(Yicai Global) May 17 -- China's Navinfo is expanding its user base as some vehicles produced by two local joint ventures of Japan's Toyota Motor will come with the Google Maps-like navigation service.
Telemap Information Technology, a unit of Navinfo, will provide some models made by FAW Toyota Motor and GAC Toyota Motor from 2024 with native navigation tools and customized development services, the Beijing-based supplier announced yesterday. The parties are linked as Toyota and one of its subsidiaries in Beijing hold 49 percent of Telemap's equity in total, according to public information.
The resulting revenue for Navinfo will depend on car sales. But the numbers are not small as GAC Toyota produced one million vehicles and FAW Toyota produced 832,200 vehicles last year, according to data released by the two JVs early this year.
The partnership should help Navinfo to expand its intelligent cloud and smart cabin businesses, having a positive impact on the company’s financial results in the future, the firm added.
Founded in 2002, Navinfo is the first firm in China to gain a digital mapping license. It counts the local JVs of BMW, Volkswagen, and Ford Motor as some of its clients.
Navinfo’s stock performance was mild after the announcement as the share price [SHE: 002405] closed 1.2 percent up at CNY11.31 (USD1.60).
Editor: Emmi Laine, Xiao Yi