Samsung Electronics is strengthening its position in the automotive components market following its decision to acquire the Advanced Driver Assistance Systems (ADAS) division of Germany’s ZF Friedrichshafen, The Wall Street Journal reports.
The acquisition will be carried out through Harman International, Samsung’s automotive and audio components subsidiary, for €1.5 billion (around $1.76 billion). The move aims to expand Samsung’s technological base to deliver “safer, smarter, and more intuitive” in-vehicle experiences.
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The transaction is subject to regulatory approvals and is expected to close in the second half of 2026, according to a separate statement from ZF.
Since Samsung acquired Harman in 2017, the subsidiary has expanded its automotive and audio business from $7 billion to more than $11 billion in annual revenues. The addition of ZF’s ADAS division is set to further strengthen Samsung’s capabilities in connected and assisted vehicle technologies.
For ZF, a key supplier to automakers such as BMW and Volkswagen, the deal will help reduce debt and allow the company to focus on its core technologies. The German supplier has announced thousands of job cuts in recent months, as European auto parts makers face slower-than-expected adoption of electric vehicles and growing competition from China.
Photo: Wirtschafts Woche
