Baidu Inc.'s Intelligent Vehicle division and state-owned BAIC Motor Corporation Ltd. have announced a two-fold strategic partnership at CES 2017 in order to develop self-driving technology and expand the smart vehicle sector.

Baidu's autonomous driving research and development arm will be working with BAIC on two main projects. One project is manufacturing vehicles equipped with Level 3 autonomy, which requires human driver but less intervention. The two companies are hoping to have road test by the end of 2017. 

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The second major project of the two companies includes Baidu providing telematics to BAIC, which will start in the first half of 2017. The partnership will also extend on working on HD maps for use in autonomous driving. BAIC will also offer OEM capabilities for Baidu’s intelligent vehicle program in general.

"We are delighted to be partnering with BAIC, one of the most active automobile manufacturers worldwide in promoting smart software. We look forward to working together to establish a smart vehicle ecosystem to support this important industry trend,” said Baidu president Zhang Yaqin.

Chinese search giant’s Intelligent Vehicle division aims to work in improving advanced intelligent in traditional vehicles. Baidu has also partnered with BMW in the past but it was short-lived. Instead, Baidu offered BAIC and other Chinese automakers to test drive autonomous cars with various independent driving prototypes.

Yaqin said that the partnership with BAIC is the most comprehensive cooperation of Baidu. In April 2015, the Chinese search engine giant has also created a self-driving car team in Silicon Valley. In addition, the Beijing-based company is also forming a new research center near Seattle, Washington, that will work on artificial intelligence and cloud computing and security. 

TagsBaidu, china, Self-driving cars, autonomous car, BAIC, Beijing Automotive Industry Holding Co., Silicon Valley, Chinese search giant