Delphi to acquire nuTonomy in ~$450M deal
24 October 2017
Delphi Automotive PLC signed an agreement to acquire autonomous driving (AD) software developer nuTonomy, Inc.(earlier post) for an upfront purchase price of $400 million and earn-outs totaling approximately $50 million. The transaction brings together a leading start-up and Tier 1 in autonomous driving and further accelerates Delphi’s commercialization of AD and Automated Mobility on-Demand (AMoD) solutions for automakers and new mobility customers worldwide.
Founded in 2013 by Dr. Karl Iagnemma and Dr. Emilio Frazzoli and recently named a World Economic Forum Technology Pioneer, nuTonomy is developing a proprietary full-stack AD software solution for the global AMoD market.
The company will add more than 100 employees, including 70 engineers and scientists, to Delphi’s more than 100-member AD team, while increasing Delphi’s access to new customers and markets in the emerging mobility space.
We are delighted to welcome Karl, Emilio, and their talented team to Delphi. The combination of the nuTonomy and Ottomatika AD teams, along with Delphi’s industry-leading portfolio of perception systems and smart vehicle architecture solutions, further enhances our competitive position as the industry’s most formidable provider of autonomous mobility solutions. This transaction is another example of our ongoing dedication to developing, implementing, and commercializing the highest performing and safest AD system available.—Delphi President and CEO Kevin Clark
Upon completion of the transaction, Delphi will have AD operations in Boston, Pittsburgh, Singapore, Santa Monica, and Silicon Valley. nuTonomy will continue to be based in Boston, where both companies currently operate AMoD pilot programs.
By combining efforts with nuTonomy in Boston, Singapore, and other pilot cities around the world, Delphi will have 60 autonomous cars on the road across three continents by year-end, with the goal to further accelerate global fleet expansion and technology development.
The acquisition of nuTonomy is the latest in a series of investments that Delphi has made to expand its leadership position in the new mobility space, including the acquisition of AD software developer Ottomatika (earlier post) and data service companies Control-Tec and Movimento.
The transaction is subject to customary closing conditions and is expected to close prior to year-end.