Mercedes-Benz has begun rolling out a conversational AI system that allows drivers to control vehicle functions using natural speech, with many requests processed directly inside the car rather than sent to cloud servers.
The technology, developed with MIT spinout Liquid AI, began reaching North American vehicles through over-the-air software updates in October, according to The Wall Street Journal. The initial rollout includes 2027 E-Class and CLE vehicles and selected older models, with a broader expansion planned for the second quarter of 2027.
Drivers can use conversational commands to adjust climate and seat settings, navigate, play music and make phone calls. More complex requests, such as recommendations for nearby restaurants, can still be routed to cloud-based AI services.
Mercedes-Benz announced its multiyear partnership with Liquid AI in April, saying the collaboration would bring speech recognition, language understanding and reasoning capabilities to vehicles equipped with third- and fourth-generation versions of its MBUX infotainment system.
Liquid AI develops compact foundation models designed for on-device deployment. Processing routine commands locally can reduce delays, allow some functions to work without a continuous internet connection and limit the amount of data that needs to leave the vehicle.
Mercedes-Benz has said the embedded system complements, rather than replaces, cloud-based large language models. That hybrid approach allows the vehicle to handle everyday tasks locally while reserving remote computing for requests requiring more extensive information or processing.
Mercedes-Benz is using the technology to make its cars more attractive to buyers, rather than to enable autonomous driving. The Wall Street Journal reported that the company plans to expand the feature to models including the S-Class, GLC Electric and GLE in the second quarter of 2027, without an additional subscription charge.