Tier 1 supplier

A Tier 1 supplier is a direct-to-OEM (original equipment manufacturer) automotive component supplier — the layer immediately upstream of the vehicle assembly. Distinct from Tier 2 (suppliers to Tier 1) and Tier 3 (raw materials). Bosch, Magna, Continental, ZF, and Aptiv are canonical Tier 1s; in autonomous vehicles, Mobileye plays a Tier 1 role for ADAS systems.

The distinction matters because physical-AI programs that integrate vertically (Tesla, Figure, Waymo) are essentially internalizing the Tier 1 role. Programs that don't (most humanoid startups outside the top tier) must establish Tier 1 relationships before they can scale manufacturing. Bosch's and Schaeffler's recent humanoid-supply partnerships — and Magna's manufacturing partnership with Waymo — reflect existing Tier 1s positioning to serve the emerging market without becoming AV/humanoid programs themselves.