Stellantis and Microsoft announced a five-year collaboration this week to co-develop AI, cybersecurity, and engineering capabilities as the automaker accelerates its digital transformation. The companies outlined more than 100 AI initiatives spanning customer care, product development, and operations, including AI-assisted validation and predictive maintenance. Stellantis plans to migrate systems to Microsoft Azure, target a 60% datacenter size reduction by end of 2029, and deploy Microsoft 365 Copilot and Copilot Chat to employees. Joint teams will also use AI-powered cyberdefense to protect connected vehicles, factory networks, IT systems, and digital products. No financial terms were disclosed, and the expanded partnership follows earlier work on connected vehicle platforms amid rising competition from Chinese firms.