November 30, 2007

GM announces joint telematics venture in Shanghai, China

Shanghai, China – General Motors, Shanghai Automotive Industry Corporation Group (SAIC) and OnStar have announced the establishment of a telematics joint venture called Shanghai OnStar Telematics Company Limited. This is OnStar’s first venture outside of North America in its eleven-year history.

The joint venture will provide a range of OnStar’s in-vehicle safety, security and communications services similar to those currently available in Canada and the U.S. The company expects to begin rolling out its services in 2009, initially for vehicles manufactured and distributed in China by Shanghai GM.

“We are pleased to bring OnStar to Asia for the first time through Shanghai OnStar Telematics,” said Chet Huber, OnStar President. “China represents a huge opportunity to bring the safety, security and societal benefits of OnStar to a whole new audience – Shanghai GM customers. This new venture builds upon our leading position in North America and the lessons learned from our more than 83 million customer interactions. In China, we will provide cutting-edge services specifically developed in accordance with the needs of Shanghai GM and its customers.”

OnStar, a subsidiary of GM, and Shanghai Automotive Industry Sales Co. Ltd, a subsidiary of SAIC, each own 40 per cent of Shanghai OnStar Telematics. Shanghai GM, a 50/50 joint venture of GM and SAIC, owns the remaining 20 per cent.

“Over the past decade, GM and SAIC have established eight joint ventures that are engaged in vehicle and powertrain manufacturing, sales and service, automotive engineering and design, automotive financing, and now telematics,” said Kevin Wale, GM China Group President and Managing Director. “The launch of our new joint venture represents a significant technological step forward in our partnership.”

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