• | 3:00 pm

Wipro ties up with GM, Magna to build automotive software marketplace

Wipro said it will invest $5.85 million for a 27% stake in SDverse, with GM and Magna holding 46% and 27%, respectively

Wipro ties up with GM, Magna to build automotive software marketplace
[Source photo: Chetan Jha/Press Insider]

Leading technology services and consulting firm Wipro Ltd has tied up with General Motors (GM) and global automotive supplier Magna to build a business-to-business sales platform for buying and selling automotive software.

The joint venture, dubbed SDVerse, will offer “a matchmaking platform” for buyers and sellers of embedded automotive software, the companies said in a joint press release.

SDVerse, in a departure from the conventional captive software development method, aims to connect automotive software buyers and sellers through a transparent method, the press release said.

Sellers can list their software’s features and attributes, while buyers can explore available software products through a comprehensive catalogue, it added.

In a separate disclosure to the stock exchanges, Wipro said it will invest $5.85 million for a 27% stake in SDverse.

“Wipro’s step-down subsidiary, Wipro IT Services LLC, has entered into an agreement with General Motors and Magna International, who will hold 46% and 27% stake in SDVerse respectively,” the company said in its statement.

Prashant Gulati, a thought leader in software technology, will be chief executive officer at SDVerse, effective 5 March, the release said.

“Prashant has more than two decades of experience launching and leading automotive organizations,” it added.

“The market for automotive software is expected to nearly double this decade, potentially outpacing the growth of software development talent pools,” Harmeet Chauhan, global head at Wipro Engineering Edge, said.

“Automotive grade software development is rapidly transforming, and we all need to ask ourselves how we get customers really unique differentiating features faster. Part of that is identifying the common underlying code that can be shared in the name of higher quality and lower costs for our end customers,” said Dan Nicholson, vice-president for strategic technology initiatives at General Motors.

“This first-ever software marketplace creates an independent, industry-driven one-stop-shop for embedded systems software, significantly expanding access to new innovations, helping to drive down cost, and allowing companies like GM to implement critical software more quickly,” Nicholson added.

“Magna’s participation in SDVerse is driven by our ongoing commitment to foster collaboration and drive the automotive industry forward,” said Joerg Grotendorst, senior vice-president, corporate research and development at Magna.

“By embracing this innovative platform, we aim to create a more interconnected ecosystem that encourages original equipment manufacturers, suppliers, and specialty software developers to collaborate and co-create cutting-edge solutions,” Grotendorst said.

Konstantin Shirokinskiy, partner at global strategy consultant Roland Berger served as the project’s strategic advisor, said, “SDVerse offers a blueprint for OEMs and suppliers to address their embedded software needs more efficiently. It frees up scarce software engineering resources required to roll out new differentiated software features, reorganizes development timelines to more quickly develop better SW-enabled vehicles, and ensures software is valued properly.”

Top executives from GM, Magna and Wipro will participate in a livestream panel discussion on Thursday, 4 April, to provide further depth and insights into SDVerse, the press release said.

More Top Stories: