Porsche SE buys 10% of technology startup Inrix image

Porsche Automobil Holding SE, famously known for holding a large portion of the Volkswagen AG shares, made the latest move in line with a global trend: automakers investing in technology companies active in the automotive sector.

This is also Porsche SE’s first attempt at branching out after the move to fully takeover VW AG led to a huge scandal and the dismissal of the holding company’s management team at the time.

“Connectivity between cars and infrastructure is one of the important megatrends in the automotive industry,” said Philipp von Hagen, the Porsche SE board member responsible for investment management. “We see a tremendous potential in this segment.”

The US tech startup is specialized in analyzing crowd-sourced traffic information. The Kirkland, Washington-based provider sold a 10% stake for $55 million. The company, which takes data from connected cars, trucks and smartphones and compiles them to aid transport agencies analyze traffic flow data, already has a functional network in 40 countries, such as Russia, China, Brazil, Singapore, and the United Arab Emirates.

This is the latest move in Germany’s car industry desire to secure further expertise in software-based and technology businesses – just recently Daimler also bought mytaxi and RideScout, two smartphone applications.

Via Reuters, Bloomberg