in Sweden, in areas like      can be tested charged with carbon
       ­tradition in both passive and active        congestion charging, weather monitoring          dioxide-free and renewable elec-
        safety systems. Foreign automotive          and speed control. Link up with the leading      tricity from Sweden’s grid.
        actors are invited to participate in gov-   cluster Telematics Valley.
        ernment-funded research programs
        within the safety area.

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Transportation Systems 2011 - Innovation the Swedish way
Excellence today, excellence tomorrow
Sweden is the home of cutting-edge inno­vation in the fields of
green, safe, intelligent, connected and tested vehicles.

The technologies that tomorrow’s        of innovation, international competi-
motorists will expect are already       tiveness and foreign direct invest-
well-established in Sweden, a coun-     ment (FDI) potential.
try where environmental awareness,         At a time of unprecedented
safety and connectivity are second      upheaval for the automotive industry,
nature, and complex systems design      new challenges will open up opportu-
is a tradition.                         nities for the manufacturers able to
   Sweden’s position at the forefront   respond to the new circumstances.
of vehicle technology is based on       While the industry faces many uncer-
solid experience with both passenger    tainties, it is beyond doubt that an
and commercial vehicles in the pre-     increasingly well-informed, tech­
mium segment, combined with a           nically-savvy and environmentally-
leading position within the telecoms,   aware motoring public will place new
ICT, aerospace and cleantech indus-     demands on their vehicles and on
tries. The country consistently ranks   the industry. Those who can satisfy
among the world leaders in indexes      those demands will reap the rewards.

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Transportation Systems 2011 - Innovation the Swedish way
Green vehicles

    The natural choice for green vehicles
    Vehicle manufacturers who want to sell in                       lished in Sweden. The country also has one of the highest
                                                                    rates of green car sales in the world.
    the premium market need to meet the
    demands of increasingly environmentally-                        Fuel from forests
    aware customers. Sweden offers competence                       The Swedish Energy Agency is a major investor in energy
    and experience in technologies and alterna-                     efficiency and renewable energy for vehicles. The agency is
                                                                    unique in the world in having its own investment portfolio of
    tive fuels, from hybrids to bio-fuels derived                   green technology companies. Among them are ETC Battery
    from forests.                                                   and Fuel Cells, a development company and competence
                                                                    center which forms the link between Swedish research and
    Starting out more than 30 years ago Sweden has stayed one       industry. The Swedish Energy Agency part-finances the
    of the forerunners in the development of alternative energy     BioDME project which produces vehicle fuel from a by-prod-
    sources, thanks to a combination of a highly environmen-        uct of the pulp & paper industry, in conjunction with the
    tally-conscious population and limited supplies of domestic     Volvo Group, and is one of three government bodies behind
    sources of fossil fuels. Volvo Trucks, Scania, Volvo Car Cor-   the SEK 450 million-per-year Strategic Vehicle Research
    poration and Saab Automobile have extensive green technol-      and Innovation Initiative.
    ogy programs and collaborate with each other and with small
    innovative companies to push the technology forward.            Electric visions of the future
      Volvo Trucks has so far produced engines running on seven     The Swedish Electric Mobility Initiative (SEMI) project, run
    different renewable fuels. Researchers at the country’s uni-    by the Power Circle cluster, is working for the widespread
    versities are developing the fuels and technologies of the      introduction in Sweden of vehicles powered by electricity
    future.                                                         from renewable sources.
      Successive Swedish governments have invested heavily in        It aims to have 600,000 electric vehicles on the nation’s
    fuel-efficient cars and renewable fuels through initiatives,    roads by 2020, and 50 demo sites for the vehicles will be
    such as the Green Car programs that started already in 2000.    established around the country. The project is already well on
    Today funding is also available to foreign companies estab-     the way towards that target.

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Transportation Systems 2011 - Innovation the Swedish way
Safe vehicles

The vision: no one should be killed or injured
Sweden is the birthplace of innovations rang-                    what technologies could help them avoid the impending
                                                                 crash?
ing from the three-point seatbelt to the lami-
                                                                   At the SAFER Vehicle and Traffic Safety Centre in Göte-
nated windshield and the side airbag. Thanks                     borg, 22 partners from the public and private sectors and
in part to state-sponsored initiatives Sweden                    academia collaborate on analyzing all aspects of how and
is at the forefront of safety innovation.                        why accidents and injuries occur so that techno­logies can be
                                                                 developed to prevent them.
Sweden’s safety consciousness is summed up in the so               At this international hub, the research is divided into four
called Vision Zero, the revolutionary road safety initiative     programs: ­pre-crash, crash, post-crash and traffic safety
which aims to reduce to zero the number of fatalities and        analysis. The overall aim is to enhance Swedish international
serious injuries on the nation’s roads. Vision Zero and its      ­competitiveness in the field of vehicle and traffic safety.
new way of thinking about traffic safety are now being
­exported extensively around the world.                          Real-life safety saving lives
     Sweden is home to cutting-edge research into the causes     Volvo Cars has one of the world’s most advanced automotive
 of traffic accidents and techno­logies for minimizing their     safety test facilities with more than 160 technicians and
 effects and preventing them, and offers foreign investors the   engineers working towards the company’s extremely ambi-
 ideal environment for pursuing the vision of safer roads eve-   tious safety target. The vision is that by 2020 no one should
 rywhere. In fact, Sweden is probably the only country in the    be killed or injured in a Volvo, and in the long-term to have
 world with a law stating that nobody should be killed in road   no collisions at all.
 traffic.Recent statistics show that the numbers of casualties      Volvo’s safety specialists carry out crash simulations, test
 in road traffic have been reduced record low numbers            new components and systems, investigate real-life crashes,
 despite increasing road usage.                                  as well as analyzing them and recreating them in-house.
                                                                    They aim not only for the highest EuroNCAP and US
Crash prevention through research                                NCAP ratings, but also for what they call real-life safety –
How do drivers react to particular traffic situations? What      which means going even further than the ratings and the
sensors could warn them of these situations in advance? And      legal requirements.

                                                                                                                                   4
Transportation Systems 2011 - Innovation the Swedish way
Intelligent vehicles

    Just relax and let your vehicle do the thinking

    Ten years from now vehicles will be even more                    chosen to represent Ford within Autosar, the partnership for
                                                                     open and standardized automotive software architecture.
    intelligent, equipped with systems that will
                                                                      “We have been pushing Autosar to the next level within
    transform the driving experience. Scores of                      some specific areas,” says Lennart Lundh, director of elec-
    embedded systems will help the driver, and                       trical system design at Volvo Cars.
                                                                         The Swedish research initiative Software Automotive
    offer personalized infotainment features,
                                                                     Platform (SWAP) has designed an Autosar-compliant devel-
    advanced chassis management, and intelli-                        opment and prototyping platform with involvement from
    gent safety systems that constantly scan the                     Swedish companies such as QRTech and Systemite, as well
    vehicle and its surroundings. Electronics and                    as Volvo Cars and Saab Automobile. The SWAP platform
                                                                     allows users to tailor and integrate their software, tools and
    electrical systems already account for about                     other components to Autosar.
    30 percent of the cost of a modern vehicle.                          Volvo’s presence at the heart of Sweden’s automotive
                                                                     cluster has attracted many of the most innovative companies
    Sweden has a solid tradition of complex systems design and       and leading researchers in the field to Göteborg.
    integration from the defense, aerospace and telecoms                 “Systems engineering is part of Swedish society, and that
    industries, and vehicle safety today is supported by state-      gives us an advantage,” says Lennart Lundh
    funded programs such as ­Vehicle Information and Commu-
    nication Technology (V-ICT).                                     Scania famed for reliability
      Strong clusters centered on the nation’s vehicle manufac-      At Scania the number of electronic control units has grown
    turers and characterized by the Swedish desire for coopera-      from only a few 15 years ago to up to 30 today.
    tion across organizations and across sectors provide a rich        And that development will only ­continue as the company
    environment for the development of tomorrow’s electrical         pushes forward in its drive for safer, more fuel-efficient and
    and electronics systems, for both on- and off-road vehicles. ­   more intelligent vehicles.
                                                                       “Our processing power will just keep on going up, espe-
    Volvo’s leading role                                             cially on the heavier, more complicated control units,” says
    Volvo Cars’ successes with its fourth generation of electric     Lars-Gunnar Hedström, head of systems development at
    and electronics systems can be seen in the fact that it was      Scania.
    singled out to lead the development in this area for Ford,       “We can always make better functionality if we have more
    Jaguar and Land Rover in Europe. Its engineers were also         processing power.” Lars-Gunnar Hedström states.

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Transportation Systems 2011 - Innovation the Swedish way
Connected vehicles

Joined-up approach to connected vehicles

Vehicles will get more connected to each other                  has done the biggest and most advanced experiments in
                                                                intelligent speed adaptation, and Volvo Cars is in the abso-
and to the transportation infrastructure. This
                                                                lute lead when it comes to the implementation of distance-
will lead to safety and environmental benefits,                 keeping and lane-keeping systems in vehicles.
increased transport efficiency and new enter-
tainment and media services.                                    Wireless emergency service
                                                                Implementation of telematics services and solutions will be
With a long history in both the automotive and telecommu-       influenced by environmental and safety considerations
nications sectors, Sweden play a key role in the develop-       spurred by political decisions. A driving factor behind
ment of the connected ­vehicle. Strong clusters in the fields   telematics will be eCall, the European Commission project
of Intelligent Transport Systems (ITS) and telematics have      to bring assistance to motorists involved in collisions by
evolved where these industries overlap, and attracted a sig-    wirelessly sending information to emergency services, due
nificant number of foreign actors eager to take advantage of    for implementation in 2012.
Sweden’s lead in areas like fleet management systems and          There is also big business for vehicle manufacturers in
intelligent speed adaptation.                                   extracting diagnostic data from which to do analysis. Volvo
  Business in Sweden is characterized by openness and           Trucks was early out with a system – developed in Sweden
coope­ration between companies, government agencies and         and implemented in the US – which uses telematics to send
academia. Because connected vehicles are all about estab-       vehicle data to a control center to help minimize downtime.
lishing cooperation between systems, between vehicles, and          The closeness of major telecoms and IT players like IBM,
between vehicles and the surrounding infrastructure,            Ericsson and Telia Sonera with Sweden’s vehicle manufac-
­Sweden is a natural focal point for this development.          tures and suppliers, make Göteborg home to Telematics Val-
                                                                ley, one of the world’s largest telematics clusters and to
First use of number plate recognition                           Lindholmen Science Park.
Sweden is among the global leaders in the implementation
of ITS. It has the world’s most extensive network of weather    Eco-driving saves on fuel
measurement stations which monitor road con­ditions and         The use of technology to influence driver behavior to reduce
send out salting vehicles before the surface has a chance to    fuel use and emissions is increasingly coming into focus.
freeze. Stockholm’s congestion charging system, based on        Swedish ITS company Thoreb’s real-time traffic information
full automatic number plate recognition (ANPR), was the         and traffic planning systems are markedly improving the fuel
first wide-scale use of the technology in the world. Sweden     efficiency of bus fleets around the world.

                                                                                                                               6
Transportation Systems 2011 - Innovation the Swedish way
Vehicle testing and inspection

    Pushing innovative technologies to the limits
    The cleaner, safer, more intelligent and more                    Crash testing; track testing; winter testing; electromagnetic
                                                                     compatibility testing. Sweden offers automotive manufac-
    connected vehicles in the future will also
                                                                     turers and suppliers unmatched infrastructure and facilities
    require new levels of quality and reliability.                   for the testing of vehicles. Sweden hosts test sites for the EU
    Vehicle manufacturers need to be sure that                       Cooperative Vehicle-Infrastructure Systems (CVIS) and
                                                                     Safespot projects, among others.
    their electric lithium ion batteries function
                                                                        “Sweden is the ideal test country,” says Peter Öhman at
    during an unusually cold winter. Rescue servi-                   Test Site Sweden, the national test and demonstration arena
    ces and the environmental impacts of a seri-                     offering testing opportunities at virtual, full scale and reality
    ous accident involving a vehicle powered by                      labs, with a focus on traffic safety, logistics and the environ­
                                                                     ment.
    such a battery need to be fully investigated.
                                                                     Keeping unwanted spectators away
    Sweden is among the world’s leading automotive testing           All European OEMs, plus several from Asia, choose ­Sweden
    nations. Test facilities throughout the country offer the full   for their winter testing. Together with guaranteed arctic tem-
    range of resources, from an artificial sun at SP Tech­nical      peratures, the north of Sweden offers decades of testing
    Research Institute of Sweden in Borås, to advanced simu-         experience in a sparsely populated area with few noise
    lators at the Swedish National Road and Transport                restrictions, and empty roads ideal for sensitive testing
    Research Institute (VTI’s) state-of-the-art labs in Göteborg,    assignments away from prying eyes.
    to cold-weather endurance testing on the frozen lakes of          “There’s nothing you can’t do in Sweden when it comes to
    the far north.                                                   winter testing,” says Öhman.
        A number of major automotive players have already              “It is no surprise that the likes of BMW, Volvo, Bosch and
    established their own tailor-made testing facilities in          others have invested heavily in their own ­facilities here. “
    ­Sweden. There are also a number of independent testing             Besides the well-established cold-weather stress tests,
     companies with highly experienced engineers working in          drivability tests, mileage collection and comfort tests, north-
     the strictest confidence that can be contracted to conduct      ern Sweden now also offers a full infrastructure for testing of
     tests on a freelance basis, employing cutting edge testing      electric vehicles at sub-zero temperatures.
     technologies.

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Transportation Systems 2011 - Innovation the Swedish way
Public and private research funding

State R&D funding available for foreign actors
Foreign automotive companies setting up in                            Funding is available to any company from any nation which
Sweden are invited to apply for research fun-                         has entered into some kind of agreement with a Swedish
                                                                      company within the automotive or automotive supply indus-
ding under a program run by the Swedish                               try. The foreign company must establish a presence and a
state in collaboration with Swedish vehicle                           business in Sweden. Research eligible for funding can be
manufacturers.                                                        anything from basic research to late development, but must
                                                                      be business-based, that is lead to business or applications
The Strategic Vehicle Research and Innovation Initiative              on the open market.
(Fordonsstrategisk forskning och innovation, or FFI), which               The criteria assessed are the relevance to the FFI pro-
runs from 2009 to 2012, funds research within the areas of            gram; the quality of the project proposal; its feasibility; and
energy/environment and safety, and has an annual budget of            usefulness of the research.Projects can receive up to 50
SEK 450 million. A similar amount will come from industry.            percent funding from the Swedish state. Universities or
   The overall aim is to reduce the environmental impact of           research institutes from abroad can receive up to 100 per-
road transport, reduce the numbers of people killed and               cent funding if they have unique knowledge.
injured on the roads, while strengthening the competitive-
ness of the automotive industry in Sweden.                            Open collaboration
                                                                      The parties involved in the FFI programs are the Swedish
Financing and collaboration                                           Energy Agency, Vinnova (the Swedish Governmental Agency
The program gives foreign companies the opportunity to                for Innovation Systems) the Swedish Road Administration,
receive funding for research, plus the chance to tap into             the Volvo Group, Saab Automobile, Scania, Volvo Car Corpo-
Sweden’s world-leading knowledge and experience in the                ration and the industry organization Scandinavian Automo-
safety and green technology areas. The initiative follows             tive Suppliers.
similar successful programs where the Swedish state and                 Applications for funds from the FFI programs can be made
industrial partners have come together to provide funding             through a portal on the Vinnova homepage.
for research in key strategic areas.                                  www.vinnova.se

  The priority research areas within FFI:
    Energy and environment: projects will deal with increased
  energy efficiency, changeover to renewable fuels, reduced local
  and regional environmental impact, and so on.

    Transport efficiency, with a focus on more effective intermodal
  transports, developing systems for communication and adminis-
  tration, logistics, vehicle fleets, and vehicle maintenance.

     Vehicle and traffic safety, covering areas such as intelligent
  safety systems, crash safety, human cognition and tolerance,
  field studies, unprotected road users and security.

    Vehicle development: vehicle electronics, integrated systems
  and software, vehicle hydraulics, development methods and
  construction materials for more effective vehicles.

    Sustainable production, including component manufactur-
  ing, virtual manufacturing, chassis manufacturing, logistics and
  material handling.

                                                                                                                                        8
Transportation Systems 2011 - Innovation the Swedish way
Contact information - cluster collaboration

     Academia and industry building
     vehicle clusters for the future
     The Lindholmen Science Park lies at the          pean research and development project
     very heart of Sweden’s automotive cluster.       Cooperative Vehicle Infrastructure System
     Located on the north bank of the Göta            (CVIS). The SAFER Vehicle and Traffic
     River across from downtown Göteborg,             Safety Center also operates from here.
     the science park builds on the strong                  Lindholmen Science Park has three
     automotive heritage in the West Sweden           overlapping focus areas: intelligent ­vehicles
     region.                                          and transport systems; mobile internet;
        Companies at Lindholmen range from            and modern media and design. This brings
     small innovative spin-offs from Chalmers         the automotive industry into contact with
     University of Technology through to large        companies like IBM and Ericsson.
     automotive consultancies such as Semcon                About 16,000 people commute to the
     and Consat, to the likes of Volvo Car Cor-       science park each day. 9,000 work at
     poration and Volvo Trucks. A number of           about 180 companies at the site, with the
     organizations with links with the industry,      remainder attending university and high
     such as the Swedish Road Administration-         school. With its focus on safety and envi-
     and Invest Sweden also have a presence           ronmental issues within the automotive
     on site.                                         ­sector, Lindholmen Science Park will
        Lindholmen Science Park is home to             ­continue to play an important role in the
     Test Site Sweden with its extensive testing        ­vehicle industry in the future.
     and demonstration environments, and was
     chosen as a test site for the major Euro-        www.automotivesweden.se

     Competence and confidentiality
     at a chilling temperature
     The northern Swedish province of Norr-           tions for endurance testing. Besides the
     land provides optimal conditions for the         infrastructure and local competence, visit-
     winter testing of vehicles. Guaranteed sub-      ing test teams can get access to work-
     zero temperatures during the long arctic         shops, office space and accommodation.
     winter and world-leading know-how and                Its northerly location means that test-
     experience in testing are combined with a        ing can be carried out in secrecy. For
     sparsely-populated location that ensures         instance at Arjeplog, one of the world’s top
     the all-important confidentiality.               testing locations, just 3,300 people live in
          The region offers several months of         an area the size of Belgium. But still the
     subzero temperatures often hovering              Norrland region is well served by air, road
     around the –30C mark. Undulating hills           and rail connections which keep it access­
     create microclimates where the mercury           ible to the big European manufacturers.
     can dip to –40C and below.                           All the major European OEMs, from
          During the more than 30 years of win-       Bentley and Bugatti to Seat and Skoda,
     ter testing in the region, an extensive infra-   test in Sweden, as do the leading compo-
     structure has grown up around the indus-         nents suppliers, such as Pirelli and
     try. Test tracks are marked out on frozen        Bridgestone, Haldex and Bosch.
     lakes while thousands of kilometers of
     deserted forest tracks provide ideal condi-      www.spga.se/testregion

9
We assist you through the entire investment process:

Invest Sweden and regional partners offer                                                     Invest Sweden
information and professional assistance                                                       Stefan Östling
                                                                                              Head of Transportation Systems
free of charge to foreign companies and
                                                                                              +46 31 764 76 52, +46 70 645 78 67
organizations. Our automotive experts                                                         stefan.ostling@investsweden.se
and regional colleagues can connect you
with potential partners and help with                                                         Robert P. Karlsson
                                                                                              Senior Investment Advisor
contacts with the authorities.                                                                +46 31 764 76 50, +46 70 581 45 81
                                                                                              robert.p.karlsson@investsweden.se

                                                                                              Invest Sweden North America
                                                                                              Kjell Nilsson
                                                                                              +1 734 662 5990, +1 734 904 0677
                                                                                              kjell.nilsson@investsweden.se

                                                                                              Invest Sweden China
                                                                            Luleå             Jia Wang
                                                                                              +86 137 0136 8736
                                                                                              jia.wang@investsweden.se

                                                                2                             Invest Sweden Japan
                                                                     Umeå
                                                                                              Michio Mori
                                                                                              +81 3 5562 5093, +81 80 1108 3690
                                                                                              michio.mori@investsweden.se

                                                                                              Invest Sweden India
                                                                                              S.R. Venkatesan
                                                                                              +91 80 283 99199, +91 99800 34599
                                                                                              s.r.venkatesan@investsweden.se

                                                                                              www.investsweden.se/transportation
                                   Köping
                                                         Stockholm

                                                  Södertälje                                  1   Business Region Göteborg
                                                                     Number of employees          Malin Norén
Uddevalla                 Skövde
            Trollhättan                                              in Swedish automotive
        1                                                                                         +46 31 367 61 72, +46 709 67 56 00
                                                                                25 – 200
Göteborg                   Jönköping
                                                                               201 – 500          malin.noren@businessregion.se
                                            Oskarshamn                         501 – 2,000        www.businessregion.se
                                                                             2,001 – 5,000
                                                                             5,001 – 10,000
                                                                                              2   Västerbotten Investment Agency
  Helsingborg                                                               10,001– 15,000
                                                                                                  Olof Norberg
                                                                            15,001–
        Malmö                                                                                     +46 910 7126 83, +46 706 111 700
       Trelleborg
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                                                                                                  www.viavasterbotten.se
Responsible publisher: Invest Sweden Editors: Natalie Cayo/Loth Hammar

Photos: Volvo, Istockphoto, Image Bank Sweden, Test Site Sweden
Printing: Majornas Grafiska/InTime AB

Finalized in January 2011. Printed on environmentally approved, chlorine-free
paper.

                                                                                                                                       10
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