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Huawei approaches Mercedez Benz, Audi to buy shares

Alex Omenye
Alex Omenye

China’s Huawei Technologies has approached Mercedes Benz and Volkswagen’s Audi to purchase shares in its company that develops software and parts for smart cars, Reuters reported.

According to them, the action is intended to broaden its alliances beyond Chinese companies. Huawei, which has been the focus of U.S. sanctions since 2019, also expects that the presence of international investors will help defend the company against any further geopolitical conflicts.

The four-year Intelligent Automotive Solution business unit, which aims to become the leading supplier of software and parts for smart electric vehicles, will be spun out, the Chinese technology giant announced last month.

According to earlier reports from Reuters, the unit will be valued between $28 billion and $35 billion.

Huawei’s move comes at the back of a growing trend in China among international automakers to collaborate with Chinese firms that have made significant strides in producing high-end features for tech-savvy Chinese consumers.


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