Mazda and Toyota to partner on connected-car infotainment

Two Japanese automakers agreed on a strategic partnership in the development and production of electric vehicles, and software navigation software.

In addition, the companies are going to spend $ 1.6 billion on the construction of an auto assembly plant in the United States. At this plant later it is also planned to develop the production of electric vehicles. The main joint project of the two companies will be a plant to produce cars of both brands in the US.

It is reported that its capacity will be 300 000 cars per year, and it will employ about 4000 people. The partnership assumes that over time the proportion of electric cars produced at this plant will increase. The agreement also implies joint work on unmanned technologies. Such partnership of the companies did not become a surprise, analysts say.

Toyota has long deepened its relationship with other automakers. For example, it already owns a 16.5% stake in Subaru and is going to cooperate with Suzuki. The state of the market encourages automakers to unite in alliances to resist competition from IT companies. Mazda has a good reputation, the company makes quality cars and can become a desirable prey for any large IT company with an autopilot program, but without the experience in automotive production.

Toyota preemptively prevents such scenarios, preventing one of the IT giants from hijacking a relatively large automaker, which will fundamentally change the situation on the global automotive market.