INDIANAPOLIS, Ind. — Allison and Dana have formed a strategic alliance with Fallbrook Technologies, to develop and commercialize the company’s continuous variable technology transmission.

Allison plans to roll the technology out to the commercial vehicle and off-highway vehicle markets. The NuVinci CVP technology, developed by Fallbrook and licensed to Allison and Dana under the new agreement, could potentially simplify commercial vehicle transmissions while also improving performance at a lower production cost.

The NuVinci transmission uses a set of rotating balls between the input and output components of a transmission, the company outlined in a release. Tilting the balls changes their contact diameters and varies the speed ratio. The company says its analysis suggests the technology is less complex, easier to scale and package, less costly to manufacture and offers better performance than existing transmissions.

“This technology is a true leap forward in transmission design that highlights our growing portfolio of advanced drivetrain systems and comprehensive vehicle solutions that drive customer value,” said Roger Wood, president and CEO of Dana, which will manufacture components for the new transmission.

Allison would gain the exclusive right to utilize Fallbrook’s CVP technology in its own transmissions for the commercial vehicle, military and off-highway markets, the companies announced.

“Allison and Dana are transmission industry leaders and their investments in and adoption of our NuVinci technology represent a powerful endorsement of its readiness and value for multiple vehicle markets and other powered applications,” said William Klehm, chairman and CEO of Fallbrook.