[AutonomousVehicles] Volvo Has Dropped Luminar and Lidar for 2026 Models

[Cornelius Butler]

Volvo Has Dropped Luminar and Lidar for 2026 Models
After years of pushing the technology, Volvo now assures that its cars can
deliver a high level of safety even without lidar.

Article Link and Text are below.

Article link:
https://www.thedrive.com/news/volvo-has-dropped-luminar-and-lidar-for-2026-models

Article Text:
Volvo Has Dropped Luminar and Lidar for 2026 Models

Volvo Has Dropped Luminar and Lidar for 2026 Models
After years of pushing the technology, Volvo now assures that its cars can
deliver a high level of safety even without lidar.
Adam Ismail

Published Nov 18, 2025 9:21 AM EST

Volvo Has Dropped Luminar and Lidar for 2026 Models
After years of pushing the technology, Volvo now assures that its cars can
deliver a high level of safety even without lidar.
Adam Ismail

Published Nov 18, 2025 9:21 AM EST

Volvo has been one of the industry’s stalwart supporters of lidar for
autonomous driving, even while the sensors in some of its models were
frying smartphone cameras. However, the automaker has been at odds with its
supplier of the technology, Luminar, for some time, which led it to
recently make lidar optional on its ES90 and EX90 models—vehicles that
previously featured it as standard equipment. Today, we’ve learned they
won’t be featuring it as any equipment, as Volvo confirmed to The Drive
that lidar will be gone entirely from its range starting with the 2026
model year.

“Volvo Cars has decided to remove the lidar sensor from its EX90 and ES90
cars and discontinue its relationship with supplier Luminar,” a Volvo Cars
USA spokesperson wrote in a statement Tuesday. “Volvo Cars has made this
decision to limit the company’s supply chain risk exposure and it is a
direct result of Luminar’s failure to meet its contractual obligations to
Volvo Cars.

“To meet customer demand, be able to offer the Volvo EX90 and the ES90 cars
to more customers as well as limit the company’s supply chain risk
exposure, Volvo Cars had previously made the decision to make lidar
optional on these vehicles starting 2026. The termination of the agreement
with Luminar means lidar will no longer be offered on any EX90 or ES90 car
from Model Year 2026 onwards.”

Volvo ES90. Volvo
That leaves it in no uncertain terms that Volvo has terminated its
relationship with Luminar due to the supplier’s alleged failure to uphold
its commitments to the automaker. Given Luminar’s recent reported struggles
of hemorrhaging cash, significantly cutting its workforce, and a major
executive shakeup that also involves a prior ethics investigation from the
company’s board of directors, it’s not particularly surprising that Volvo
has lost confidence in the Orlando-based firm.

All this has left Luminar in an even more dangerous position. On Monday, it
stated in an SEC filing regarding the end of the contract that “there can
be no guarantee that any claim or litigation against Volvo will be
successful or that the Company will be able to recover damages from Volvo.”

As for how this will affect Volvo going forward, the automaker has not
indicated that it will replace or is looking to replace Luminar’s
contribution with lidar components from another supplier, so this very well
could be the end of the road for the technology in its vehicles.

“The company’s products can deliver a high level of safety and driver
support, enabled by the cars’ powerful core computing coupled with their
advanced sensor set—with or without a lidar,” the statement continued.
“This situation has an effect on some customer orders, and we regret any
concerns this might cause. We’re currently in the process of contacting
affected customers.”

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