On Tuesday, Tata Technologies witnesses a surge of 7% at the National Stock Exchange. The stock had closed at Rs 1,049.95 on Monday, opened at Rs 1,060.00 on Tuesday, and soared to the day’s high of Rs 1126.80.
This rise in stocks came after the German car company BMW and the homeland company Tata Technologies have signed an agreement forming a Joint Venture alias JV. This will enable them to establish an automobile software and IT Hub in various parts of India.
Details of the JV
Both companies will have a 50 percent stake in the JV. The main development and operations activities will be established in Bengaluru and Pune. While in Chennai, the focus shall be on business IT solutions.
This collaboration focuses on software-defined vehicle solutions and digital transformation. Tata’s expertise will be leveraged for BMW’s strategic expansion. On the other hand, this will give Indian software engineers a chance to shape state-of-the-art, premium automotive experiences in future fields such as highly automated driving and artificial intelligence, as expressed by an official at BMW.
However, a Tata Company official shared that the execution of the JV is subject to review and approval by the relevant authorities.
About Tata Tech
Tata Technologies Limited is an Indian multinational product engineering company. It provides services in engineering, design, product development and manufacturing.
This is not the firm’s debut in signing an international deal. The firm also provides its engineering and technology services to other global firms, including Ford, Honda and Airbus.
On the formation of the JV, Warren Harris, CEO and MD of Tata Technologies, stated that “Our collaboration with the BMW Group demonstrates our commitment to providing top-tier solutions in automotive software and digital engineering to customers across the world.”
About BMW
The lesser-known meaning of the BMW abbreviation is Bayerische Motoren Werke AG. It is a multinational German manufacturer of luxury cars and motorcycles headquartered in Munich, Bavaria, Germany. The senior VP of BMW Group IT, Alexander Buresch, in a statement, expressed the company’s delight in collaborating with an Indian company. Further, a senior VP of the BMW Group stated, “In international comparison, India boasts a large number of talents with outstanding software skills, which can contribute to our software competence”. 
BMW has a manufacturing plant in Chennai and gets its engines in the country from various Indian manufacturers like Force Motors and TVS Motors.
