A new bit of EV news includes Toyota Motor Corp (ADR) (NYSE:TM) and Mazda teaming up to create electric vehicles.
The agreement will have Toyota, Mazda and Denso, which TM has a stake in, creating a new research facility to focus on the development of basic parts for electric vehicles. This EV news will also have engineers from each of the companies coming together to form a new company that will work with the facility.
According to the EV news, the new facility will have three goals.
- The first will be to research common architecture that will provide optimal performance to electric vehicles.
- It will then work to verify installation of the components from the first goal and make sure the vehicles perform properly.
- Finally, the facility will look over the components and vehicles made in the first two goals and determine the best concept for each classification of car.
“This agreement covers a diverse range of models, from minivehicles to passenger vehicles, SUVs, and light trucks, and aims to innovate the development process by combining the strengths of each company,” Toyota said in a statement.
Toyota and Mazda note that there is also another goal behind the agreement for this new facility and company. These companies are hoping to create a business model that will allow participation from other vehicle manufactures.
Toyota and Mazda aren’t anywhere close to the only car companies looking to cash in on the growing electric vehicle market. Tesla Inc (NASDAQ:TSLA) is already ahead of its rivals in this field and others, such as Dyson, are working to catch up.
TSLA stock was down 1% as of Thursday afternoon.
As of this writing, William White did not hold a position in any of the aforementioned securities.
