German automobile giant BMW and Chinese tech giant Alibaba announced an expanded partnership to co-develop AI technology for next-generation vehicles in China. The collaboration will integrate Alibaba’s Qwen large language model (LLM) into BMW’s Neue Klasse models, with the first rollout planned in 2026.
The collaboration aims to redefine intelligent in-car experiences by combining BMW’s automotive expertise with Alibaba’s AI capabilities. The Neue Klasse models will debut with two AI agents—Car Genius and Travel Companion—offering real-time assistance and lifestyle services tailored to Chinese users.
For instance, users can make complex requests like planning a dinner outing, and the system will synthesise real-time traffic data, venue ratings, and user preferences to generate tailored recommendations, ensuring stress-free travel planning.
Enhanced Human-Vehicle Interaction
The collaboration will integrate the AI engine based on Yan AI, developed by Banma, Alibaba’s intelligent cockpit solution provider, as per the announcement.
Sean Green, president and CEO of BMW Group Region China, stated, “BMW will work closer with Chinese tech partners on electric mobility and intelligent technologies to write our renewed win-win story.”
The partnership will introduce a bespoke AI engine, co-developed by both companies, into BMW’s Intelligent Personal Assistant (IPA), enhancing human-vehicle interaction with features such as human-like communication, multi-agent coordination, and digital ecosystem integration.
The AI-powered IPA will enhance features like voice recognition, trip planning, and personalised services like parking recommendations and traffic updates, tailored specifically for the Chinese market.
Meanwhile, Eddie Wu, CEO of Alibaba Group, explained, “Qwen’s integration into BMW’s in-car systems showcases how AI can revolutionise mobility”.
Broader Implications
The initiative aligns with Alibaba’s broader focus on AI development, as the company has pledged over $52 billion in AI infrastructure investments over the next three years.
The partnership also reflects BMW’s commitment to embedding AI across its R&D processes and aligns with Alibaba’s goal of driving industrial transformation through advanced AI technologies.
Since 2015, the two companies have collaborated across areas such as cloud computing and smart manufacturing. This latest milestone underscores their shared vision for intelligent mobility solutions.
In February this year, Alibaba was also reported to have partnered with Apple to introduce AI features to iPhones in China. Moreover, BMW had announced a significant partnership with Figure AI, the US robotics company, last year, pertaining to major improvements in the company’s Figure 02 robots.