Verizon (NYSE:VZ) has been selected to provide 5G Standalone and LTE connectivity for newly manufactured BMW Group vehicles in the U.S., through a long-term partnership with KDDI.
The deal powers BMW Connected Drive and other telematics, infotainment and remote services using Verizon’s 5G core and 3GPP Release 16 standards.
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Positive
Verizon chosen as U.S. telematics provider for new BMW Group vehicles
Partnership leverages Verizon 5G Standalone and LTE networks for connected cars
Service supports BMW Connected Drive and multiple digital/telematics features
First vehicles connected to Verizon nationwide 5G Standalone for Connected Vehicles offering
Negative
None.
News Market Reaction – VZ
-0.49%
-0.49%Session close to close
In the Jul 9 session, VZ declined 0.49%, reflecting a mild negative market reaction.
Verizon’s new role providing 5G Standalone connectivity for BMW’s U.S. vehicles extends its connecte...
Analysis
Verizon’s new role providing 5G Standalone connectivity for BMW’s U.S. vehicles extends its connected-car footprint. Past partnerships have triggered modestly negative moves, while an effective S-3ASR shelf and recent insider net selling are notable risks to monitor.
Key Figures
5G technology:5G StandaloneMobile standard:LTE5G standard release:3GPP Release 16
3 metrics
5G technology5G StandaloneNetwork connectivity for BMW Group vehicles in the U.S.
Mobile standardLTESupplemental connectivity for BMW Group vehicles in the U.S.
5G standard release3GPP Release 16Industry standard used for Verizon’s 5G Standalone connected-vehicle offering
City of Buffalo partnership to modernize public safety communications with 5G devices.
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Pattern Detected
Recent partnership headlines have typically been constructive strategically but followed by modest share weakness, with more downside divergences than positive alignments.
Key Terms
5g standalone, telematics, iot, 3gpp, +1 more
5 terms
5g standalonetechnical
"These vehicles are the first to be connected to Verizon’s nationwide 5G Standalone for Connected Vehicles"
5G standalone is a mobile network built entirely on native 5G core and radio technology rather than relying on older 4G systems — like constructing a new end-to-end highway designed for modern traffic instead of adding lanes to an old road. It matters to investors because it unlocks lower delays, greater capacity and flexible virtual “lanes” for different business uses, which can drive new services, higher device demand and different capital and revenue dynamics for carriers and equipment makers.
telematicstechnical
"delivering exclusive telematics support for the BMW Connected Drive system"
Telematics is the technology that collects, transmits and analyzes data from vehicles or remote equipment—such as location, speed, engine status and sensor readings—using GPS, cellular networks and onboard computers. For investors it matters because telematics turns physical assets into data-rich services, enabling new revenue streams (like usage-based insurance, fleet optimization, or predictive maintenance), reducing costs and improving risk visibility much like a fitness tracker does for health.
iottechnical
"KDDI, who provides IoT services through its Global Communications Platform to Original Equipment Manufacturers"
The Internet of Things (IoT) describes a network of everyday devices—such as appliances, vehicles, and equipment—that are connected to the internet and can share data automatically. For investors, IoT represents a growing trend that can drive efficiency and innovation across many industries, potentially creating new opportunities for growth and value. Its expansion influences how companies operate and compete in a digitally connected world.
3gpptechnical
"using its 5G core and 3GPP Release 16 industry standards for 5G standalone"
3GPP is a global standards group that creates the technical rules enabling mobile networks and devices to work together — think of it as the rulebook for how phones, antennas and networks speak the same language. Investors care because these standards shape which technologies gain wide adoption, influence network rollouts, and affect patent licensing and equipment markets, all of which can change revenue and costs across telecom companies.
original equipment manufacturerstechnical
"Global Communications Platform to Original Equipment Manufacturers (OEMs) in demanding industries."
Original equipment manufacturers (OEMs) are companies that produce parts, components, or complete products that other firms brand and sell as their own. Think of an OEM as the behind-the-scenes maker—like a bakery that supplies cakes to a cafe which then puts its name on them—so changes in an OEM’s production, costs, or contracts can signal supply-chain strength or weakness and directly affect investors’ views on sales, profitability, and business risk.
Verizon will provide 5G Standalone and LTE connectivity directly to BMW Group vehicles in the U.S., delivering exclusive telematics support for the BMW Connected Drive system in newly manufactured vehicles
The deal stems from Verizon’s long-term partnership with KDDI, which supplies its proprietary Global Communications Platform to BMW Group and global connected services to OEMs in various other industries
NEW YORK and DALLAS, July 09, 2026 (GLOBE NEWSWIRE) -- Verizon Business and KDDI today announced a collaboration with BMW Group uniting Verizon’s world-class 5G and LTE networks, KDDI’s expansive Global Communications Platform, and BMW Group’s superior automotive engineering for a second-to-none connected-vehicle experience.
Verizon now provides telematics connectivity for new BMW, MINI, and other BMW Group vehicles manufactured for the U.S. market.This collaboration delivers cellular connectivity directly to BMW Group vehicles, enabling BMW Connected Drive and other digital infotainment, remote, app and telematics services.
“Verizon is committed to delivering seamless connectivity for customers. Our collaboration with BMW Group and KDDI prioritizes innovation and capability to advance the connected experience for drivers across the U.S.,” said Kyle Malady, CEO, Verizon Business.
This major launch stems from Verizon’s long-standing relationship with KDDI, who provides IoT services through its Global Communications Platform to Original Equipment Manufacturers (OEMs) in demanding industries. KDDI’s platform enables a programmable connected experience for BMW Group, giving the automaker complete control of the connectivity and data packets flowing reliably and securely through Verizon’s state-of-the-art 5G network. The service is available for all newly manufactured BMW Group vehicles in the United States.
“At KDDI, we are honored to support BMW Group’s next generation connected vehicle services with our Global Communications Platform,” said Satoshi Oishi, President & CEO, KDDI America Inc. “With over two decades of experience in connected car telecommunications, we understand the critical importance of performance and reliability. Together with BMW Group and Verizon, we are committed to delivering an exceptional connected driving experience to customers across North America.”
These vehicles are the first to be connected to Verizon’s nationwide 5G Standalone for Connected Vehicles offering using its 5G core and 3GPP Release 16 industry standards for 5G standalone.
Visit LinkedIn for more information about KDDI and its connected-vehicle subsidiary KDDI Spherience.
Visit Verizon’s connected-vehicle website to learn more about our services and capabilities or to reach out to a Verizon Business sales representative.
Media contact: Matt Conte matthew.conte@verizon.com (917) 848-3040
Brian Vaughn b.vaughn@kddia.com (469) 855-8984
FAQ
What did Verizon (VZ) announce about its new partnership with BMW Group and KDDI on July 9, 2026?
Verizon announced it will provide 5G Standalone and LTE connectivity for newly manufactured BMW Group vehicles in the U.S. According to Verizon, this collaboration with KDDI powers BMW Connected Drive and other infotainment, remote app and telematics services.
Which BMW Group vehicles in the U.S. will use Verizon (VZ) 5G connectivity?
All newly manufactured BMW Group vehicles for the U.S. market will use Verizon’s 5G and LTE connectivity. According to Verizon, this includes new BMW, MINI and other BMW Group models supporting BMW Connected Drive and related digital services.
How does the KDDI partnership support Verizon’s connected-vehicle services for BMW Group?
KDDI provides its Global Communications Platform, enabling a programmable connected experience for BMW Group vehicles. According to Verizon, the platform lets BMW control connectivity and data packets flowing securely and reliably through Verizon’s 5G network for U.S. vehicles.
What 5G technology does Verizon (VZ) use for BMW connected vehicles in the U.S.?
Verizon uses its nationwide 5G Standalone for Connected Vehicles offering, built on a dedicated 5G core. According to Verizon, the service follows 3GPP Release 16 industry standards to support advanced telematics and digital in-car services.
What services will Verizon connectivity enable in BMW Group vehicles for U.S. drivers?
Verizon connectivity will enable BMW Connected Drive plus other digital infotainment, remote, app and telematics services. According to Verizon, cellular connectivity is delivered directly to BMW Group vehicles to support a seamless, feature-rich connected driving experience.
Why is the BMW Group and Verizon (VZ) 5G agreement important for connected car investors?
The agreement positions Verizon as the U.S. connectivity provider for new BMW Group vehicles. According to Verizon, combining its 5G network with KDDI’s platform supports growing demand for telematics and connected-vehicle services in the automotive sector.
