Currently the autonomous driving operation is part of Alphabet’s X innovation lab.

The news was given to the Nikkei Innovation Forum in East Palo Alto earlier this week by John Krafcik who was recruited from Hyundai Motors last year to head up Alphabet’s autonomous driving unit.

“We are moving out of X and will soon become an independent entity,” Krafcik told the Forum.

In May this year, Krafcik did a deal with Fiat Chrysler to produce 100 test vehicles and these are currently being tested, said Krafcik.

The testing is taking place on a private track in California.

Apple was recently reported to have given up on its development of a driverless car but would continue to develop autonomous driving technology.