Hyundai Motor affiliate Kia Motors has signed an agreement with Vodafone to explore business opportunities in telematics services in Europe.

The motor group said that the initial agreement is expected to “boost Kia’s competitiveness in vehicle IT systems”.

Kia said it will focus on creating new business opportunities based on automotive IT systems and Vodafone’s existing communications network in Europe. As well as collaborating on the development of new services, Kia will develop “new automotive IT solutions by using the telematics infrastructure to build a new customer-oriented business model,” the company said.

“Through collaboration with Vodafone, Kia Motors looks forward to providing advanced automotive IT services to its European customers as part of its ongoing commitment to become increasingly competitive in this market,” said Lee Hyun-Soon, vice chairman and head of Hyundai-Kia R&D.

“Vodafone’s high-performance mobile networks and simple solutions for managing wireless connectivity on a global basis, means we are ideally placed to help the Hyundai Motor Group develop a whole range of new services,” said Nick Jeffery, CEO, Vodafone Global Enterprise. “This collaboration is set to deliver an even better driving experience for drivers across Europe.”