In two major developments in China, LeEco is investing $3 billion in an automotive complex, while Alibaba has entered into a strategic partnership with HTC.
LeEco to invest $3b in Zhejiang auto complex
Chinese Internet services major LeEco is planning to invest 20 billion yuan ($3 billion) in an automotive complex in China’s Zhejiang Province.The complex will house an electric car plant with an annual production capability estimated at 400,000.
Jia Yueting, CEO and founder of LeEco, says, the plant will host China’s first high-end car assembly line with independent intellectual property (IP) rights, with the rest to be invested in an automotive theme park allowing customers to experience conceptual automotive projects and other related technologies.
LeEco originated as a video streaming service provider in 2004 under the brand of LeTV before diversifying into smart devices, cloud computing and film production. This development is part of an automotive push, with LeEco already having partnered with Aston Martin and GAC Group, while Yueting is an investor in US-based electric car venture Faraday Future.
Alibaba forms VR partnership with Taiwan’s HTC
Chinese e-commerce major Alibaba has formed a strategic partnership with Taiwanese virtual reality (VR) hardware manufacturer HTC. This will see Alibaba Cloud, Alibaba’s cloud computing division, work with HTC to build a VR cloud ecosystem.
In a statement, HTC said, “The companies will focus on developing breakthrough innovative solutions to tackle bandwidth allocation, data transmission and data processing needs in areas such as VR video production and VR broadcasting.”
HTC’s product portfolio has seen it partner with US game studio Valve Software to develop room-scale VR products, including hand-held devices and motion-sensor tracking.
Alibaba maintains a vested interest in securing VR partnerships for their entertainment business, Alibaba Pictures, which has been aggressively expanding into new film and cinema projects.