Tesolv, an Indian semiconductor engineering company owned by Hero, has acquired German IC design firm Dream Chip Technology.
🟦 Acquisition of Dream Chip Technology by Te Solve, a subsidiary of India Hero
Tesorb is a semiconductor engineering company owned by Hero, a leading Indian motorcycle manufacturer. This time, we acquired the German IC design company “Dream Chip Technology (DCT)” for approximately 7.2 billion yen. DCT employs more than 100 engineers, and the acquisition further strengthens Tesolb’s technical capabilities and business foundation, which is expected to grow in India and abroad. In addition, Tesolb already has more than 3,000 employees in 10 countries around the world and is looking to expand further over the next four years.
What is Dream Chip Technology (DCT)?
DCT is one of Germany’s largest IC design companies, with a particular focus on designing “vision systems” for automobiles. A vision system is a technology that allows a car to detect its surroundings with cameras and sensors to identify objects. This supports safe and comfortable driving and plays an important role in the development of autonomous driving technology. DCT technology is expected to become increasingly important in the automotive market of the future.
🟦 Background to the expansion of the semiconductor market in India and Germany
In the Indian market, the demand for two-wheelers is growing with economic growth. For this reason, Tesorb is strengthening its semiconductor technology and using it in a variety of electronic devices for motorcycles. On the other hand, Europe, especially Germany, is famous as the center of the automotive industry, and the development of advanced driver assistance systems (ADAS) and AI-powered automotive technologies is underway at a rapid pace.
DCTs are particularly adept at designing application-specific integrated circuits (ASICs), programmable circuits (FPGAs), and embedded software, which are critical in these technologies. Through these technologies, growth in the automotive and AI industries is expected to be high in the future.
🟦 Summary
The acquisition of Dream Chip Technology by Tesolv, a Hero company, is a significant move driving growth in the semiconductor market in India and Europe. In particular, technological enhancements in the automotive sector are expected to provide strategic benefits for both companies.
Just as Indian automaker Tata Motors acquired Jaguar Land Rover in the UK, there may be more opportunities for Indian companies to acquire European companies in the semiconductor field in the future.
