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Japanese automotive parts maker Denso (OTCPK:DNZOF) (OTCPK:DNZOF) said it will invest about 500B yen ($3.3B) in semiconductors and software by 2035 as it aims to triple the scale of the business from the current level.
“To expand production, we must ensure stable procurement of materials. Thus, we will forge strategic partnerships with various companies,” said Denso’s President and COO Shinnosuke Hayashi at a press conference at JAPAN MOBILITY SHOW 2023.
Denso, a Toyota group (TM) (OTCPK:TOYOF) supplier, noted that it will accelerate the planning of electronic platform and over-the-air technology development based on user needs while bolstering partnerships with several customers and promote integrated development across companies.
Hayashi added that the company will increase the number of software engineers and improve their skills and integrate two group companies, NSITEXE — which specializes in the semiconductor intellectual property — and AUBASS, which specializes in developing basic in-vehicle software, into Denso.
The company has been ramping up its chip business in recent years. Last year, Denso said it would take a stake in a chip facility Taiwan Semiconductor Manufacturing (TSM) is building in Japan with Sony (SONY) (OTCPK:SNEJF), as per a Reuters report.
