FPT has announced the establishment of the FPT Automotive company in Texas, in a bid to conquer the billion-dollar automotive software market.

FPT Automotive aims to become a software product and services provider for the auto industry by 2030.

Software has played an increasingly important role over recent years in the outstanding development of motor vehicle lines in particular and the automotive industry in general. It also increases the user experience and helps manufacturers earn more revenue and post higher profits.

Modern vehicles now have nearly 100 electronic control units, requiring up to 100 million lines of code.

Software, along with sensors and similar components, is forecast to account for about 50 per cent of vehicle costs by 2030, or more than double the 20 per cent in 2020.

The global auto industry is expected to spend more than $238 billion a year by 2030 as it transitions from vehicles with combustion engines to electric vehicles.

Recognizing the future of the automotive software industry and investing more thoroughly in the field, FPT decided to establish FPT Automotive in the US, which will focus on key markets such as the US, the EU, Japan, South Korea, China, and Vietnam.

It will respond to the transformation of the auto industry and provide new values, such as increasing the speed of bringing products to market, expanding coverage, and increasing product development efficiency for vehicle manufacturers globally.

“With many years of experience in the automotive industry, a large pool of talented human resources, the latest technologies in the automotive field, such as AI and super cloud computing and computer vision knowledge, and with cooperation with famous corporations like Landing AI while investing in companies with more than a year of developing embedded software, IoT, and mobile products, we look forward to accompanying leading OEMs (Original Equipment Manufacturers) to accelerate the development of the automotive industry, an industry that is being determined by software,” said Mr. Truong Gia Binh, Chairman of FPT.

Ms. Chu Thi Thanh Ha, Chairwoman of FPT Software, said automotive technology is one of company’s important areas of development. “FPT’s new company is affirmation of our investments in new technology and work with leading experts to create products and services that meet the needs of global markets and customers,” she added. “At the same time, it also contributes to promoting the growing development of the automotive technology industry.”

“Over the next five years, we look forward to collaborating with global leaders in the automotive technology sector to enhance our product portfolio, with a focus on automotive audio, intelligence integration AI into solutions for SDV, develop CDC solutions, and have a complete AUTOSAR platform to ensure end-to-end development,” said Mr. Nguyen Duc Kinh, General Director of FPT Automotive.