TIER IV secures Japanese government grant to advance autonomous bus field operational tests and talent development in Saudi Arabia
TOKYO, Oct. 4, 2026 /PRNewswire/ -- TIER IV, the pioneering force behind open-source software for autonomous driving, has been selected by the Japanese Ministry of Economy, Trade and Industry for a grant program supporting collaborative technology initiatives in the Global South. Through this program, TIER IV will conduct autonomous bus field operational tests (FOTs) in Saudi Arabia. Using autonomous driving technologies with a proven track record in Japan, the company aims to help deliver safe, scalable mobility services adapted for local conditions. TIER IV will also promote talent development initiatives that contribute to the local workforce.
Background
Under the Saudi Arabian government's Saudi Vision 2030 strategy, the country is pursuing economic diversification and social transformation with a focus on building a vibrant society, a thriving economy, and an ambitious nation. It has set a target of making 15% of public transportation autonomous by 2030. As urban development continues, there is a growing need to develop sustainable mobility solutions that improve the convenience of public transportation, enhance traffic safety, and address challenges of training skilled driving personnel.
In September 2025, TIER IV signed a memorandum of understanding with Elm, a developer of digital services and autonomous technologies. Leveraging this initiative alongside its experience and expertise in deploying autonomous buses using open-source technologies and developing talent in Japan, TIER IV will contribute to the advancement of next-generation mobility in Saudi Arabia.
Project overview
Through the following initiatives, TIER IV aims to deepen collaboration with automakers, autonomous driving technology providers and local transportation operators while establishing a business model for the future commercial operation of autonomous vehicles.
1. Vehicle integration
TIER IV will develop autonomous buses for deployment in Saudi Arabia, working with a European automaker to integrate its autonomous driving system. Autonomous vehicles developed in Japan will serve as a reference.
2. Local adaptation and FOTs
TIER IV will adapt and deploy an autonomous driving system based on open-source technologies and AI models. Training these models with local data will create an autonomous driving system tailored to local conditions, including the desert climate and right-hand traffic. FOTs will initially take place in closed environments before expanding to public roads.
3. Co-creation with local partners and talent development
TIER IV will work with local partners and transportation operators to gain insights into operational environments and regional transportation needs, while also collaborating with government authorities to share knowledge regarding local transportation challenges and requirements for deployment.
With educational institutions, the company will promote programs designed to foster talent in the fields of Science, Technology, Engineering and Mathematics through competitive events.
Government support
To date, TIER IV has conducted autonomous driving FOTs in more than 120 regions across Japan, as well as in the United Kingdom and Australia. To further improve the performance of autonomous driving systems, however, systems must be adapted to the unique driving environments and traffic rules of each country and region. This requires substantial upfront investment for large-scale data collection, AI model training and other costs.
Deploying autonomous solutions in new markets involves uncertainties regarding demand and the establishment of viable business models. For private companies, these upfront investments can therefore represent a significant burden and entail substantial risks associated with commercialization.
Supported by this grant, TIER IV will work on establishing a high-precision autonomous driving system tailored to the local environment and advance talent development programs toward goals outlined in Saudi Vision 2030.
Future outlook
This initiative will contribute to economic development and innovation through collaboration between Japan and Saudi Arabia, with TIER IV driving the deployment of autonomous mobility solutions to help build a sustainable future for transportation.
TIER IV will apply the knowledge gained from deploying Japanese autonomous driving technologies in Saudi Arabia and neighboring countries to the development of autonomous driving technologies in Japan, contributing to further technological advancement. By fostering talent and expanding collaboration with related industries, the company also aims to contribute to the growth of Japan's autonomous driving industry.
TIER IV will leverage these insights in vehicle development, FOTs and technology adoption across different vehicle types in other markets. Through these efforts, the company aims to further strengthen the international competitiveness of Japanese autonomous driving technology.
About TIER IV
TIER IV stands at the forefront of deep tech innovation, pioneering Autoware, open-source software for autonomous driving. With a comprehensive suite of platforms and services built around Autoware, TIER IV provides everything from software development and vehicle procurement to operational support. Through the Autoware ecosystem, TIER IV works with partners worldwide to shape the future of intelligent vehicles with open-source software, aiming to create mobility that is safer, more sustainable, and accessible to all.
The word marks and logos of TIER IV are trademarks or registered trademarks of TIER IV, Inc. in Japan and other countries. All other company names, product names, service names, and logos referenced herein are trademarks or registered trademarks of their respective owners.
Autoware is a registered trademark of the Autoware Foundation.
SOURCE TIER IV, INC.
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