Reuters exclusively reports China’s Baidu, Geely to make smart electric vehicles

Reuters reported exclusively that China’s search engine giant Baidu Inc will set up a company to partner with car maker Zhejiang Geely Holding Group to make smart electric vehicles (EV), the latest move by a tech company in the fast-evolving sector. Baidu, the leading search engine company in China, will take a majority stake and absolute voting power in the new company, Reuters sources said. The venture will revamp some of Geely’s existing car manufacturing facilities to make the vehicles, with in-car software input from Baidu and engineering know-how from Geely. Baidu’s Nasdaq-listed shares jumped more than 4% after Reuters reported the plan. Geely Automobile, which aims to sell 1.53 million vehicles this year, jumped over 10%.