Kontron secures automotive industry contract

Valued at approximately $250 million, this agreement further strengthens Kontron's position as a trusted IoT technology partner in the automotive industry.

This contract highlights Kontron's expertise in high-performance computing solutions for the next generation of connected and autonomous vehicles. Under the agreement, Kontron will supply 5G-based Network Access Devices (NADs), supporting the automotive industry's transition to cutting-edge 5G technology. As 5G adoption accelerates, these modules are essential for vehicle-to-vehicle and vehicle-to-infrastructure communication. Ramp-up of production will be in 2026. The expected revenues of $250 million will be delivered within 7 years or faster.

Kontron is the only European 5G modules supplier worldwide. The achievement was supported by Kontron's strategy, announced in September 2024, to develop and manufacture 5G modules entirely in Europe. Kontron ensures compliance with the strictest European regulations at a time when the origin and security of technologies are becoming increasingly important. This move is promoting Europe's technological independence and increasing the stability of the supply chain.

"We are excited to further expand our presence in the automotive market with this major contract," said Hannes Niederhauser, CEO of Kontron AG. "Our 5G IoT technology, developed and manufactured exclusively in Europe, is key to enabling the next generation of connected and autonomous vehicles as the automotive sector increasingly relies on 5G for faster and safer data communication."

The market for 5G automotive NAD modules is expected to reach a cumulative volume of more than $10 billion by 2030. Kontron is well-positioned to meet the growing demand for vehicle electrification, connectivity, and automation. This contract further solidifies Kontron's role in the global automotive supply chain and reinforces its reputation for technological excellence and customer-focused innovation. As the industry evolves, Kontron's solutions will continue to drive improvements in safety, efficiency, and the overall driving experience.