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ALISO VIEJO, Calif. - indie Semiconductor, an innovator in automotive technology, has teamed up with semiconductor manufacturer GlobalFoundries (NASDAQ:GFS) (market cap: $20.38B) to enhance its high-performance radar systems-on-chip (SoC), which are integral to advanced driver assistance systems (ADAS) and related industrial applications. According to InvestingPro data, GlobalFoundries stands as a prominent player in the Semiconductors industry, with annual revenue of $6.75B. The collaboration leverages GlobalFoundries’ 22FDX® platform to produce SoCs for 77 GHz and 120 GHz radar applications.
The 77 GHz radar SoCs by indie are geared towards applications that require long-range detection capabilities, such as forward collision warning and automatic emergency braking, as well as short-range functions like blind spot detection and automated parking. A Tier 1 automotive supplier is currently incorporating indie’s 77 GHz solution into products for multiple car manufacturers.
For in-cabin use, indie’s 120 GHz SoCs are designed to deliver high-resolution monitoring over shorter distances, capable of detecting precise movements and vital signs. The company has already made available the first samples of its 120 GHz solution, which supports compact antenna-in-package designs.
indie’s radar solutions, enabled by GlobalFoundries’ 22nm fully-depleted silicon-on-insulator (SOI) process technology, integrate various functions such as analog, digital, RF, power management, and memory. This strategic partnership aims to provide cost-effective, high-performance radar-based technologies for widespread use in the automotive and industrial mobility sectors. GlobalFoundries brings strong financial stability to this partnership, with a healthy current ratio of 2.11 and more cash than debt on its balance sheet, according to InvestingPro analysis.
Michael Wittmann, COO of indie, emphasized the established relationship with GlobalFoundries and the goal to maintain a technological edge in the competitive automotive industry. Ed Kaste, Senior Vice President at GlobalFoundries, highlighted the mutual benefits derived from the collaboration, which aims to deliver highly integrated silicon solutions that reduce system costs and power consumption.
The push for enhanced automotive radar systems is driven by global safety regulations, consumer demand, and the expectation that new vehicles will increasingly feature multiple radar sensors to support a variety of safety and convenience features.
This strategic alliance is expected to make critical safety technology more accessible in mass-market vehicles by offering solutions that prioritize performance without compromising on cost or system size. With GlobalFoundries currently trading near its 52-week low and showing signs of being undervalued according to InvestingPro’s Fair Value analysis, this partnership could present significant opportunities. Discover 10+ additional ProTips and comprehensive financial analysis in the Pro Research Report, available exclusively to InvestingPro subscribers.
The information in this article is based on a press release statement from indie Semiconductor.
In other recent news, GlobalFoundries Inc. reported its fourth-quarter earnings, surpassing analyst expectations with an adjusted earnings per share of $0.46, slightly above the consensus of $0.45. The company’s revenue for the same period was $1.83 billion, aligning with forecasts. Despite these positive results, GlobalFoundries’ guidance for the first quarter of 2025 was below Wall Street projections, with anticipated revenue between $1.55 billion and $1.6 billion, compared to the expected $1.66 billion. The company also provided adjusted EPS guidance of $0.24 to $0.34, missing the consensus estimate of $0.33.
For the full year 2024, GlobalFoundries reported a 9% decrease in revenue, totaling $6.75 billion, while adjusted net income fell 30% to $870 million. Nevertheless, the company generated over $1 billion in adjusted free cash flow during the year. Additionally, GlobalFoundries recorded a $935 million impairment charge in the fourth quarter related to legacy production capacity at its Malta, New York facility. CEO Thomas Caulfield expressed optimism for 2025, citing strong design win momentum across various markets and products.
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