The auto industry is moving forward. Just look at the successful public listing last week of the electric carmaker Tesla Motors, Breakingviews says.
General Motors wants to innovate, too. It’s plowing $100 million into a venture capital fund to create new technologies and add to the bottom line. Corporate venture capital can be a creative way to outsource research and development. But the odds of spawning anything more look long.
Like other big companies, G.M. has carrots to entice start-ups. It can offer quick access to potential markets in everything from batteries to entertainment systems. And it has already invested in equipment like wind tunnels, which may be a nice perk for some new thinkers.
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