Partnerships Reshaping the Auto ER&D Sector (Part 2)

The automotive industry is undergoing a radical transformation driven by CASE — Connected, Autonomous, Shared, and Electrified technologies.

This is the third instalment of our 4-part series where we highlight the ongoing evolution of the automotive industry and reflect on its impact on tools and services for ER&D. Here, we continue to explore the impact of CASE by profiling two more global companies that are capitalizing on the momentum of CASE. These organizations are not only adapting to the changes but also driving innovation in ER&D tools and services.

NVIDIA

英伟达 it appears, does everything, including helping to design intelligent cars. Their objective is to create an ecosystem tailored to each end-use industry they target.

For autonomous vehicles, NVIDIA's platform is called Drive.

Sizing up NVIDIA's automotive business

Automotive is not a large use case for the software major but a prominent one. NVIDIA's FY24 automotive revenue was $1.1 billion. A sizable number, yet just a drop in the ocean of its $60 billion total revenue.

Even then, every automotive announcement occupies significant space in the company's earnings and press release. Perhaps because edge AI is important for automotive use cases. The Edge AI processing is critical for the future of autonomous cars, and cars serve as a key customer touch point to experience AI.

NVIDIA’s automotive clientele boasts quite the lineup:

• Foxconn, partnering to build “AI factories” for autonomous cars
• Major OEMs like Mercedes, Volvo, and Hyundai
• Tesla leveraging NVIDIA’s H100 GPUs to power FSD. Though they’re now cruising towards their custom chip.

Aptiv

If there is any company in the automotive supply chain that speaks and sells like a tech company, it is Aptiv . They’re not just selling solutions; they're branding them as the very "brain" and "nervous system" of your car.

Solution Suite:

Aptiv's journey mirrors the evolution of the car itself — from supplying basic automotive components like wiring and steering systems as part of 德尔福 to its present-day cutting-edge presence in the automotive industry.

Their product portfolio has evolved from electrical wiring, sensors, ECUs and infotainment software to:

• Electrical Infrastructure: From basic wiring to EV chargers.
• Sensing Solutions: From radars to LIDARs, and sensor fusion solutions.
• Connectivity: Cloud connectivity solutions and chips (domain controllers).
• Software: Infotainment solutions from firmware to middleware, shaping the operation of your car.

But that is not all to Aptiv's story. Along the way, they also ventured into autonomous driving with Motional, a 50:50 joint venture with Hyundai Motor Company (?????) . However, in February 2024, Aptiv announced its exit from the JV. Does this departure hint at a shift in the company's strategy, signaling that the era of relying on "blackboxes" is behind us?

The ongoing evolution of the automotive industry, fueled by CASE technologies, underscores the pivotal role of companies like Mobileye , aiMotive , Cubic Telecom , StoreDot , 英伟达 and Aptiv in shaping the future of transportation.

More Reading

• Part one where we talk about how automakers and their existing vendors forged partnerships with startups through M&A, investments, and joint ventures to gain access to new technology/capabilities or to hedge their bets or both.
• Part two profiles some interesting global companies that are riding the tailwinds of CASE.