Lear Corporation, a global automotive technology leader in seating and electrical and electronic systems, has acquired Seattle-based Xevo, a leading automotive software supplier that develops solutions for cloud, car, and mobile devices.
Xevo’s Journeyware suite of products combines a user-friendly interface with a cloud-based framework that allows drivers to seamlessly interact with in-car content and mobile applications utilising real-time data. Xevo Market, an automotive commerce and services platform, connects consumers with popular food, fuel, parking, hotel, and retail brands through in-vehicle touchscreens and OEM-branded mobile applications.
“The acquisition of Xevo broadens Lear’s connectivity portfolio, bringing together Xevo’s leading e-commerce vehicle platform technology with Lear’s expertise in electronic systems,” said John Absmeier, Lear’s Chief Technology Officer. “Xevo’s user interface establishes a connected marketplace for consumers in their vehicles, unlocking previously unrealized value from vehicle data and opening up new revenue streams.”
Xevo’s technology is currently available in over 25 million vehicles located primarily in the US, with significant opportunity for expansion not only in North America, but also in Asia and Europe.
“Automakers have embraced the potential of Xevo’s e-commerce platform, as well as the deeply customizable driver experiences made possible by Xevo’s artificial intelligence technology,” said Dan Gittleman, Xevo’s Chief Executive Officer. “Today, with Lear’s reach, we can scale Xevo’s innovative technology and business model to a global customer base.”
Lear will acquire all the outstanding shares of Xevo for $320 million.
“With the acquisition of Xevo, Lear advances its leadership position in the global trends reshaping the automotive industry,” said Ray Scott, Lear’s Chief Executive Officer. “This transaction is consistent with our stated capital allocation strategy. It allows us to enhance our capabilities in software, services, and data analytics and strengthen our market position in connectivity. Xevo’s world-class team will bring an invaluable pool of experience and expertise to our organization, and I am delighted to welcome them to the Lear family.”