Qualcomm Inc (QCOM.O), a chip designer, said that it would acquire Autotalks Ltd, an Israeli company that manufactures chips used in technologies to avoid automobile collisions.
The automotive sector is a crucial development area for chipmakers, especially in light of the rise of electric vehicles and autonomous automobile functions.
Autotalks manufactures specialized chips for the V2X communications technology in human-driven and autonomous cars.
“We have been investing in V2X research, development, and deployment since 2017, and believe that as the automotive market matures, a standalone V2X safety architecture will be needed for enhanced road user safety, as well as smart transportation systems,” said Nakul Duggal, senior vice president – automotive, Qualcomm Technologies.
After announcing a $10 billion increase in the “pipeline” for its automotive business in late July last year, Qualcomm boosted its projections to $30 billion.
Qualcomm claimed that the increase was due to the success of its Snapdragon Digital Chassis product among automotive manufacturers and suppliers. The Snapdragon Digital Chassis can deliver driver assistance systems, autonomous driving capabilities, in-car entertainment, and internet access through the cloud.
On Monday, Qualcomm announced adding Autotalks’ solutions to its Snapdragon Digital Chassis product range.
The terms of the agreement between the two companies were not disclosed. However, Qualcomm also noted that it will be purchasing its subsidiary Qualcomm Technologies.
