BEIJING, Feb 27 (Reuters) - China's Baidu ( BIDU ) and

electric vehicle battery giant CATL will jointly

explore the development of "competitive" driverless vehicles and

innovative business models, the companies said on Thursday.

As part of a strategic agreement focusing on digital

intelligence and autonomous driving, the companies will team up

to develop and apply CATL's power batteries, battery swapping

products and services, and skateboard chassis technology in

driverless vehicles.