"The connected car represents an enormous opportunity for the auto industry, and at the core it's a software challenge," says Microsoft's Peggy Johnson.
Toyota has established a broad patent licensing agreement with Microsoft, securing access to intellectual property for connected car technologies.
In a blog post, Microsoft Intellectual Property Group chief IP Counsel Erich Anderson suggests the company's software patents will play a significant role in the automotive industry's "digital transformation" as more vehicles are connected to the internet and cloud services.
Toyota already uses Microsoft's Azure platform to power its Big Data Center. The latest agreement covers additional patents related to operating systems, file storage, connectivity, sensors, gesture computing, graphical user interfaces, voice recognition, multi-touch, security and artificial intelligence.
"The connected car represents an enormous opportunity for the auto industry, and at the core it's a software challenge," says Peggy Johnson, Microsoft's executive VP of business development.
The companies have not publicly disclosed how much Toyota paid for access to the patent portfolio.