GM, Toyota to explore new features

Reuters, Tokyo

General Motors Corp and Toyota Motor Corp said on Friday they would team up in exploring opportunities for in-vehicle communications and entertainment systems in the Japanese market.

The two automotive giants said they would look into developing these 'telematic' services through an eight-month agreement, based on Toyota's vehicle information network service, G-book.

The move may also lead to a team-up in the broader information network service sector in Japan, they said.

GM is the world's largest automaker, and Toyota is ranked third in the world.

Under consideration during the eight-month period is standardizing telecommunication technology and services, Toyota's supplying GM with Toyota-developed digital maps on a fee basis, and GM offering its services on Toyota's stand-alone terminals located at convenience stores.

GM is one of the most aggressive automakers in the telematics field, boasting a successful OnStar emergency communications service in North America.

GM, which does not have a large presence in Japan, announced early last year that it was keen to work with Toyota, saying it would make more sense than trying to develop its own service.

In North America, Toyota licenses OnStar for its 2001 Lexus LS 430 as a factory-installed option. Honda Motor Co Ltd has a similar deal for the 2002 Acura RL Sedan.

Prior to the announcement, shares in Toyota ended up 0.89 percent at 3,400 yen in line with a slight rise in the benchmark Nikkei 225 average.