Automotive supplier Bosch is now set to follow arch-rival
Automotive systems into the field
. Robert Bosch GmbH has received German regulatory approval to team up with MAHLE GmbH in a 50-50 joint venture called Bosch Mahle
Systems GmbH & Co. KG. The new company will start operating on June 2 out of offices in Stuttgart. About 50 employees from each company will move over to the new company.
Bosch MAHLE Turbo systems is looking to take advantage of the move to downsized engines with turbochargers. By using smaller engines, automakers can achieve weight reductions and reduced fuel consumption while still providing increased power when it's needed. Bosch MAHLE plans to start production of turbochargers at plants in St. Michael ob Bleiburg, Austria, and Blaichach/Immenstadt, Germany in 2011.