Jaguar Land Rover China, the subsidiary of JLR that produces vehicles for the Chinese market, announced a partnership with Alibaba to integrate cloud computing technology into Chinese JLR vehicles.
Jaguar Land Rover China, the subsidiary of JLR that produces vehicles for the Chinese market, announced a partnership with Alibaba to integrate cloud computing technology into Chinese JLR vehicles.
Like almost all non-Chinese automakers who produce vehicles within China for the Chinese market, JLR has a subsidiary company that has partnerships with state-owned Chinese automakers. This has benefits that include avoiding tariffs and easing business transactions.
The cooperation agreement between JLR China and Alibaba Cloud should similarly only impact Chinese-market vehicles. The Alibaba system will be used to digitize the supply chain for Chinese manufacturing sites, assist in maximizing marketing, work on optimizing carbon and emissions problems, do research to solve compliance issues for Chinese-market autonomous vehicles, and other developments.
All of these integrations will help to centralize data for JLR's Chinese operations, using one of the most powerful local cloud providers. Alibaba is the Amazon of China, supplying e-commerce, technology, and business services across a broad range of markets.
The Alibaba "Car Cloud" serves over 70% of domestic Chinese automakers, so JLR's Chinese arm joining in is within the bounds of the market. The data collection should also help Land Rover build their reputation in China, which has been beset over time by some quality control issues.
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