International Business Machines Corp (NYSE:IBM) team up with BMW to promote connected car services

According to latest reports, International Business Machines Corp (NYSE:IBM) revealed on  Wednesday it is teaming up with BMW to offer cloud-based data management for the German car maker’s recently launched connected car scheme, a move by the tech company to extend its move into passenger vehicles.

Reports said International Business Machines Corp (IBM) is functioning to sign up car-makers for its cloud-computing platform and stake a claim in the promising market for connecting passenger cars with tailored services based on real-time car performance. Last year, it revealed a similar deal with General Motors Co.

Connected vehicle data represent a rapidly budding market for car makers, which are vigilantly moving to clinch the potential for revenue streams from service companies that are eager to tap into their large captive client base. For drivers, it opens the door to services tailored to their driving profiles.

In the meantime the project with BMW, which is poised to take off this year in Europe, lays the foundation for what International Business Machines Corp envisions as a global data hub that collects information from many car makers and matches vehicle owners with outside service providers such as auto insurers, repair shops and gas stations.

“We are the broker and the enabler for the third parties” beyond auto makers, Dirk Wollschlaeger, IBM’s general manager for global automotive, aerospace and defense, said in an interview.

BMW U.S. confirmed plans to collaborate with IBM but didn’t provide details.

Furthermore German car maker giant BMW formally recently unveiled its CarData program, which is planned to link some 8.5 million cars set to transfer data, and whose owners opt in with third parties marketing custom-made and cut-rate products such as oil changes or insurance policies.

MoreoverInternational Business Machines Corp (IBM)’s deal with BMW isn’t special but offers an opportunity to showcase its Bluemix cloud platform. Mr. Wollschlaeger revealed another European car- maker, which he declined to name, also aims to utilize Bluemix and that his company is in talks with quite a few others.