BY Fraser Tennant
In a $4.3bn transaction which accelerates the journey toward a software-defined automotive industry, global technology company Aptiv PLC is to acquire intelligent edge software solutions provider Wind River, which is backed by private equity firm TPG Capital.
The deal is to be financed through a combination of cash and debt, and will allow Aptiv to expand into multiple high-value industries with Wind River’s world-class team and leading intelligent systems software platform.
Moreover, the combination will enable multiple end-use innovations and applications, particularly as computing and processing continue to move closer to the edge and connected devices, including vehicles, and expand in complexity and capabilities.
“The automotive industry is undergoing its largest transformation in over a century, as connected, software-defined vehicles increasingly become critical elements of the broader intelligent ecosystem,” said Kevin Clark, president and chief executive officer of Aptiv. “Fully capitalising on this opportunity requires comprehensive solutions that enable software to be developed faster, deployed seamlessly and optimised throughout the vehicle lifecycle.”
Developing safer, greener and more connected solutions that enable a more sustainable future of mobility, Aptiv has more than 180,000 employees strategically located to serve customers globally – solving the automotive industry’s toughest challenges with scalable, intelligent platforms that accelerate the transition to software-defined, electric vehicles.
“Wind River has established itself as a worldwide leader in intelligent edge software that delivers the highest levels of security, safety, reliability and performance,” said Kevin Dallas, president and chief executive of Wind River. “Combining Wind River’s industry-leading software, customer base and talent with Aptiv’s complementary technologies, global resources and scale will realise our vision of a new machine economy.”
A global leader in delivering software for mission-critical intelligent systems, Wind River software is used on over 2 billion edge devices across more than 1700 customers globally. The company generated approximately $400m in revenues in 2021.
The acquisition is expected to close mid-year 2022 and is subject to customary conditions, including receipt of applicable regulatory approvals.
“Together we will accelerate the digital transformation of our customers across industries through best-in-class intelligent systems software,” concluded Mr Dallas. “We look forward to working with the Aptiv team to reach even greater heights and provide further growth opportunities for our customers and partners.”