Ambarella FQ3 ‘25 results – CV5/7 processors for ADAS driving business.
While FQ3 automotive revenues were down, and L2 adoption remains slower than expected, Ambarella remains optimistic about the long-term potential of the CV5/7 processor platform and the L2+ market. CV5 shipped over 1Mu, with ASPs between $25 and $50. Europe remains a key market for Ambarella with China only accounting for 15% of the automotive pipeline. The company recently announced a design with Lotus and has historically been a major player in the automotive aftermarket. Ambarella shows that there is room in the ADAS space for smaller players and lower cost alternatives to Mobileye, Qualcomm and Nvidia.
Mercedes is betting on China’s Momenta to win back market share in China, with a planned investment and 4 new models to use the autonomous start-up’s software.
Mercedes had invested in Momenta since 2017, but this is one of the first jointly announced projects and shows a shift in strategy of the European automakers from relying purely on Mobileye or internally developed software to starting to use other alternatives for ADAS software, especially in the cost sensitive China market.
Qualcomm has set new growth targets for segments beyond mobile phones, including a $8B automotive revenue target by FY29.
Qualcomm is projecting automotive revenue growth to $8B by FY2029, part of a $22B IOT business in a projected $900B “edge’ TAM. Qualcomm has had a growing automotive business in Infotainment segment and is the dominant SoC supplier for higher-end platforms in that space. They are also gaining traction in the ADAS space with many designs for L2+/L3 systems in the pipeline.
Uber is looking at an investment in China’s Pony.ai US IPO and using the technology outside the US. As Robotaxis start coming to market, Uber needs to expand beyond its driver based model to include driverless options. At one point they had been developing their own solution, but that was cancelled due to cost and legal issues. Another option is to partner with full-robotaxi providers, like they are already doing with Waymo, Wayve and WeRide in some cities. Pony gives them another option in China.
Magna enhances ADAS capability by joining 5G partnership. The Northstar partnership with Telia and Ericsson helps support Magna’s V2V and V2X developments enabling low latency Gbit speeds. Fast network speeds and quick response times are essential for timely alerts to drivers, preventing accidents, and minimizing their impact. Magna will install the 5G network at their Swedish test track to continue development of this technology. V2V/V2X has yet to be widely deployed, however, it has the potential to be an important part of the overall ADAS system.
DeepRoute.ai, a Shenzhen-based autonomous driving technology startup, raised $100 million from Great Wall Motor.
The startup aims to get its automated driving systems into as many vehicles in China as possible, before Tesla takes off in 2025. Deeproute is backed by Alibaba and had originally developed an L4 Robotaxi. The company shifted its focus to L2+/L3 systems in 2022 and has its system deployed in about 20,000 vehicles today with a goal to get to 200,000 systems by the end of 2025, including Greatwall and Mercedes vehicles. Tesla FSD is likely to get approval in China and Europe this year, so other manufacturers are looking at alternatives for competitive systems, and the China developed software seems to be taking off.
Pony.ai gets $70M investment from BAIC.
Earlier in November BAIC announced collaboration with Pony for L4 autonomous driving with a first batch of Robotaxis set to launch in 2025. Pony is also developing Robotaxis with GAC.BAIC is one of the top 10 Chinese automakers, based in Beijing and has partnerships with Daimler and Hyundai.
Baidu launches Apollo 10 platform for AD development.
Baidu had been one of the early developers of AD systems and its latest Apollo platform includes a level 4 stack that can run on a single Nvidia Orin NPU. The platform also includes LiDAR perception and integrates with the ROS ecosystem for easier deployment onto edge hardware. Many automakers have used the Apollo system, including Toyota, Geely, Daimler, BMW, Hyundai and Ford.
Lumissil controller for Matrix Adaptive Beam headlights – increases visibility while reducing glare. NHTSA is allowing the use of adaptive driving beam headlights in the US which will help improve nighttime driving safety and ADAS performance in the US market, while reducing on-coming glare, however the early ADB systems mostly used mechanical systems to control the beam. Matrix LED headlights represent a more advanced version of ADB allowing for finer control. Lumissil’s controller allows for pixel level control with a CAN interface to a master controller and facilitates synergy between the ADAS and ADB systems. Integration of the lighting and ADAS system will become increasingly important on next generation ADAS designs that need improved nighttime performance.
