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Last Updated : Jan 28, 2020 03:19 PM IST | Source: Moneycontrol.com

In a first, Tata Group companies come together to develop electric vehicle ecosystem

At least eight of the group companies have come together to build the ecosystem. The first project is the new Tata Nexon EV.

 
 
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In what could be the first initiative of its kind for the 152-year-old Tata Group, at least eight of its companies have come together in a 'synchronised manner' to launch an ecosystem to develop electric vehicles.

The first project, for which these companies have come together, is the Tata Nexon EV, the electric sports vehicle that was launched on January 28.

The companies lent their muscle to cater to different aspects of the ecosystem - from making the vehicles, setting up charging stations, manufacturing cells, providing financing and even promote the concept through virtual reality booths in retail outlets.

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The companies are  - Tata Motors, Tata Power, Tata Chemicals, Tata Motors Finance, Croma, Tata AutoComp Systems, TCS and Titan.

"The Group has united and is leveraging on each company's strength. This is not the launch of just a vehicle, but the launch of an ecosystem," said Guenter Butschek, CEO & MD of Tata Motors, in his address to the media just before the launch of the Nexon EV.

Along with him, also present were the heads of Tata Power, Tata Chemicals, Tata Motor Finance, Croma and Tata AutoComp Systems.

The synergy between the companies has been a pet theme for Tata Sons Chairman N Chandrasekaran. Since he took over the reigns in 2017, Chandrasekaran has been coaxing companies to work together and share platforms. The development of Nexon EV is probably one of the most visible results of this initiative.

This is how the companies are contributing to the ecosystem.

Tata Power: Within 15 days of a customer buying the new Nexon EV, Tata Power has promised to install charging system in his or her house. Apart from home solutions, Tata Power will also set up charging stations.

"We have a critical role. At present, we have 100 charging stations in eight cities. We plan to increase the number to 300 by March, and 650 in one year, across 25 cities," said Praveer Sinha, CEO & MD, Tata Power.

Tata Chemicals: The company is investing Rs 800 crore to set up facilities to manufacture battery cells. It has bought land in Gujarat, and expects to start production in three years.

Tata AutoComp: The Group is aiming a localisation of up to 70 percent, when it comes to the electric vehicles that will be produced by Tata Motors. Tata AutoComp, which will take the lead in localisation, plans to localise as many internal components as possible. The parts include motors, inverters and transmission systems.

Tata Motors Finance: "We have developed customised solutions for our customers, in fleet, corporate and personal segments," said Samrat Gupta, CEO, Tata Motors Finance. Gupta said that the interest rates will be 'competitive.'

Croma: Shailesh Chandra, head of Electric Mobility  Business &  Corporate Strategy at Tata Motors, pointed out that the Group is targeting customers that are tech savvy, similar to the clientele that visits Croma's stores. Thus, the Croma stores will promote the initiative.

At present, Croma stories in in three cities will give immersive experience to potential EV customers.

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First Published on Jan 28, 2020 03:04 pm
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