Mercedes-Benz to Consolidate R&D in Silicon Valley

Mercedes-Benz will rev its electric motors at its research lab in Sunnyvale and rip out of the parking lot for unknown horizons.

The unit of Stuttgart-based Mercedes-Benz Group plans to relocate its Mercedes-Benz Research and Development North America division from its 71,700-square-foot headquarters at 309 North Pastoria Avenue, the Silicon Valley Business Journal reported.

The timing of the move was not disclosed.

Mercedes-Benz is consolidating its R&D footprint in Silicon Valley from three buildings to one, according to an unidentified spokeswoman. Its local research arm has its main office in Sunnyvale, plus two unknown locations.

The company declined to disclose where the new research office would go, whether the company has found a new site, or whether it would lease or buy.

Mercedes leases all three of its current buildings in Silicon Valley.

“Like many Silicon Valley companies, we continuously seek opportunities that align with our vision and goals,” the Mercedes spokeswoman said in an email, adding the firm will announce its new location this year.

Mercedes-Benz Research and Development North America leased its current office in Sunnyvale from owner Peery Arrillaga, based in Palo Alto, in 2013. Terms of its lease are unknown.

The R&D division, founded in 1994, previously leased an office in Palo Alto. It now develops the electric powertrains for the Mercedes-AMG, EQ, G and Maybach lines, according to its website.

Show cars to emerge from its design center include the AMG Vision Gran Turismo, Vision Mercedes-Maybach 6 Coupe and Cabriolet, Vision EQ Silver Arrow and Vision C111.

— Dana Bartholomew