Waymo, a self-driving technology development company which was founded by Google’s parent company, Alphabet has set up a subsidiary in Shanghai, China.
The move by Waymo has paved a way for Google to make new inroads into China. And also China is seeking to capture the autonomous smart vehicles market to keep pace with the United States in a global race to develop self-driving vehicles.
Waymo’s determination towards the new setup came after Beijing gave license to automakers for testing self-driving vehicles in Shanghai earlier this year, which also includes SAIC motor of Shanghai and electric vehicles start-up NIO.
The subsidiary, Huimo business consultancy was opened on May 22 with a registered capital of $508,854. According to a source, Huimo provides services like business consulting, logistics management consulting, supply chain consulting, autonomous driving parts, and product design, testing and other related services.
In the coming years, China is expected to become one of the global top notched leaders in the Self-driving vehicle's market, and according to a source, by 2030, the revenue from autonomous cars and related services is expected to exceed $500 B.
According to McKinsey and company, by the year 2030, the overall sales volume of automatic vehicles is expected to touch $230B and its services will generate a gross booking of around $260B.
Looking forward, Alphabet which left China’s search engine market in 2010, is finding ways to re-enter into the sector.