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Cisco and Hyundai to Bring SDN to Cars

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Cisco and Hyundai to bring SDN to cars

Cisco (CSCO) is partnering with Korean carmaker Hyundai to develop next-generation vehicles using its software-defined network (or SDN) platform. Hyundai plans to launch these new hyper-connected cars in its premium models in 2019. The companies first teamed up in 2016 to make a mark in the auto industry and develop new connected smart vehicle solutions.

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Services to be offered

The collaboration of these two companies would create a secure platform and would enable sensor integration, hardware and software integration, end-to-end networking, and security. The new platform would offer high-speed service like 1 Gbps Ethernet, which would significantly increase its in-vehicle bandwidth.

Together, they expected to facilitate data processing inside the car, enable software upgrades, and communicate with smart parking meters, traffic signals, and toll gates.

Transition to AI and IoT

The semiconductor industry is transforming to AI (artificial intelligence) and IoT (Internet of Things). Within the industry, the autonomous and connected cars segments are growing most prominently.

According to IC Insights’ prediction, integrated circuits (or IC), which are used in automobiles, are expected to generate worldwide sales of $42.9 billion in 2021 compared to $22.9 billion in 2016. IoT IC sales are projected to reach $34.2 billion in four years compared to $18.4 billion in 2016.

Companies to invest in autonomous technology

Recently, several tech giants have collaborated with some automakers to expand in the growing autonomous driving market. Alphabet’s (GOOGL) Google and Tesla (TSLA) are trying to capture autonomous capabilities. Intel (INTC) and Nvidia (NVDA) are teaming up with some automakers to offer autonomous vehicle technology.

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