Numerous New Collaborations between World Leaders to Drive Smart Electric Vehicle Industry
Posted On February 23, 2021
Electric car refers to a car that gets thrust forward with the help of several electric motors through energy present in rechargeable batteries. Electric cars have major advantages when compared with vehicles having ICE (Internal Combustion Engine), such as low sound, no exhaust emissions, and lower overall emissions.
Major players in the Smart Cars Industry form a partnership to take Research and Development to new heights. Such instances may lead to new technologies being developed as companies pool their resources to propel the Smart Cars Market. As China is known to be a world leader in Electric Vehicles Industry, many global corporations are looking at collaborating with companies present there to get their expertise in projects.
International Energy Agency reported 7.2 million electric cars would be present on the road globally by 2019, out of which 47% would be belonging to China. S&P, a data provider, has predicted that “new energy vehicles” will make 20% of total new car sales in China by 2025. With the growing market of electric vehicles not just in China but worldwide, a continuous demand for more smart vehicles has been noted.
Apple and Hyundai have been reported to agree on a tie-up for electric car research. Immediately after this, shares of Hyundai were seen to be increased by 20%, as it was revealed to be in the early stage of an agreement with the iPhone maker. As per Korea IT News, both the companies may finally face the deal by the month of March and start production by the year 2024.
Another important partnership that has come up is between Baidu, China’s search engine, and Geely, China’s largest car-making company, which has ownership to Volvo and a stake in Daimler (owned by Mercedes-Benz). They have decided to come to an agreement with each other to make electric vehicles (EV). It has been decided that the search engine company would be responsible for providing “driving intelligent capabilities,” whereas Geely will put ++forward manufacturing and design expertise.
In the year 2017, Baidu set up its autonomous driving unit Apolio. It is indulged in supplying technology powered by artificial intelligence and collaborates with numerous Chinese carmakers as China is known to be a world leader for electric vehicles.
There is cutthroat competition in Smart Cars Industry. It will only increase with tech giants like Alphabet, Amazon, and Tencent investing in start-ups or producing auto-related technology. Hence, the companies are keen on collaborating with each other to share their expertise and bring next-generation vehicles into the market that caters to consumer’s demand.