Zoomi Life

A lot of exciting news has happened regarding corporate partnerships and alliances over the past week or so.  Volkswagen and BYD, Daimler and Tesla, and others.  Car makers are entering the new era of auto manufacturing by taking a lesson from the tech sector: you can’t do it all alone anymore.

Volkswagen and BYD’s Partnership

Volkswagen has signed on with China’s Build Your Dream (BYD), issuing a letter of intent for hybrid and electric cars. Ford and at least one other European automaker are said to be negotiating similar arrangements with BYD as well.  Looks like Warren Buffet backed the right horse after all.

BYD is the world’s second-largest producer of lithium-ion batteries and this marks VW’s third such agreement with a battery maker to date.  The other two, both in Japan, are for both VW and Audi vehicles to begin rolling out in 2012.  The agreement with BYD is mostly for European market sales under the VW brand.

Daimler and Tesla

Daimler’s deal purchased a ten percent stake in Tesla Motors, geared towards both monetizing Tesla to further their plans as well as provide batteries for Daimler’s upcoming Smart ForTwo electric, coming to the U.S. later this year. Other benefits include U.S. market know-how for electrics and a possible new outlet in Europe for Tesla models.

The deal earlier this year in which Tesla was to provide 1,000 battery packs for the Smart was expanded after talks between the companies fleshed out a new plan with much heavier cooperation between the two.

Ford and Magna

This strategic partnership is the reason Ford’s plans for an EV are accelerated and may be as soon as 2011 or 2012. Magna International developed most of the components for the upcoming Ford EV and, while Ford doesn’t retain exclusive rights to the technology, it will greatly speed up the rollout of the new cars.

Ford’s other partnership for electrics is with Smith Electric in Britain, through which the Ford Transit electric delivery van is being produced. Both of these partnerships have propelled Ford into the middle of the newly-emerged electric market, putting them ahead of much of the competition.

Renault and Nissan

These two are aiming at 2011 as their first rollout of electrics. Nissan has made big news splashes here in the U.S. with their promises and the showing off of their EV mule, while Renault has been carefully feeling out the European market for the same.  The two have also paired up to conquer the Chinese government in a 13-city EV vehicle and charging station deal.

They are both working with both ECOtotality and Better Place to build infrastructure in several parts of the world.

Many other, smaller companies in the business are also forming strategic alliances to take on their larger competition.  Proton Holdings and Detroit Electric are an example of this.  Most in the electric vehicle manufacturing game are realizing that partnerships for vehicle manufacturing, distribution, and sales are mutually beneficial if entered into correctly.

Let’s hope this means faster rollouts on promised models!