Qualcomm Kicks Automotive Ambitions up a Gear with a US$4.6 Billion Veoneer Offer

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By James Hodgson | 3Q 2021 | IN-6278

 

Rival Bids for a Software-Savvy Tier 1

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In August 2021 Qualcomm ramped up their ambitions in the automotive space by making a US$4.6 billion acquisition offer for Tier 1 automotive supplier Veoneer. This bid quickly followed an earlier offer of US$3.8 billion from Tier 1 supplier Magna in July 2021 and could represent the culmination of a multiyear technology development partnership between Qualcomm and Veoneer that is focused on the development of Advanced Driver Assistance System (ADAS) and Autonomous Vehicle (AV) platforms.

Qualcomm has been ramping up their automotive business in recent years, enjoying particular success in the digital cockpit domain. According to ABI Research interviews with vendors in the connected infotainment supply chain, Qualcomm’s System on Chips (SoCs) feature in almost every digital cockpit scheduled for production in the next few years. The table below demonstrates the recent acceleration of Qualcomm’s automotive revenues that have even overtaken fellow automotive semiconductor player NVIDIA earlier this year.

Automotive Revenues

Now the acquisition of Veoneer has the potential to catap…

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