VW, FAW Form Connectivity JV in China

Volkswagen AG’s namesake brand and Chinese partner FAW Group are forming a joint venture in Chengdu, China, that will focus on connectivity and other digital services for the local market.

The partners are investing a combined 1 billion yen ($150 million) in the venture, which is named MOS Intelligent Connectivity Technology Co. The company will operate under the brand name MOSI, which stands for mobile online services-intelligent.

Beginning later this year, all future FAW-Volkswagen vehicles sold in China will incorporate MOSI technologies. The focus will be on electrified models due to launch next year on VW’s modular electric toolkit platform.