Samsung, the world’s largest phone maker unveiled 2 major pieces of news. The company is now taking its automotive strategy on the go.
Samsung launched the Automotive Innovation Fund. It is a $300M fund to help startups and other fascinating gamblers in the market of autonomous cars. The company has put around $90M into TTech. TTech is a platform and safety software developer for connected cars in Austria.
In addition to all of this, the company also unveiled a planned enterprise to develop automated-car technology with Harman. It is an audio and auto manufacturer that Samsung acquired for $8B last November.
Shaping the Future
According to the President and Chief Strategy Officer of Samsung, Young Sohn, they are excited to play a role of leadership in shaping and supporting the future of more connected and smarter cars. The automotive fund shows the commitment of Samsung to the values of collaboration and open innovation.
Samsung would make the passenger and driver experience more enjoyable, more convenient, and safer in partnership with startups and OEMs. The next era of innovations that would shape how we reach our destination is just around the corner while giants like Toyota, Volkswagen, GM, and much more have dominated traditionally the industry of automation.
Millions to Billions of Funds
The new technology is driving a huge investment wave. Car companies such as Daimler, Volkswagen, GM and much more are putting tons of dollars towards helping various startups that are developing services and technology for that amazing new automotive feature.
For instance, GM has invested $1 B in Lyft, Ford investing $1 B into Argo AI, and Volkswagen investing $180 M in Mobvoi. Also, car manufacturers are internally investing in their own R&D. There are also tech companies, like Baidu, Google, and Apple that are also making huge gambles.
They are developing self-driving cars of their own. These companies are also buying up and investing in talent to improve those strategies. And of course, Samsung is one of those tech companies that are hoping to be successful in this industry. Samsung is looking at the vehicle as the current “hardware” that it could help control and develop.
Samsung received a permit to operate automated car tests in California roads at the end of August. This isn’t the first move of Samsung to invest in the industry of automation. Past investments include Almotive, Renovo, TetraVue, Quanergy, and much more.