Audi, BMW, Daimler to Buy Nokia’s Digital Mapping Service
Audi, BMW, and Daimler, three of Germany’s largest luxury automakers, will purchase Finnish communications company Nokia’s digital mapping service, Nokia Here, for approximately €2.5 billion ($2.71 billion).
The news was first reported in Manager Magazin, which said that the deal is likely to close by the end of the month.
Nokia’s high-definition real-time digital map data is essential to the development of self-driving vehicles and other driver assistance systems.
After the transaction has closed, the three German car companies intend to invite other car companies to acquire stakes in the consortium as well.
Nokia’s Here unit was highly sought after in recent weeks. Other potential buyers, who have since dropped out of the bidding, included Uber and several private equity investors. Nokia reportedly shopped Here to Apple, Facebook, Baidu, Sirius XM, Amazon, and Alibaba in the past six months.
Here provides map data to approximately 80% of cars with in-dash navigation systems in North American and Europe. Facebook, Amazon, Yahoo, Baidu, and Verizon Wireless all rely heavily on Nokia’s geospatial data to provide maps to their customers.
(Photo: Accura Media Group)