The news of NavInfo's $600 million acquisition of 100% equity of Jeff Technology has attracted many eyeballs and triggered frequent discussions. This acquisition is an important measure to be implemented under the framework of the deep strategic cooperation between NavInfo and MediaTek. NavInfo has formed an alliance with MediaTek to jointly collaborate in the development of car networking and automotive electronics business.Besides, NavInfo, MediaTek and Jiefa Technology have signed a strategic cooperation agreement, with MediaTek continuing to support Jie. In order to develop technology, the three parties jointly develop market opportunities in the areas of in-vehicle entertainment information systems and autonomous driving.
With the networking of cars and hot driving of unmanned driving topics, NavInfo's new move is not without exaggeration. Why does the company choose to develop such a large-scale strategic cooperation with MediaTek? The author analyzes that there are the following four reasons.
New NavInfo Needs for Transformation and Development In recent years, NavInfo has continued to promote the navigation of electronic map business, and at the same time it has made the business of car networking an important strategic direction. According to the 2014 annual report newly released by NavInfo, the growth of the connected-vehicle network business has been significant in the past year, an increase of 78.76% compared to the same period of last year, and the proportion of total operating revenue has risen to 41.43%.
Currently, NavInfo has completed the layout of the car networking ecosystem from traditional maps to dynamic content, cloud platform services, in-vehicle operating systems, hybrid navigation, and vehicle-to-vehicle interconnection solutions, and has established itself as the first vertical integration service provider for vehicle networking in China. The status of the industry.
The reorganization will enable NavInfo's new industrial chain to be extended to key automotive chip links and thoroughly link the software networking to the hardware and top-to-bottom car networking business chain. Through multi-faceted and full cooperation of strategy, business, and R&D, NavInfo's new data software products and Jiefa Technology's chip hardware products will truly realize the integration of software and hardware and provide a one-stop solution.
Establishing Better Big Data Collection and Analysis Capability The new development of NavInfo has been a truly cross-border company and it has accumulated a wealth of big data information with map data as its entrance, and has the ability to collect big data. Processing and publishing capabilities.
After reorganization and integration, NavInfo can make full use of the existing channel advantages of MediaTek and Jeff Technology, and increase the number of new users of the Vehicular Network Product Group by several million orders of magnitude each year. In the past, NavInfo has a large amount of dynamic user travel data. Based on the above data, we have obtained more core data on vehicles such as car bodies, user driving behaviors and driving preferences. This will enable NavInfo to have big data capabilities based on location services of owners and vehicles as well as automatic driving.
By adopting deep learning and artificial intelligence technology to mine big data, NavInfo can obtain greater commercial innovation and development opportunities in UBI insurance, vehicle diagnosis, maintenance, and even automotive e-commerce.
According to the analysis of the development trend of automotive intelligence, it is believed that more than 90% of the technological innovations in the automotive industry will be concentrated in the field of automotive intelligence, and as the automobile develops from functional to intelligent, the electronic level will become higher and higher. .
According to data from Deloitte Consulting, the scale of global automotive electronics in 2016 is expected to reach US$234.8 billion, and the CAGR of 2012-2016 will reach 9.8%. Among them, the size of China's automotive electronics market is expected to be US$74.06 billion, with a compound growth rate of 14.6% over the same period. The strong growth of automotive electronics will boost the penetration rate, and it is expected that by 2020, the penetration rate of automotive electronics will increase from 30% at present to more than 50%.
However, as we all know, automotive electronics products have entered the automaker's R&D cycle very long. It takes a total of 5-6 years from initial communication to evaluation, integration and development, to the addition of production lines and mass production. After NavInfo and Jiefa Technology provide a one-stop solution, they will shorten the development and customization cycle for depot customers, greatly reduce the integration difficulty and cost for automakers and solution companies, and at the same time, they will also enable integration at the chip-level integration level. The product achieves the best performance and performance.
The Future of Automated Driving Automated driving has become an important area where global auto makers, Internet giants, and chip vendors compete with each other. The key links include high-precision maps, algorithms and artificial intelligence, sensor technology, chips, power control, and vehicle manufacturing. ,
Car manufacturers are represented by BMW, Volkswagen, etc. With a deep understanding of the automobile, they hold the driving rhythm of autonomous driving and driverless cars. The Internet giant is represented by Google and uses super-computing capabilities such as high-precision maps and artificial intelligence. The hardware platform provides autopilot solutions with a laser point cloud as the core; while the chip makers represent Nvidia and MobileEye, and they hope to provide a combination of sensors and chip computing capabilities and algorithms as the core to provide an integrated auto-driving solution for hardware and software. .
Compared with the above six key links, it can be seen that NavInfo has accumulated considerable technology in high-precision maps, algorithms, and artificial intelligence. After the acquisition of Jiefa Technology and continuous support from MediaTek, NavInfo will obtain highly scarce chip technology R&D resources in China, supplemented by the Vehicular Network System platform to form a unique auto-driving solution, and become a domestic auto-driving field. The important force. While other domestic manufacturers want to duplicate this model, the difficulty will be very great, so NavInfo has already achieved one step ahead and is expected to occupy a place in the world.
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