Swedish automaker, Volvo Cars and American multinational transportation online network company, Uber are will be collaborating their efforts in creating the next generation of automotive cars.

In their joint venture, the two companies will be developing new base vehicles which will be based on Volvo Cars, then later on, will be bought by Uber. The vehicles will be incorporated by Uber into their own self-developed driving system with Volvo as the transport company's technical partner.

Both companies believe that this joint project is a big step towards the development of the automotive business and marks the beginning of a longer-term partnership.

“Volvo is one of the most progressive and contemporary car makers in the world. It is a world leader in the development of active safety and autonomous drive technology, and possesses an unrivalled safety credibility. We are very proud to be the partner of choice for Uber, one of the world’s leading technology companies. This alliance places Volvo at the heart of the current technological revolution in the automotive industry,” said Håkan Samuelsson, president and chief executive of Volvo Cars.

“Over one million people die in car accidents every year. These are tragedies that self-driving technology can help solve, but we can’t do this alone. That’s why our partnership with a great manufacturer like Volvo is so important. Volvo is a leader in vehicle development and best-in-class when it comes to safety. By combining the capabilities of Uber and Volvo we will get to the future faster, together,” said Travis Kalanick, Uber’s chief executive

The development of the project will be managed in collaboration of Volvo Cars and Uber engineers. Included in the project are new features in consideration of their customer's safety.

Under the new partnership, 100 units will be initially rolled our in Pittsburg in a few weeks time.