Nokia and Renault team up in navigation drive

Renault's Twingo car is displayed during the first media day of the 77th Geneva car show at the Palexpo in Geneva March 6, 2007. Nokia said it will co-brand a set of Renault Twingo cars which will go on sale later this month, packed with Nokia's navigation system and handsfree equipment.

HELSINKI (Reuters) - Nokia (NOK1V.HE), the world's top cell phone maker, said it will co-brand a set of Renault (RENA.PA) Twingo cars which will go on sale later this month, packed with Nokia's navigation system and handsfree equipment.

"Navigation is a new and fast growing industry and we are also looking for new ways to operate there. Co-operation of Nokia and a car industry is a natural step," Nokia's spokeswoman Eija-Riitta Huovinen said on Wednesday.

Nokia offered earlier this week $8.1 billion for U.S.-based digital map supplier Navteq NVT.N in its largest takeover ever to get a stronghold in the navigation business, which is one of the fastest growing sectors in the technology industry.

The global market for car navigation devices more than doubled in the second quarter, according to research firm Canalys, with U.S. firm Garmin (GRMN.O) and Dutch company TomTom (TOM2.AS) the leading vendors.

Device vendors use map data from Navteq or Tele Atlas TA.AS, the only two global vendors in the industry. TomTom has made an offer for Tele Atlas.

Renault will sell Twingo Nokia, which includes the Nokia 6110 navigation phone, for prices starting from 12,150 euros ($17,220). Twingo Nokia will go on sale on Oct 29 in France. They will also be sold in Italy, Germany, Slovenia, Belgium and the Netherlands.