Tata Motors Ltd announced the launch of a new, agile, sub-brand called TAMO, which will incubate new technologies and make cars to meet expectations of consumers, as the Indian carmaker aims to future-proof its business.

Automakers, especially technology laggards, have come under pressure from ride-sharing companies such as Uber, and technology giants Google and Apple that are investing in building autonomous car technologies.

”An agile, ring-fenced vertical operating in an incubating environment towards new technologies, business models and partnerships,” Tata Motors stated in a release

”As a core element of its transformation journey ‘FutuReady’, Tata Motors presented today its new passenger vehicle strategy and introduced its new sub-brand – TAMO. ”It will act as an incubating center of innovation towards new technologies, business models and partnerships in order to define future mobility solutions.

”TAMO as a new, separated vertical will operate in the first step on a low volume, low investment model to provide fast-tracked proof of technologies and concepts. TAMO will act as an open platform to network with global startups and leading tech companies, to get access to trends, innovations and solutions, for the design of exciting future products and services.

”For the rapidly changing automotive environment, TAMO will transform the experience of interfacing and interacting with customers and the wider community. TAMO will provide a digital eco-system, which will be leveraged by Tata Motors to support the mainstream business in the future.

Speaking on the announcement, Guenter Butschek, MD & CEO, Tata Motors, said, ”The success of our transformation journey ‘FutuReady’ is measured by our vision and depends on our ability to deliver on our comprehensive strategies for our business units. Our game plan addresses six themes – topline improvement, cost management, structural improvements, customer centricity, new mobility solutions and organisational effectiveness. To secure our future in a rapidly changing environment, the advanced mobility solutions space is of utmost importance.

”The introduction of TAMO will help us to co-design India’s automotive footprint by taking new technologies and mobility concepts as a new ecosystem to market,” he added.

New passenger vehicle strategy

Tata Motors said it is aiming to be amongst the top 3 passenger vehicles by 2019, in India through exacting innovations and sustainable financial performance. Tata Motors has reviewed its existing passenger vehicle product portfolio and formulated a new strategy based on the evaluation of different customer segments and global progressions in terms of design, technology and innovation.

Tata Motors foresees a strong demand growth in the hatchback and the SUV segments, according to this study.

Speaking on the passenger vehicle Strategy, Mayank Pareek, president, passenger vehicle business, Tata Motors, said, ”In line with our new PV strategy, our portfolio will include a mix of brand enhancing products and ones that are well aligned to the rising aspirations of the different target customer segments. Our strategy is to deliver 7-8 product variants from two platforms, for greater coverage and sizable economies of scale.

”Our new architectural approach supports our effort to reduce complexity, enables future technologies and ensures global relevance. We have mapped technology solutions in key areas such as powertrain systems, ADAS and enhanced connectivity to our future product portfolio and have defined the application framework. Our goal is not to just comply with the emerging regulations but be ahead of the requirement,” he added.

Speaking on tapping innovative mindset globally, Tim Leverton, president and head, Advanced and Product Engineering, Tata Motors, said, ”With TAMO, we are starting a new era. The idea is to find new and agile ways of innovating and experimenting. Our success in this new mobility world will be contingent to our ability to network globally and to partner with new thought leaders. Our focus will be to scout for new technologies and to explore opportunities at the innovation hubs across the globe and to work with start-ups in the new spaces. Since this requires a different way of thinking, we will apply within TAMO also, new ways of working because leadership is all about time to market.”

The first product developed by TAMO will premiere at the upcoming 87th Geneva International Motor Show on 7 March 2017.

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