The three big premium German automobile manufacturers Audi, BMW, and Mercedes-Benz are currently in the negotiation stage to acquire Nokia Here from Nokia Corp. (NASDAQ: NOK), in a deal which also incudes Chinese technology group Baidu Inc. (NASDAQ: BIDU).
No agreement yet made, this deal values Nokia Here at much more than 2 Billion euros, a deal to be finalized by the end of this month. The premium German car makers are the final bidders of the auction, with notable companies such as Uber, and several private equity investors withdrawing from the bidding a few weeks ago.
Nokia Here brings high-definition real-time digital maps to the three automaker’s self-driving vehicles, an investment which would further their development into their future automotive safety systems and autonomous cars. Analysts’ estimates point to autonomous cars arriving on public roads as early as 2020.
A few companies dominate the digital mapping industry, Nokia Here the dominator with 80% of the auto industry, followed by TomTom the Dutch mapping group, and Google’s Google Maps.
Nokia and the three German automobile manufacturers declined to comment as negotiations continue forward.