They absolutely design their own chips, typically the precise details are outsourced. But they are actively developing chips from MCUs (motor control units) up

They absolutely design their own chips, typically the precise details are outsourced. But they are actively developing chips from MCUs (motor control units) up to simple things like seat heating sensors. At the moment they have pushed the German government to invest billions in German made inference accelerators for cars, to not be solely dependent on foreign chips by NVIDIA and Intel for that.