Toyota and Panasonic said they plan to establish a joint company to develop “connected” services to be used in homes and urban development.
The tie-up deepens the partnership between the companies, which in January announced a joint venture to build electric-vehicle (EV) batteries, pooling the R&D and manufacturing strengths of one of the world’s largest automakers and battery makers to compete in the fast-growing EV market, Reuters reads.
In their latest venture, Toyota and Panasonic said they will set up a new company early next year to focus on technology that could be used to offer personalized services in the home. The pair plan to be 50-50 partners in the new firm and will increase cooperation at their respective housing operations in Japan.
The move comes at a time when lower-emissions vehicles and ride-sharing services have opened up the auto industry to new competitors, leaving traditional car makers and their suppliers scrambling to find alternate revenue streams.