Toyota, Microsoft team on telematics software

Toyota Motor Corp. and Microsoft Corp. are teaming up to develop a next-generation telematics software platform that the automaker expects will debut on Toyota electric and plug-in hybrid vehicles next year.

The companies plan to invest 1 billion yen, or about $12 million, into Toyota Media Service Co., a Toyota subsidiary, to support the partnership, the companies said in a joint statement on Wednesday.

Toyota's future telematics applications will run on Microsoft's Windows Azure platform, the companies said.

Toyota CEO Akio Toyoda and Microsoft CEO Steve Ballmer will discuss the partnership at a press conference scheduled for 4 p.m. Eastern on Wednesday.

By Ryan Beene- Automotive News