Highlights:

  • According to sources, Qualcomm is set to acquire AutoTalks for a sum between USD 350 million and USD 400 million.
  • C-V2X technology utilizes the Long-Term Evolution (LTE) technology, commonly employed by smartphones, to establish connections with carrier networks.

AutoTalks Ltd., a chip startup that has developed technology enabling vehicles to detect obstacles around corners and stop automatically, is being acquired by Qualcomm Inc.

The announcement of the acquisition was made recently. According to a few sources, Qualcomm is set to acquire AutoTalks for a sum between USD 350 million and USD 400 million. AutoTalks had previously secured USD 110 million in funding. The startup based in Israel has garnered investments from prominent companies such as Hyundai Motor Co. and Toyota Motor Corp.

Vehicle manufacturers are integrating V2X (Vehicle-to-Everything) communication technology to enhance driver safety. The V2X technology facilitates wireless broadcasting of location information between two cars that are compatible with it. In a potential collision, the vehicles can engage their automated braking system.

AutoTalks offers semiconductor solutions that facilitate the integration of V2X functionalities into automobiles for automakers. Currently, the implementation of V2X is carried out through two primary technological standards, namely C-V2X and DSRC. The chips developed by AutoTalks can support both standards.

C-V2X utilizes the Long-Term Evolution (LTE) technology, commonly employed by smartphones, to establish connections with carrier networks. The system facilitates the exchange of location data between vehicles through either a carrier network or direct radio signal communication without a cell tower. The capability enables automobiles to exchange safety data even when a dependable wireless connection is unavailable.

AutoTalks’ chips support DSRC, another networking technology that serves a similar purpose. Unlike C-V2X, this technology is not LTE-based but instead utilizes Wi-Fi. Dedicated Short-Range Communications (DSRC) technology enables a vehicle to transmit its present geographical coordinates, direction, and speed to other vehicles nearby, with a frequency of up to 10 transmissions per second.

According to AutoTalks, its silicon allows a car to detect hazards even when they are around a corner. The business imagines that in the future, cars will use its technology to share difficulties they spot in addition to broadcasting their location with other cars.

The intricacy of the company’s chips varies. The startup makes products that can be utilized with an external central processing unit, such as its SECTON3 modem chip. Additionally, it provides the CRATON2, a compute module with a built-in CPU and a cybersecurity accelerator that lowers the danger of hacking.

The startup doesn’t just concentrate on the auto industry. In addition to its car chips, it sells the ZooZ module, which can be mounted on a bicycle’s handlebar to provide V2X-powered safety features. The module warns the rider of potential hazards and alerts passing cars to the presence of the bicycle.

The technology from AutoTalks will be incorporated into Qualcomm’s Snapdragon Digital Chassis portfolio lineup. A vehicle can be connected to carrier networks using modem chips in the portfolio. In addition, Qualcomm provides processors designed to run infotainment and dashboard systems in cars.

Senior Vice President and Head of Qualcomm’s car division Nakul Duggal said, “We have been investing in V2X research, development, and deployment since 2017 and believe that as the automotive market matures, a standalone V2X safety architecture will be needed for enhanced road user safety.”

The business did not elaborate on its plans for the technology of AutoTalks in the recent acquisition announcement. It’s plausible that Qualcomm wants to incorporate the technology into its car modem chips.

These chips frequently provide support for numerous networking protocols. Qualcomm’s most recent smartphone modem can support multiple wireless standards, including 5G and LTE. Incorporating C-V2X and DSRC communication standards, the foundational technologies behind AutoTalks’ vehicle safety features, is a viable option for the company to integrate into its vehicle modems.

In the foreseeable future, Qualcomm can assimilate AutoTalks’ silicon into its Snapdragon Drive autonomous driving chips. Automakers must tackle safety concerns before the widespread deployment of fully autonomous vehicles. By leveraging AutoTalks chips, Qualcomm has the potential to expedite the resolution of these concerns for its clientele in the automotive sector.

Integrating a modem chip into a system’s primary processor, such as a vehicle’s Snapdragon Drive autonomous driving module, is a well-established industry norm. The premium mobile processors manufactured by Qualcomm come equipped with an integrated 5G modem.

AutoTalks’ chips could experience an increase in the adoption of the C-V2X and DSRC networking standards due to the acquisition. At present, the utilization of the two standards is rather restricted. Given its considerable resources and extensive roster of clients in the automotive sector, Qualcomm is well-positioned to expand the utilization of AutoTalks’ technologies while simultaneously pursuing monetization of the company’s products.

Qualcomm has made its second significant acquisition in the automotive industry since 2021. The company had previously acquired Arriver, a software development firm specializing in advanced driver assistance systems. Arriver was established as a collaborative effort between Qualcomm and Veoneer Inc., a software and vehicle sensor provider.