New JV in Automotive Cyber Security: VW-CyMotive Technologies
Security is at the forefront of OEMs’ agenda as vulnerabilities and car hacks in Connected Cars are real and imminent. What is more, with Level 3 automation expected to hit the road next summer and V2V on the agenda, carmakers need expertise to protect the vehicles’ augmented attack vector.
In this direction, Volkswagen and Israeli start-up CyMotive Technologies formed a Joint Venture to develop automotive cyber security solutions that would protect Connected and Autonomous cars from malicious attacks. CYMOTIVE Technologies is a newly founded company based in Herzliya, Israel and led by Yuval Diskin, Tsafrir Kats and Dr Tamir Bechor.
The news come almost one month after two UK-based computer experts revealed that over 100 million cars sold by Volkswagen since 1995 are susceptible to hacking due to security flaws in keyless entry systems.
Volkswagen will own 40% stake while the Herzliya-based partners 60% and will be working exclusively with VW for the foreseeable future but with a view to target more OEMs at some point.
“It is a long-term investment in cyber security to make vehicles and their ecosystem more secure” Volkswagen’s Head of Electrical and Electronic Development Dr Volkmar Tanneberger commented.
Auto2x believes that this development confirms Israel’s status as a leading hub in Automotive Cyber Security as many Israeli start-ups are have been in the epicentre of investment, M&A and partnerships in this segment. In the beginning of the year, Argus Cyber Security announced a partnership with Check Point and earlier with Magna. In late 2015, TowerSec and RedBend were acquired by Harman. Finally, this summer, Karamba Security launched its CarWall software.
‘’The expansion of the vehicle’s attack surface means that many OEMs will have to rely more on automotive cyber security companies with expertise in this field, since most Tier-1s’ expertise is also limited. The outcome will be the formation of new partnerships, M&A and further investment in the Automotive Cyber Security market.’’
Georgios Stathousis, Auto2x
To find out who are the leading suppliers of software, hardware solutions and services in Connected Car Security and a competitive assessment of their portfolio read our report Automotive Cyber Security Market Forecast: the secure Connected Car.