Stuttgart University inaugurated Europe's biggest driving simulator this week after three years of construction.
The University's Institute for Internal Combustion Engines and Automotive Engineering (IVK) hopes the simulator will boost research to reduce accidents and lower traffic-related energy consumption.
The simulator is designed to help research intelligent driver assistance systems that will help achieve these goals.
One of the objectives of the university is to develop systems for traditionally powered cars as well as electric vehicles.
"The results of the work conducted with the Stuttgart simulator will propel research in the area of electric mobility to the top of the European pyramid," Theresia Bauer, minister for science and research for Germany's regional state of Baden-Wuerttemberg, said at the official inauguration.
George Schuette, state secretary in Germany's Education and Research Ministry, said the simulator will "enable researchers to make cars safer and more energy efficient."
He also said it will help the German car industry retain its technology advantage over competing countries.
The simulator will be used for public-sector research projects as well as for projects that involve the auto industry directly.