Bosch Pours Billions Into Automation and Humanoid Robotics as Auto Crisis Deepens
Robert Bosch, one of the world’s largest automotive suppliers, is placing an enormous bet on automation and humanoid robotics as it battles through the worst financial crisis in its recent history. The German industrial giant revealed on Wednesday that it sees its future not in manufacturing robots, but in providing the intelligence and sensory systems that will power them.
“Bosch is shaping the future – on wheels and with arms,” said Tanja Rückert, the company’s head of digital, at the Bosch Connected World industry event in Berlin. Chief executive Stefan Hartung went further, predicting that humanoid robotics could become “a business worth billions” for the Stuttgart-based group.
The strategy rests on a clear division of labour. Rather than competing with robotics manufacturers, Bosch intends to supply what it describes as the “brain and nervous system” for humanoid machines – the sensors, software, and artificial intelligence that give them the ability to perceive and interact with the physical world.
Central to this vision are microelectromechanical systems, or MEMS sensors, a field in which Bosch already holds the global market lead. These sensors give robots a sense of touch, enabling them to distinguish between a delicate glass object and a robust metal one. Market analysts project the MEMS sensor market will exceed $19.2 billion by 2030, a figure that underscores the commercial potential of Bosch’s pivot.
To accelerate the transition, the company has established a dedicated subsidiary, Robert Bosch Robotics GmbH, and is consolidating its Asian robotics operations at a new centre in China. Partnerships with start-ups such as Germany’s Neura Robotics are aimed at developing cognitive robots, while Bosch is leveraging data from more than 230 of its own manufacturing plants worldwide to train AI systems – a data repository it claims is unmatched in the industry.
The strategic pivot, however, is unfolding against a deeply challenging backdrop. Bosch’s 2025 financial results reveal the scale of its difficulties: the company posted a post-tax loss of €363 million ($419 million), its first since 2009, while turnover edged up only marginally to €91 billion.
The causes are multiple and reinforcing. A weakening global economy, newly imposed United States tariffs, and ferocious competition from Chinese suppliers have all eroded Bosch’s traditional strengths. By its own admission, the company is no longer competitive in many product segments. Future-oriented ventures in electric mobility and hydrogen-powered vehicles have yet to generate meaningful returns, while its consumer goods division – spanning home appliances and power tools – continues to suffer from sluggish demand.
The human cost of restructuring has been severe. Management is planning the elimination of roughly 22,000 jobs in the supplier division alone, with additional cuts at its BSH home appliances subsidiary and power tools arm. By the end of 2025, Bosch’s German workforce had already contracted by more than five per cent to 122,968 employees. The company has set aside approximately €2.7 billion to cover redundancy settlements, a burden that dragged down its annual results.
For Africa and other developing regions, Bosch’s transformation carries broader implications. As automation reshapes global manufacturing, countries seeking to attract industrial investment will need to adapt their workforces and infrastructure. The shift also raises questions about the future of traditional automotive jobs at a time when technology and mining are already driving economic change across West Africa.
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