BMW Reaches Settlement with OMV Group: €1 Billion in New Orders and €350 Million in Installment Payments

On August 2, Vitesco Technologies Group AG, a subsidiary of Continental AG, announced that it has reached a settlement agreement with the BMW Group, bringing an end to their legal dispute concerning historical warranty claims related to an integrated braking system. The parties involved include Continental AG and its wholly owned subsidiary, Vitesco Technologies Germany GmbH. Under the agreement, BMW will award new project orders totaling over €1 billion to Vitesco Technologies Germany GmbH, while Vitesco Technologies Germany GmbH will pay BMW a settlement amount of €350 million, payable in two installments during the third and fourth quarters of 2026. The two companies also signed a comprehensive long-term cooperation agreement to strengthen their business relationship and expand technical collaboration. The dispute originated from a large-scale recall initiated by BMW due to defects in braking systems supplied by Continental, affecting approximately 1.5 million BMW and MINI vehicles. The defect impacted the anti-lock braking system (ABS) and vehicle stability control systems, potentially causing the loss of power brake assist and increasing the risk of driver loss of control. Continental had previously announced in August 2025 that its automotive group would begin operating independently under the brand name “AUMOVIO Vitesco” starting September 1. This business segment employs around 100,000 people and accounts for roughly half of Continental AG’s total business.