AMSTERDAM (Reuters) – Dutch computer chip maker NXP said on Tuesday it has agreed to buy Austria’s TTTech Auto for $625 million to strengthen its automotive business.
NXP is the largest manufacturer of automotive chips, while TTTech Auto is developing safety-focused “middleware” that integrates a car’s operating system with applications and updates them while ensuring critical functionality remains unaffected. We manufacture software to help you deploy.
This acquisition combines NXP’s automotive portfolio with the world’s leading provider of safety software solutions,” NXP executive Jens Heinrichsen said in a statement.
The company said the move is aimed at strengthening NXP’s offerings as automaker customers increasingly see software, not hardware, as the driving force behind vehicle design decisions.
Hinrichsen, general manager of NXP’s automotive embedded systems division, said the acquisition will help the company become a “leading provider of intelligent edge systems” in automotive.
If the all-cash transaction is approved, Vienna-based TTTech, its management team and 1,100 employees will join NXP’s automotive division.
(Reporting by Toby Sterling; Editing by Louise Heavens)
