Nio And Tencent Collaborate For Self-Driving Project

Chinese electric vehicle maker Nio Inc NIO and tech giant Tencent Holding Ltd TCEHY collaborated on autonomous driving and high-definition mapping areas.
Tencent inked a cooperation agreement with Nio in China, CNBC reports.
The firms look to cash in on Beijing’s focus on new energy cars.
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The partnership could allow Tencent to do this while also giving Nio the technology backing of one of China’s most prominent firms.
Tencent is already a significant investor in Nio, striving to differentiate itself from a sea of electric car start-ups.
Nio and Tencent will work together on high-precision mapping systems for drivers.
Nio will also use Tencent’s cloud computing infrastructure for data storage and training for autonomous driving.
Tencent’s partnership with Nio gives the company another opportunity to push into new business areas as its core video gaming business continues to battle regulatory headwinds.
Nio, meanwhile, is facing challenges, including widening losses and pressure on margins from higher material costs and supply chain issues.
In August, E-commerce firm Alibaba Group Holding Limited BABA and Nio rival XPeng Inc XPEV opened a computing center to train software for driverless cars.
Price Action: NIO shares traded higher by 3.95% at $10.91 in the premarket on the last check Tuesday.