What's the news?
Back in late summer, we mentioned that Germany's 'big three' - Audi, BMW and Mercedes - were clubbing together to buy Nokia's mapping arm, HERE. And we also said the deal was due to complete in Q1 of 2016... however, sign-off of the acquisition has come as an early Christmas present for the triumvirate, meaning autonomous driving takes a step closer for all three marques.
HERE is a high-definition mapping unit that's seen as vital to the delivery of autonomous cars and connected car services, and it offers a premium service not found with rivals such as Google maps.
Audi, BMW and Mercedes are believed to have put up more than €700 million each to secure HERE in the face of stiff competitive bids from other companies. All three partners will hold an equal stake in HERE and none of them seeks to acquire a majority interest.
"No one understands the potential of digital maps better than the HERE team with its 6,500 employees worldwide. The shareholders will therefore give HERE free rein in accelerating its growth strategy," said Rupert Stadler, chairman of the Board of Management of Audi. "HERE has again and again redefined the map over the last 30 years. It is our expectation that it will continue to lead the industry in its next phase of innovation, thereby creating further value."
Harald Krüger, chairman of the Board of Management of BMW, added: "The combination of this leading map technology with data from vehicles, devices and infrastructure will give HERE and its customers a clear advantage in the development of future mobility services. As more partners and customers join this model, HERE will be able to provide even better, more up-to-date maps and a precise digital real-time representation of our world of mobility.
And Prof. Dr. Thomas Weber, member of the Board of Management responsible for Group Research and Mercedes-Benz Cars Development, also said: "Customers from the automotive industry are particularly interested in highly automated driving. But HERE is much more than a market leader in digital maps. With its high level of innovation and exceptional employees, the company has the potential to become the leading provider of technology for real-time location services in the digitised world of mobility."
Anything else?
HERE provides mapping and location intelligence for nearly 200 countries in more than 50 languages and is one of the main providers of mapping and location services. The management of HERE will continue to be independent - the automotive consortium said it will not interfere into operational business. Confirmation of the deal going through was finally authorised on December 4, 2015.