onsemi and DENSO Strengthen Partnership for Advanced Driver Assistance Systems (ADAS)

onsemi and DENSO expand their partnership to advance autonomous driving and ADAS technologies. onsemi has supplied DENSO with intelligent automotive sensors for over a decade, and DENSO plans to acquire onsemi shares to deepen their collaboration. The partnership enhances vehicle intelligence, connectivity, and accident prevention technologies, supporting supply chain resilience for critical automotive semiconductors.

In a significant move to bolster their collaboration in the realm of autonomous driving (AD) and advanced driver assistance systems (ADAS), onsemi and DENSO, two industry titans, have announced plans to deepen their relationship [1][2]. This strategic alliance, which has been in place for over a decade, has seen onsemi supply DENSO with cutting-edge intelligent automotive sensors to enhance ADAS and AD performance [1][2].

The significance of this partnership lies in the increasing importance of intelligent sensing technologies in improving vehicle intelligence, connectivity, and accident prevention. With the global automotive semiconductor market expected to grow at a compound annual growth rate (CAGR) of 14.8% from 2022 to 2029 [3], the need for a robust and reliable supply chain for critical materials like semiconductors is more pressing than ever.

DENSO, the second-largest global supplier of automotive systems and parts, recognizes the importance of collaborating with industry leaders like onsemi. The company's President, Shinnosuke Hayashi, emphasized the need for a close partnership to ensure a reliable supply of critical materials [1]. Hassane El-Khoury, President and CEO of onsemi, expressed his confidence in DENSO's decision to work more closely with onsemi, citing the company's innovative capabilities, decades of expertise, and supply resilience in automotive technologies [1][2].

As a tangible sign of their commitment, DENSO intends to acquire onsemi shares on the open market, aiming to further enhance their long-term relationship [1]. This strategic move not only strengthens the partnership but also underscores DENSO's confidence in onsemi's growth potential and innovative capabilities.

In conclusion, the expanded partnership between onsemi and DENSO is a strategic move towards advancing AD and ADAS technologies. With the global automotive semiconductor market expected to grow at a significant rate, the need for a robust and reliable supply chain for critical materials like semiconductors is more pressing than ever. This partnership, which has been in place for over a decade, has proven to be successful in enhancing vehicle intelligence, connectivity, and accident prevention technologies, and is expected to continue to play a crucial role in supply chain resilience for critical automotive semiconductors.

References:
[1] onsemi and DENSO Collaborate for a Strengthened Relationship. (2024, December 16). Retrieved from https://www.onsemi.com/company/news-media/press-announcements/en/onsemi-and-denso-collaborate-for-a-strengthened-relationship
[2] DENSO and onsemi Collaborate for a Strengthened Relationship. (2024, December 17). Retrieved from https://www.acnnewswire.com/press-release/english/94648/denso-and-onsemi-collaborate-for-a-strengthened-relationship
[3] Global Automotive Semiconductor Market Size, Share & Trends Analysis Report By Type, By Application, By Vehicle Type, By Region And Segment Forecasts, 2022 - 2029. (2022). Grand View Research. Retrieved from https://www.grandviewresearch.com/industry-analysis/automotive-semiconductor-market