Audi is one of the pioneers of autonomous driving technology and the company is hoping to encourage a new generation of engineers by hosting the Autonomous Driving Cup later this month.

Set to take place at the Audi museum in Ingolstadt, the Autonomous Driving Cup will pit eight teams of university students against each other to see who can develop the most advanced 1:8 scale Audi Q5.

Despite their small size, the cars are packed with technology including a color camera and ten ultrasound sensors. Information from these devices is sent to an on-board computer which runs an autonomous driving program developed by the students.

As part of the event, the cars will compete on a challenging circuit that mimics real-life driving conditions. The models will need to avoid obstacles, follow other vehicles at a safe distance, and approach intersections safely while also observing road signs. The cars will also need to perform a left turn across oncoming traffic, perform parking maneuvers, and automatically brake when an obstacle suddenly appears.

Points will be deducted for accidents, lost time, and "imprecise execution." However, the teams can gain additional points for developing a unique autonomous driving feature that will be judged mostly on creativity.

The challenges sound pretty daunting but the first place team will receive €10,000 ($11,056). Second and third place teams will also receive awards of €5,000 ($5,528) and €1,000 ($1,105), respectively.