Audi partners with Verizon on testing smart vehicle technology

Verizon Communications Inc (NYSE: VZ) is in focus today after announcing to have teamed up with Audi – a Volkswagen brand.

Details of Audi - Verizon partnerships

The telecommunications behemoth has agreed to equip a private test track of Audi with its 5G network aimed at testing its smart vehicle technology.

Partnering with Verizon will enable the German luxury brand to furnish its vehicles with more software and data not just for communication but safety as well. TJ Fox – a senior vice president of the New York listed firm said in a press release today:

$VZ is currently up more than 30% versus its low in October.

What's in it for Audi?

Note that Audi and Verizon will together run safety tests as well – as part of the collaboration announced on Thursday.

Petr Kozak – the head of artificial intelligence at the Ingolstadt based automaker expects working with Verizon to deliver a competitive advantage as the project trims both time and cost required for testing.

The news arrives about a month after Verizon Communications reported a loss for its fourth financial quarter. Its revenue did, however, beat Street estimates in Q4.  

Wall Street currently has a consensus “overweight” rating on $VZ that pays a dividend yield of 6.47% at writing.