Auto tycoon BMW Group announced an expanded strategic partnership with Hangzhou-based tech giant Alibaba on March 26, leveraging Alibaba's Tongyi AI model to develop an AI engine for the next-generation BMW models in China.

The collaboration focuses on AI-powered voice interaction and other cutting-edge technologies. The new BMW Intelligent Personal Assistant, co-developed with Alibaba, aims to enhance in-car intelligence. Set to debut at the Shanghai Auto Show in April, the AI-powered smart cockpit will be installed in BMW's China-produced models, with deliveries expected in 2026.

Using AI Agent technology, the assistant will offer natural voice communication, context-aware interactions, and advanced intent recognition, improving human-vehicle engagement.

BMW China CEO Gao Xiang emphasized the company's commitment to localized innovation, stating, "By integrating cutting-edge AI with local expertise, we are enhancing the driving experience for Chinese consumers." Alibaba CEO Wu Yongming highlighted the partnership as a breakthrough in AI-driven manufacturing, noting that AI's potential lies in transforming industries and enhancing user experiences.

Since 2015, BMW and Alibaba have collaborated in areas from e-commerce and cloud computing to intelligent connectivity and AI-driven services. This latest move marks the start of a new era of AI-powered automotive innovation in China.