Legacy auto supplier Delphi just acquired a self-driving-car startup for $400 million.
Delphi said Tuesday that it was buying nuTonomy, an autonomous-car startup born out of MIT. It's the latest in a string of multi-million-dollar investments designed to give Delphi a major role in the driverless-car arms race.
Delphi said it purchased nuTonomy for an upfront purchase price of $400 million and earn-outs totaling roughly $50 million.
"This transaction is another example of our ongoing dedication to developing, implementing, and commercializing the highest performing and safest [autonomous driving] system available," Delphi President and CEO Kevin Clark said in a press release.
It's worth keeping an eye on Delphi as automakers and tech giants battle to launch self-driving-car platforms commercially within the next decade.
Delphi is part of an alliance with BMW, Intel, and Mobileye to collaborate on the sensors, cameras, and software that will power self-driving vehicles.
The supplier has also made other key investments. It has snatched up several startups, like Movimento, so it can release a suite of software products that would allow automakers to make over-the-air updates, a strategy pioneered by Tesla.
Source : https://www.businessinsider.com/delphi-acquires-nutonomy-400-million-2017-10