Two Japanese companies: Toyota Motor Corp and Panasonic Corp intend to jointly open a company, Reuters reported. Both the companies will manufacture “connected” services for homes and urban development inside the new joint company.
The joint company will be established in early 2020 to develop a technology that could provide personalised services at homes, the companies said. According to the venture plan, both the company will equally contribute towards the new initiative, i.e. 50-50 partners.
The joint venture has been unveiled when ride-sharing services and lower emission vehicles have gained popularity in the recent time, making traditional vehicle manufacturers level up with the growing competitors in the auto industry.
Toyota has been manufacturing connected vehicles which are specialised on sharing information usage- data that could be leveraged for on-demand taxi services, maintenance, and insurance. According to the company, it will explore its partner network and its operations which are specialised in developing and selling vehicles, homes and companion robots. The move will help Toyota expand its portfolio in the new transportation and home energy services segment.
“If we are able to use this network going forward not only to manufacture and sell vehicles but to also provide new services, our future possibilities will greatly expand,” Akio Toyoda was quoted as saying by Reuters.
The new move by the Japanese companies will bolster their operations.