Amazon, the world’s largest e-commerce company, and Stellantis, the world’s fourth-largest automobile maker, will join hands to develop electric vehicles.
According to Bloomberg News on the 5th (local time), the two companies agreed to develop electric vehicles and electric pickup trucks using Amazon’s software.
Stellantis, which owns brands such as Jeep, Chrysler, and Fiat, is planning to cooperate with Amazon to develop digital technology while applying Amazon Web Services (AWS) and Alexa, an artificial intelligence (AI) voice recognition service, to vehicle dashboards and infotainment systems.
Amazon is planning to receive Stelantis’ delivery electric vehicle RAM Pro Master, which will be released next year.
Amazon CEO Andy Jassy said, “This agreement laid the foundation for Stellantis’ transformation from a traditional automobile manufacturer to a software-based engineer leader.”
With this agreement, Amazon has become the first customer of Stellantis’ delivery electric vehicles. The size of the deal between Amazon and Stellantis was not disclosed, but CEO Carlos Tabarez said it was “significant.”
Meanwhile, Rivian, who has been considered the leader of electric trucks, will be hit by the deal.
Earlier in 2019, Amazon ordered 100,000 electric vans from Livian. 10,000 of them are scheduled to be delivered at the end of this year.
Amazon said in a statement, “We continue to look forward to the relationship with Rivian, and this investment (with Stellantis) does not affect Rivian’s investment and cooperation, order size, and timing.”