Toyota and Denso joint venture to create advanced semiconductors for AVs

Toyota and automotive component manufacturer Denso will form a new joint venture tasked with developing the next generation of in-vehicle semiconductors suitable for use in electric, connected and autonomous vehicles of the future.

In June 2018, Denso and Toyota agreed to consolidate the production and development of electronic components to Denso. The partnership has since decided to establish an entirely new company for the research and advanced development of in-vehicle semiconductors.

Denso agreed to accept equity participation from Toyota to help accelerate the new company’s development and knowledge from a mobility viewpoint. Through equity participation in the new company, Toyota will have access to cutting-edge semiconductor technologies when developing its mobility services and vehicles.

The new company will conduct advanced research on the basic structure and processing method of next-generation semiconductors and develop electronic components by implementing semiconductors, such as power modules for electric vehicles and periphery monitoring sensors for automated vehicles. Denso and Toyota will look to establish the joint venture by April 2020.

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