The foldable steering wheel is real: Autoliv’s CES 2026 reveal points to how truly self-driving cars will feel

What happened on January 6

At CES 2026, Swedish safety giant Autoliv and Silicon Valley startup Tensor unveiled a foldable steering wheel designed for cars that can drive themselves at SAE Level 4. In manual mode it looks and works like a normal wheel; in autonomous mode it retracts into the dashboard, and the airbag “role” switches from the wheel to a second airbag behind the instrument panel. It’s slated to debut in Tensor’s upcoming “Robocar,” which targets volume production in the second half of 2026. Think of it as cruise control’s glow‑up: when the car’s in charge, the controls politely get out of your way.

Why this is a big deal (beyond cool show-floor demos)

Most of today’s cars are built around a permanent steering wheel and pedals because a human is always expected to intervene. If a vehicle spends long stretches driving itself in a defined zone, those controls become furniture—and not the comfy kind. Autoliv’s system is the first widely publicized attempt to make the cockpit mode‑aware: controls are there when you need them and gone when you don’t, with safety systems adapting automatically. Tensor’s wider design goes further with redundant steer‑by‑wire and even foldable pedals, a hint that the future cabin could be more living room than cockpit when autonomy is active. (No, it won’t turn into a yoga studio—though six extra inches of legroom will tempt your calves.)

Safety first, then space

The headline isn’t “comfier knees,” it’s that Autoliv has built the idea around airbags and redundancy from the start. In manual mode, the standard driver airbag deploys from the wheel; when the wheel is folded, the system switches to a panel‑mounted airbag engineered for the same level of protection. This kind of context‑aware restraint design is essential if cabins are going to transform on the fly without compromising crash performance. It’s a subtle point, but it’s why a retractable wheel is moving from sci‑fi to showroom.

How this connects to the bigger autonomy story

Europe’s mobility platforms and automakers are pushing toward Level 4 robotaxi pilots in 2026. Stellantis, for example, plans driverless ride‑hailing trials with Bolt across several European countries, integrating purpose‑built AV platforms into Bolt’s network. That matters because as fleets scale, demand rises for interiors that flex between driver‑operated and driverless service—exactly the niche a retractable wheel can fill. The hardware we saw this week at CES lines up with those near‑term deployment plans.

The easy-to-grasp takeaway

Autonomy isn’t only about smarter software; it’s about cars that change shape with the task. When you drive, you want tactile control and clear sightlines. When the car drives, you want space to text, read, or just enjoy the skyline rolling by—without a wheel hovering over your lap like a stern hall monitor. By making the wheel and pedals disappear safely, Autoliv and Tensor are sketching the ergonomics of everyday autonomy, not just its algorithms.

What it could mean for your daily life

• Commuting: In geo‑fenced zones (think specific city areas or highways), your car could reclaim cabin space while it handles the grind. Fewer elbow bumps with your laptop, more room for that oversized coffee you promised to stop buying.
• Accessibility: Retracting controls can make ingress/egress easier, a small but meaningful improvement for people with mobility limitations.
• Trust and handover: With redundant steer‑by‑wire and a clear “now the car’s in charge” physical signal, the human‑machine handshake gets clearer. That can help drivers know when to relax—and when to be ready.

Fresh angles to watch

Interior UX wars: If fold‑away controls catch on, expect a wave of designs that turn front seats into more flexible spaces during autonomous operation. Automakers will compete on who makes the transition seamless, quiet, and reassuring.

Rules and responsibility: As Europe, the Middle East, and North America explore L4 pilots and services, regulators will scrutinize exactly how and when controls can be stowed, how airbags adapt, and who’s liable in each mode. Partnerships like Stellantis–Bolt suggest policymakers are preparing for real trials, not just test tracks.

So where does this go next?

Short term, look for the Tensor Robocar to launch with the foldable wheel and pedals in late 2026, initially in select markets. Medium term, expect copycats: suppliers compete, designs converge, and “retractable by default in L4” becomes a checklist feature for autonomous platforms. Long term, the steering wheel might become a premium option—like sunroofs—chosen by people who still love to drive on weekends, while weekdays belong to the serene shuffle of driverless mode. Either way, yesterday’s CES reveal nudges the industry toward cabins that are as smart about space as they are about software.