Making the Legacy Software Carve-Out Work
Learn what it takes to remain compliant with the CVR, including codebase transfers and strict developer restrictions.
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Making the Legacy Software Carve-Out Work
Transcript
I think what we're seeing, with a lot of our customers in the market in general is a model that is starting to look like you you may have Chinese content that's being you know, today is being actively developed and maintained by, a a company that would be considered covered and prohibited.
There is a transfer that that needs to take place, between now and March seventeenth of twenty twenty six, where the, the products that the, that is going into the vehicle, the software for that product needs to be maintained by a noncovered entity, after March seventeenth twenty twenty six. So with to be clear, after March seventeenth twenty twenty six, if you have one Chinese developer who is in a covered company change one line of code in in a covered product, which is your VCS or ADS, it is now prohibited.
So the the transfer is you need to have a noncovered team who is working on that code and doing the maintenance if you're going to continue using that that covered product during this transition period. So because you have longer on the hardware side of things, you may have a VCS hardware system that has Chinese firmware today that is allowed because of the legacy carve out, you can continue using that hardware until twenty twenty nine, because of the timeline for hardware.
And the challenge is getting the software maintenance and operations moved into an allowable, you know, position, which is making sure that it's being done by non, by non Chinese, companies or persons under the definition of the rule, rule, which is complicated.
But, that is a model that is popular right now that a lot of folks are trying to work through.