Continental chief executive Elmar Degenhart speaks during a press conference in Frankfurt, on March 7, 2013. The German auto parts maker have announced it is teaming up with US software giant IBM to develop systems that will eventually enable cars to drive by themselves.

German auto parts maker Continental announced Tuesday that it is teaming up with US software giant IBM to develop systems that will eventually enable cars to drive by themselves.

Continental and IBM "want to jointly develop mobile connected vehicle solutions for around the world," the German group's chief executive Elmar Degenhart told reporters on the sidelines of the IAA auto show which opens here this week.

The technology was aimed ultimately at "making automated driving a reality," he said.

There has been speculation in recent weeks that Continental was mulling cooperation with Google, which has long been working on .

But Degenhart refused to be drawn into commenting on the rumours.

"We're in touch with many companies," he said.