Hyundai Going Apple Maps While BMW & Audi Go with Nokia

The companies plan on using the Nokia Here technology for future self-driving cars they would produce.

Advertisement

The news agency reports that the premium auto manufacturers are prepared to cough up 2.5-3.0 billion euros for the mapping and location unit, which according to financial reports filed by Nokia has a book value of roughly 2 billion euros.

BMW, Mercedes-Benz parent Daimler AG and Volkswagen’s subsidiary Audi AG, who comprise the consortium, are now settling out issues such as patent rights and a deal may be announced by the end of the month, the report said.

If the sale goes through, which is not yet certain, the auto makers will invite other automotive companies such as Fiat Chrysler Automobiles, Renault, PSA Peugot Citroen, Ford Motor, Toyota Motor and General Motors to invest in Nokia Here. The premium German car makers are the final bidders of the auction, with notable companies such as Uber, and several private equity investors withdrawing from the bidding a couple weeks ago.

Nokia now licenses Here data to Samsung and Microsoft, as well as Yahoo Maps, Bing Maps, Amazon Maps, and Garmin Global Positioning System devices.

Things, as reported, would be finalized in the coming few days, following which the details should be presented before the world.

The sale would complete Nokia’s transformation into a provider of wireless-network equipment, after its exit from mobile phones in 2014.

High-definition maps with real-time traffic information are a prerequisite for self-driving cars, which are in testing and are expected to become mainstream over the next decade. It took Google years to gather enough data to make Google Maps useful, particularly through its Street View feature.

Advertisement

Neither Nokia nor Audi responded to a request to comment for this story.

20150724-robin-li-baidu-mark-carmel-dcm-ventures-ceo-summit-1