Magna Acquires Optimus Ride, Expanding Autonomous Vehicle Capabilities

Magna Acquires Optimus Ride’s Autonomous Technology

Magna has completed the acquisition of the technology, intellectual property, and assets belonging to Optimus Ride. This Boston-based startup was focused on the commercialization of electric, self-driving shuttles.

The agreement, revealed on Tuesday, included the onboarding of over 120 former Optimus Ride employees by Magna. Specific financial details regarding the transaction were not publicly released.

Optimus Ride Operations to Cease

Sean Harrington, the former CEO of Optimus Ride, will not be joining Magna as part of this acquisition. Consequently, Optimus Ride will be discontinuing its operations.

Strengthening ADAS Capabilities

Magna intends to integrate the acquired technology and expertise to enhance its capabilities in advanced driver assistance systems (ADAS). Demand for these technologies is currently experiencing significant growth.

The company has actively sought to expand its ADAS portfolio. Previously, Magna attempted to acquire Veoneer, a Swedish automotive technology firm, but was ultimately outbid by Qualcomm.

Qualcomm subsequently purchased Veoneer’s Arriver technology – a comprehensive ADAS stack encompassing both sensors and software. The remaining Tier 1 supplier businesses of Veoneer were acquired by SSW Partners.

Boston Engineering Center Established

“Expanding our engineering team’s capabilities in sensing hardware and software will expedite our progress within the rapidly expanding ADAS market,” stated John O’Hara, President of Magna Electronics.

The engineers formerly employed by Optimus Ride will continue to be based in Boston. Magna will utilize this team to establish a new engineering center in the city.

This new location is expected to aid in attracting additional talent specializing in software and robotics.

Future Growth and Customer Needs

“With the ongoing advancements in autonomous technology, we identified an opportunity to incorporate further expertise to support existing projects and anticipate future customer requirements,” O’Hara further commented.

“We are pleased to welcome the Optimus Ride team to Magna.”