German automobile manufacturer Porsche AG (OTC:POAHY) and tech giant Google (NASDAQ:GOOGL) (NASDAQ:GOOG) have revealed plans to deepen their partnership. This collaboration aims to integrate Google's digital services more extensively into future Porsche vehicles.

What Happened: According to a Tuesday announcement by Porsche AG, the joint effort will focus on enabling Google services for navigation, speech recognition, and access to its app ecosystem in upcoming Porsche models. The production phase for these enhanced vehicles is set to begin midway through this decade.

The proposed new Google ecosystem will incorporate Google Maps, Google Assistant, and a wide range of apps from the Google Play Store. Porsche customers will continue to enjoy the familiar user interface of the Porsche Communication Management (PCM) system, which will constantly receive online updates to ensure its relevance and functionality.

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Oliver Blume, Chairman of the Executive Board of Porsche AG, stated that the objective was to create a seamless digital experience for their customers, in addition to delivering superior design and high performance.

Hiroshi Lockheimer, SVP of Platforms and Ecosystems at Google, expressed enthusiasm over the collaboration, stating that drivers would gain access to the latest Google technologies coupled with Porsche's distinguished design and brand.

Why It Matters: This announcement comes as another step in Porsche's digital transformation journey. As reported by The Verge, Porsche had contemplated adopting Google's software for its in-car infotainment system, amid ongoing software issues at its parent company, Volkswagen.

Despite the challenges presented by the COVID-19 pandemic, Porsche managed to maintain robust business figures for Q3 2023, delivering 242,722 vehicles to customers in the first three quarters of the year.