Key takeaways
- Momenta’s technology will be fully integrated into four forthcoming Mercedes-Benz cars as the company looks to expand in China.
- Early next year, Momenta is expected to go public, and the German company is well-positioned to be a major investor.
- In 2017, Mercedes made its first-ever investment in a Chinese business by supporting its partner.
In an effort to serve as the impetus for a fresh push into the Chinese market, Mercedes-Benz is keeping up its investment and support of Momenta.
With plans for at least four new car types to employ its partner’s software, the well-known German automaker is expected to invest an additional $75 million in the autonomous driving technology supplier.
In 2017, Mercedes-Benz made its first investment in a Chinese business, supporting Momenta.
The software company will serve as a key supplier to its more prestigious partner in the recently announced business, serving as a unique selling point and feature for Mercedes automobiles.
Although a link was formed from the beginning of the relationship seven years ago, including financial support from the west to the east, this most recent development seems to indicate a change in gears, with increased cooperation between the two groups.
Although the entire concept is still unknown, a public announcement is anticipated shortly.
Looking Beyond China at Momenta’s ADAS Technology
Similar to Tesla’s semi-autonomous self-driving assistance spectrum, Momenta has emerged as one of the top suppliers of advanced driving-aided system (ADAS) features.
With an eye toward the Chinese company’s impending initial public offering (IPO), which is scheduled for the first quarter of next year, Mercedes is reportedly planning to invest $75 million in Momenta with the possibility of more funding, according to sources close to the story.
At least four models of the ADAS technology will be introduced in China over the course of the next three years, and discussions about extending the program are still underway.
The businesses are also investigating if Momenta’s technology may be used in Mercedes models sold in foreign countries.
