Tokyo – October 04, 2026 -- TIER IV, the developer of open-source autonomous driving software Autoware, has been selected by Japan's Ministry of Economy, Trade and Industry for a grant program backing collaborative technology initiatives in the Global South, under which it will conduct autonomous bus field operational tests (FOTs) in Saudi Arabia.
Saudi Vision 2030 sets a 15% autonomous public transport target
Saudi Arabia's Vision 2030 strategy calls for 15% of public transportation to be autonomous by 2030, part of a broader push to diversify the economy and address shortages of skilled driving personnel amid rapid urban development.
TIER IV builds on a September 2025 MOU with digital services firm Elm
The company signed a memorandum of understanding with Elm, a Saudi developer of digital services and autonomous technologies, in September 2025. That partnership will underpin the new grant-funded program, combining TIER IV's experience deploying open-source autonomous buses and training local talent in Japan with Elm's regional presence.
Vehicle integration will pair a European automaker's system with Japanese reference models
TIER IV will develop autonomous buses for the Saudi market by integrating a European automaker's autonomous driving system, using vehicles already deployed in Japan as a technical reference point.
AI models will be retrained for desert climate and right-hand traffic conditions
The company will adapt its open-source autonomous driving system using local data to account for Saudi Arabia's desert climate and right-hand traffic rules. Testing will begin in closed environments before expanding to public roads.
TIER IV has run FOTs in more than 120 Japanese regions plus the UK and Australia
The company cites this track record as evidence of its capacity to localize autonomous systems, while noting that adapting technology to new traffic environments requires substantial upfront investment in data collection and AI model training -- costs that carry commercial risk for private firms entering unproven markets.
Talent development programs will target STEM education through competitive events
Beyond vehicle deployment, TIER IV will work with local transportation operators and government authorities to assess regional mobility needs, and will partner with educational institutions on STEM-focused competitive events aimed at building a domestic autonomous driving workforce.
TIER IV said it will apply lessons from the Saudi deployment to further develop autonomous driving technology in Japan and expand into neighboring markets.