German manufacturing giant Schaeffler is aiming to cut automation costs by up to 40% after announcing a major technology partnership to expand AI-powered robotics across its global factories.
The company has joined forces with German technology firm Wandelbots to develop a new Physical AI platform designed to make industrial automation cheaper, faster and more flexible.
Announced on 22 October, the partnership will build on Wandelbots' NOVA software platform, bringing artificial intelligence, robotics and digital simulation together within a single system.
The companies aim to reduce automation costs by as much as 40% over the lifetime of equipment, covering both new installations and existing production facilities.
The technology is intended to simplify how robotic applications are developed, tested and introduced across Schaeffler's worldwide manufacturing network.
Rather than creating separate software for different machines, the platform is designed to work across multiple robot manufacturers and equipment types.
This could allow automation systems developed at one factory to be transferred more easily to other production sites, reducing duplication and development costs.
The proposed system will support industrial robots, mobile robotic equipment and humanoid machines, with Schaeffler planning to make the technology available across its global operations.
A key feature is the use of digital twins, which allow manufacturers to simulate production processes before introducing them on factory floors.
Using NVIDIA Omniverse and NVIDIA Isaac Sim, engineers will be able to test robotic movements, validate production processes and identify potential problems in a virtual environment.
Once validated, applications can be transferred to physical machinery through the same software platform, reducing the need for repeated adjustments.
Wandelbots chief executive and co-founder Christian Piechnick said Physical AI could significantly reduce manufacturing costs while increasing production flexibility.
He said: “What matters now is that capabilities can be developed efficiently, transferred across different systems and deployed reliably in production.”
Piechnick explained that NOVA provides the foundation for manufacturers to develop their own AI-powered automation platforms rather than relying on a single ready-made solution.
The partnership will also focus on developing reusable robotic capabilities that can be centrally managed and deployed across different factories.
Schaeffler intends to create a library of these capabilities, allowing processes developed and tested at one location to be introduced elsewhere without starting development from scratch.
The companies say earlier collaborative projects have already demonstrated potential time savings.
In one robot-assisted packaging application, virtual testing reduced development time by approximately two weeks.
The approach also shortened adjustment processes that had previously taken several weeks or months, according to the companies.
Schaeffler executive board member Dr Jochen Schröder said manufacturers needed to rethink traditional approaches to automation to remain competitive.
“Flexibility and scalability are today’s decisive success factors in global competition,” he said.
Schröder added that the partnership would help introduce advanced AI technology directly into industrial production while supporting the company's wider digitalisation ambitions.
The collaboration was presented at NVIDIA GTC in Berlin and builds on existing development work between the two businesses.
Schaeffler operates several thousand robotic systems across its global production network, providing significant scope for expanding the technology.
However, the proposed 40% cost reduction remains a target rather than a confirmed saving across its factories.
The companies have not announced a timetable for the full global rollout.
For manufacturers facing rising operating costs and pressure to improve efficiency, the partnership highlights growing interest in using AI and digital simulation to make factory automation more adaptable and affordable.