JD.com teams up with Google on retail solutions
Under the agreement, Google is investing US$550 million (approximately A$740 million) in cash in JD and receiving 27.1 million newly-issued JD Class A ordinary shares in the e-commerce company.
According to a joint statement, the partnership will leverage JD’s supply chain and logistics expertise and Google’s technology strengths to explore the creation of next-generation retail infrastructure solutions, with the goal of offering helpful, personalised and frictionless shopping experiences.
JD also plans to make a selection of products available for sale through Google Shopping in multiple regions.
JD’s chief strategy officer Jianwen Liao said the partnership marks the start of a new chapter in the company’s history.
“This partnership with Google opens up a broad range of possibilities to offer a superior retail experience to consumers throughout the world,” Liao said, adding that it “marks an important step in the process of modernising global retail”.
In a blog post, Google’s president of Asia-Pacific operations, Karim Temsamani said the partnership will give customers “the power to shop wherever and however they want”.
Google last week announced another strategic retail partnership with France-based supermarket chain, Carrefour.
The deal will see Google providing its expertise in artificial intelligence, cloud, and new shopping channels like voice, while Carrefour brings its experience in logistics and sales.
By early 2019, shoppers in France are expected to be able to buy Carrefour products through Google Assistant and Google Home and have items delivered to their homes or pick them up in-store.