GENERAL Motors has formed a strategic alliance with America OnLine (AOL) to bring car shopping, new products and services to consumers across the internet. In announcing the alliance - on the eve of AOL's world headline-grabbing takeover of media conglomerate Time Warner - General Motor's said: 'This strategic alliance marks a major step in online consumer marketing by General Motors and its dealer network.'

AOL is the world's leading interactive services company and already has an Auto Channel on which consumers can shop for vehicles. General Motors added: 'The two companies will also explore future opportunities between OnStar and popular AOL interactive features. Additionally GM and AOL will work to expand their relationship outside the US.'