Dutch semiconductor giant NXP Semiconductors is making significant strides in the automotive software market. The company has announced its acquisition of Austrian software provider TTTech Auto for $625 million. This acquisition includes TTTech Auto’s 1,100 engineering staff, management team, and their valuable assets and intellectual property.
TTTech Auto specializes in safety systems and middleware for software-defined vehicles, establishing direct relationships with various automotive manufacturers. This move is expected to complement and accelerate NXP’s CoreRide platform. Launched just last year, CoreRide aims to dominate the software-defined automotive industry. TTTech Auto has had an ongoing partnership with NXP, playing a crucial role in the CoreRide’s success since its inception.
The CoreRide platform integrates NXP’s S32 compute, networking, and power management solutions. It asserts itself as the first open, purpose-built software platform that dissolves the challenges of hardware-software integration in the automotive space. NXP emphasized that TTTech Auto enhances their hardware expertise with superior software capabilities, forming a robust platform for automakers to leverage.
TTTech Auto’s MotionWise middleware platform is designed to manage interconnected systems in vehicles. It features automated software deployment on automotive compute platforms, aiding automakers in scaling software, enhancing safety, and integrating critical features seamlessly. According to NXP, this acquisition is expected to strengthen hardware and software integration, benefiting the global ecosystem of NXP CoreRide partners significantly.
The automotive industry is gradually shifting from traditional hardware-centered models to software-defined vehicles. This change incorporates sophisticated and interconnected hardware and software systems. Experts predict that software-defined vehicles will comprise 45% of global automotive production by 2027, with the market growing at a compound annual growth rate of 48%.
Jens Hinrichsen, NXP’s EVP for automotive embedded systems, remarked, “The inclusion of TTTech Auto’s software into the NXP CoreRide solution further strengthens NXP’s automotive value proposition and accelerates the automotive industry’s transformation to software-defined vehicles.”
Dirk Linzmeier, CEO of TTTech Auto, stated, “The emergence of intricately connected and adaptive frameworks in software-defined vehicles highlights the need for middleware to tackle challenges in integration, safety, and scalability.”
