Hughes finds partner for rival to GM's OnStar

DETROIT, July 8 (Reuters) - Hughes Telematics reached a deal with an emergency call center provider to offer a car-based communications system that could compete with the OnStar service from General Motors Corp<GM.N, the company said.

Hughes, controlled by private equity firm Apollo Management LP and the target of a pending acquisition, is creating a communication device that will be carried as standard equipment on all 2010 model year vehicles built by Chrysler LLC [CBS.UL] and Mercedes-Benz(DAIGn.DE: Quote, Profile, Research).

The Hughes equipment is designed to make an automatic cell phone call to emergency dispatchers if the vehicle is in an accident or the airbags have deployed.

Under the partnership announced on Tuesday, emergency call centers staffed by Longmont, Colorado-based Intrado Inc would handle calls resulting from accidents or other emergencies.

Intrado, now a unit of privately held West Corp, provides 911 emergency call center services to telecommunications companies and to U.S. local governments.

Hughes has plans for systems that would connect cell phones and other devices to car stereos and dashboard displays and allow drivers to have a near constant Internet connection.

Its goal is to provide a range of paid services through dashboard-based controls, such as ordering food or buying and downloading songs as they play on the radio.

But the emergency response feature popularized by GM's OnStar system will be standard for Chrysler and Mercedes and offered from the start, a Hughes executive said.

"By 2015, we expect this to become standard safety equipment," Hughes Telematics President Erik Goldman said.