Aptiv completes acquisition of Wind River, CIOSEA News, ETCIO SEA
Aptiv PLC (NYSE: APTV), a global technology company focused on making mobility safer, greener and more connected, has completed the acquisition of Wind River®, a global leader in delivering software for the intelligent edge. Wind River software enables the secure development, deployment, operation and service of mission-critical intelligent systems. The company’s technology is in over two billion advanced devices across more than 1,700 customers in high-value industries, including aerospace and defense, telecommunications, industrial, medical and automotive.
“Across multiple industries, mission-critical applications are undergoing a digital transformation as devices become smarter and generate more data, creating a need for more intelligence at the edge and edge-to-cloud software solutions to unlock new business models,” said Kevin Clark , Aptiv’s chairman and CEO. “The automotive industry in particular continues to be transformed by the accelerated shift to software-defined vehicles. Empowering our customers to capitalize on this transition requires not only a next-generation hardware architecture, but also a cloud-based software architecture and an edge-to-cloud DevOps platform that puts accelerate software development, streamline deployment to vehicles and enable lifecycle management. With Aptiv and Wind River’s complementary portfolios and decades of combined experience delivering innovation in safety-critical systems, we will drive significant value for our customers.”
Wind River’s proven technologies have been applied across multiple industries to meet the challenges facing the automotive industry. By integrating Wind River Studio’s cloud-based software platform into Aptiv’s industry-leading Smart Vehicle Architecture™, Aptiv will enable customers to unlock the full potential of the software-defined vehicle throughout its lifecycle. The first release of the integrated end-to-end solution will be showcased in January at CES 2023.
The transaction is valued at $3.5 billion, rather than the original purchase price of $4.3 billion agreed upon in January 2022. Aptiv and the seller agreed to the modified purchase price, in part as a result of certain changes in Wind River’s current operating structure required to bring the regulatory approval process to a satisfactory conclusion. These changes will not affect the strategic direction of Wind River or our expectations for value creation, but will require certain one-time costs and recurring operating costs. The transaction is expected to contribute to adjusted earnings per share in 2023. The company will provide further details about the transaction in the fourth quarter results announcement on February 2, 2023.