TOKYO (Reuters) – Toyota Motor Corp and Isuzu Motors Ltd announced a capital alliance on Wednesday, reviving a partnership to bolster their competitive edge in connected, commercial vehicles.
Toyota truck unit Hino Motors Ltd will join in the pact to jointly develop small commercial trucks of the future, including connected vehicles and fuel cell technologies, the automakers said.
Connected vehicles can share internet access and data with devices outside the vehicle, making them more efficient.
Under the deal, Toyota will acquire 39 million treasury shares in Isuzu, worth 42.8 billion yen ($393.89 million), taking a 4.6% stake, the automakers said.
Toyota and Isuzu in 2018 dissolved a previous, 12-year capital tie-up that had focused on diesel engines.
The move on Wednesday comes as traditional automakers face growing competition from tech giants and other rivals developing electric and driverless cars.