Global auto tech group Aptiv invests $45 m in Chennai manufacturing expansion

G Balachandar Updated - August 13, 2024 at 07:26 PM.
(From left) Matthew Cole, Sr. Vice President & President, Global Advanced Safety & User Experience (AS&UX), Aptiv, and Vinod Sahay, President and Chief Purchasing Officer of Mahindra & Mahindra, during the inauguration of Aptiv’s newly expanded plant near Chennai

Dublin (Ireland)-headquartered Aptiv Plc (formerly known as Delphi Automotive) has expanded its manufacturing operations in Oragadam, near Chennai, with a $45 million investment as the global automotive technology group responds to the growing demand for parts for software-defined vehicles (SDVs) in India.

The Chennai facility now includes an additional 220,000 sq ft of production space, dedicated to providing automotive manufacturers with powertrain-agnostic, software-defined cockpit solutions. This expansion will also double the workforce at the plant to approximately 230 employees.

Matthew Cole, Senior Vice President & President of Advanced Safety & User Experience (AS & UX) at Aptiv, said in an interview with businessline that the new plant will be equipped to architect, design, and manufacture next-generation, high-performance software-defined integrated cockpit controllers specifically for the Indian market. He noted that just as electric vehicles transformed the industry a few years ago, the shift towards software-defined vehicles is now underway.

Cole explained that Indian automotive OEMs are increasingly focusing on enhancing the user experience inside vehicles, making it a key competitive factor. This trend is driving the need for advanced features like multiple cameras (both inward- and outward-facing), streaming devices, and rear-seat entertainment systems. These features require high-performance computing and sophisticated architectural design, enabling updates and new features even after the vehicle is sold. With the rise of advanced driver assistance systems (ADAS) in India, functions such as blind spot detection and automatic emergency braking are also becoming essential.

“However, simply adapting global systems for the Indian market often falls short,” he stated. “A tailored solution is essential, which is why our investment focuses on designing, developing, and manufacturing these products in India. Our scalable and flexible systems are designed at our technical centre in Bengaluru and will be manufactured in Chennai, specifically for the Indian market. It’s a ‘Made in India for India’ approach.”

key differentiator

The $20 billion Aptiv’s key differentiator, particularly in advanced safety and user experience, lies in its end-to-end control of the entire process—from sensors to hardware. About a year and a half ago, Aptiv acquired Wind River, a company specializing in operating systems. “We integrate this with our algorithms, middleware, and user interface,” Cole said.

“With Wind River, we also have the capability for over-the-air updates. This allows us to offer a fully cloud-native edge processing solution, from sensors to the cloud. Owning this entire stack is unique in the market. Unlike other tier-one suppliers that rely on various partners—leading to inefficiencies and added overhead—we control the complete system,” he added.

The Chennai plant is designed with scalability in mind. Initially focused on integrated cockpit controllers and software-defined user experiences, the facility also can produce ADAS systems, radars, cameras, and other ECUs. This setup not only serves the Indian market but also positions Aptiv to export products from India.

Since 1995, Aptiv has established a strong presence in India with seven manufacturing plants, three technical centres in Bengaluru, Chennai, and Pune, and a global tooling centre. These facilities focus on Advanced Safety & User Experience, Connection Systems, and Electrical Distribution Systems. It employs about 13,000 people in India

“Our business is well-balanced across North America, Europe, and Asia, with roughly one-third of our revenue coming from each region. India plays a crucial role in maintaining this balance,” Cole added.

Published on August 13, 2024 13:28

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