In another acquisition to strengthen its stake in automotive intelligence, Geely Automobile Holdings Limited (HK.0175) announced it will acquire about 1.5% of ECARX in a strategic investment agreement. ECARX will reportedly provide Geely $50 million for the share.
ECARX is a leading automotive intelligence company committed to developing futuristic connected (smart) operating systems in its vehicles. Founded in 2016 by Li Shufu and Shen Ziyu, these automotive entrepreneurs hope to empower drivers and their vehicles for a more connected, data-driven, and safer driving experience. They have offices in the Chinese cities of Beijing, Shanghai, Hangzhou, Dalian, and Wuhan, as well as an office in Gothenburg, Sweden. From their Eurasian offices they offer connected services around the world.
Geely is not the first company to support the startup; strategic investments in ECARX have also come from companies such as Baidu, SIG (Susquehanna International Group, LLP); Hubei Changjiang V2X Industry Fund LLP in 2020 and 2021; and CVC (Corporate Venture Capital).
One of Geely Auto’s long-term goals is to create a smart technology ecology, focusing on intelligent vehicular systems that encompass the cockpit, vehicle operating systems, installed software, autonomous driving solutions, and even vehicle chip sets. ECARX is a strong ally in the ever-growing field of vehicle telematics, data, and safety.