As a world-renowned auto parts supplier, Visteon has achieved great success in air conditioning systems and is now trying to reach out to the rapidly growing market for innovative products such as advanced collision avoidance technology. To be precise, Visteon is considering adding night-vision technology and vehicle-to-infrastructure communication technology to its range of products.
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In a telephone interview, Visteon CEO Sachin Lawande said that they did not plan to develop a complete anti-collision system, because with parts suppliers such as Continental, ZF Tianhe Automobile Group, and Japan Denso. The competition lacks advantages. Visteon focuses on the pursuit of product features that are profitable, such as night vision, communication between vehicles and infrastructure, and data sharing between vehicles and vehicles.
Visteon has carefully selected key R&D projects and focused on innovative technologies that still have room for improvement. Visteon hopes to acquire some core technologies through acquisitions; at present, there are still some shortcomings in their expertise in three to four technologies, and the acquisition of related R&D companies will help solve problems at an early date. Visteon recently conducted a $3.6 billion deal to sell a 70% stake in Halla Visteon Air Conditioning to the Hahn & Company Private Equity Foundation and Hankook Tire. Most of the funds will be returned to investors, but Visteon still has enough funds to complete the acquisition of other companies.
Visteon was independent from Ford Motor Company in 2000, manufacturing products including glass, air conditioning systems, bumpers, fuel tanks, steering system components, car audio and video entertainment systems, navigation systems, headlights and other components. The company now focuses on six technologies related to driving control: instrument panel combinations, head-up displays, information display devices, infotainment systems, connected radios and telematics systems. In order to remain competitive in the forefront, Visteon is developing new technologies for gesture control and line-of-sight tracking to better assist driver control and improve driving safety and comfort.
In the gesture control system, the infrared camera in the cab tracks the driver's hand movements, and can control navigation, audio players, air conditioners, etc. without directly touching the physical buttons. Some other manufacturers are also developing gesture control technology. For example, in the 2016 BMW 7 Series sedan, the driver only needs to turn the finger clockwise to increase the volume of the player. It is expected that after about five years, the price of the gesture control system will be cheap enough to be widely applied to conventional models, and Visteon hopes that its products will be successfully marketed at that time.
Visteon Sight Tracking System HMeye is a very promising technology that uses an infrared camera to track the driver's line of sight. With a look at the icons on the dashboard, the driver can activate map navigation, music selection, phone contacts and more. For this innovative system, Visteon is likely to achieve technological breakthroughs in infrared cameras and software in the form of acquisitions.
Head-up display is also a very promising innovation. After acquiring Johnson Electric's automotive electronics business for $265 million last year, Visteon's head-up display expertise gained a qualitative leap. Visteon's commitment to a cost-effective head-up display system demonstrates its determination to change the traditional windshield as soon as possible. After five years, such products will enter the market, and it is not impossible to become a standard vehicle configuration.
In the near future, Visteon's biggest source of revenue is likely to be the new dashboard LightScape. LightScape has a reconfigurable display that can present information such as maps, audio, contacts, speedometers, tachometers, etc. The background software is automatically upgraded over a wireless network. Automakers can even provide a menu list from which drivers can choose their favorite dashboard appearance. Even if the driver wants to get the retro speedometer of the 1965 Mustang model, it can easily meet the wishes.
As the world's third largest dashboard manufacturer (the first two are Continental and Japan Denso), Visteon expects the success of research and development of innovative technologies to create greater value.
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