Amongst the garbled thinking on this subject, Turboboy has it right.
This is not quite the perfect solution but it's cheap. I've managed to get a working remote Fob, with foldaway action. I can only speak for my V70 MY1999 - I've two of these cars. Both ETM Denso no-cable throttle etc variants.
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Basically, there are two separate "systems" involved:
1) the key chip which works with the sensor ring to allow the engine to start / run.
2) the remote fob which operates the door locks remotely and arms / disarms the alarm.
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You can get a key cut from any competent key cutting place but it will not allow you to start the car, only open the door / boot.
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Not all can, but Timpsons (in this instance - Dunstable branch next to Tesco) were able to cut to my supplied blank, this a mechanical key from my eBay sourced repair fob.
See atttached, thus I'm halfway there...
ie Using the PCB etc extracted from my existing 20 year old fob, I've got a remote-fob which 'remote locks/unlocks' my car. It looks great...
But not so fast - what Timpsons could not give me was a chipped key. Thus the 'cut' was able to start the car, but it conked 3-4 secs later. To start the car required my original factory key held tight against my Timpsons-come-eBay-special. Thus only with my now manky 20YO key does it work. Not good.
Seems previous posts have it about right, the immobilser-ring, which sits around the ignition lock, needs to be very close to the factory chipped-key to start the car.
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The expensive part appears to be getting a dealer to programm a remote fob to "talk" to the alarm / remote locking.
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Agreed, thus for my next trick I swapped part 9472461 from car to car. I was able to get my seconnd 1999 car's fob to operate my first 1999 car's locks. I can confirm that part 9472461 are paired to fobs, but not cars. Fobs are independent to the immobilser. Which means as far as I can see, part 9472461 without keys ' 'as seen on eBay' are worthless. 9472463 fits some other variants, whether it too is paired to fobs, not cars I can't say. Again I confirm 9472461 does work as pairs.
I reckon I'll move my immobliser ring up into the dash, hide my factory chipper with it, source a pile more Timpson's £10 cuts, and be done. Not best, but it'll work. Hence I can always get in the car, and swap-out 9472461 if need be.
Yes I could extract the chip from my factory key, and put it in my 'eBay folding special' yet walking about waiting for the day when (not if) I lose it and the pile of woe with it - has gotta rank as very dim.
If I read right, short of daft money with a Volvo dealer, there's no other way.