Daimler and Bosch establish joint venture for electric motors
Daimler and Robert Bosch have announced plans to cooperate in the development and production of electric motors for all electric vehicles in Europe. The companies have signed a letter of intent and begun negotiations to establish a 50/50 joint venture which is likely to be concluded in the first half of 2011.
By pooling their resources, the two companies aim to accelerate development advances in electric machines. According to the letter of intent, joint production should start in 2012 and it is envisioned that the electric motors developed will be used in Mercedes-Benz and smart electric vehicles. Subsequent sales to other vehicle manufacturers are to be handled by Bosch. The joint activities are planned to be located in the greater Stuttgart area and in Hildesheim, Northern Germany.