HARMAN to Acquire ZF's ADAS Business in €1.5 Bn Deal It is expected to close in the second half of 2026, subject to regulatory approvals.

By Entrepreneur Staff

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HARMAN International has announced an agreement to acquire the Advanced Driver Assistance Systems business of Germany-based ZF Group in a deal valued at €1.5 billion. The transaction includes ZF's automotive compute solutions, smart cameras, radars and ADAS software functions.

It is expected to close in the second half of 2026, subject to regulatory approvals.

The acquisition marks a significant step for HARMAN as the global automotive industry moves toward software defined vehicles. Automakers are increasingly shifting to centralised electronic architectures where multiple vehicle functions are managed through shared computing platforms. By bringing ZF's ADAS capabilities into its portfolio, HARMAN aims to strengthen its position in this evolving market.

HARMAN said the deal will allow it to integrate advanced driver assistance technologies with its existing digital cockpit and in vehicle systems. The company believes this approach can simplify vehicle design and support the development of safety features and user experiences on a common platform. Such integration is seen as important as vehicles become more connected and reliant on software updates over their lifetime.

Christian Sobottka, CEO and President of HARMAN's Automotive Division, said, "The industry is at an inflection point where safety, intelligence, and in-cabin experience must come together through a unified computing architecture." He added that the acquisition would help the company expand its capabilities across assisted driving, safety and personalised vehicle experiences.

For ZF, the sale represents a strategic decision to focus on its core technology areas while also addressing financial priorities. Mathias Miedreich, Chief Executive Officer of ZF Group, stated that the agreement supports ZF's efforts to reduce debt and sharpen its focus on areas where it holds global leadership.

As part of the transaction, around 3,750 ZF employees across Europe, the Americas and Asia are expected to move to HARMAN once the deal is completed. Both companies said they will continue to support existing customer programs during the transition period.

HARMAN plans to align engineering and software teams after closing to accelerate the development of next generation platforms for automakers. The company is a wholly owned subsidiary of Samsung Electronics and already supplies in cabin technology and audio systems to millions of vehicles worldwide.

The acquisition reflects broader changes in the automotive sector, where traditional hardware focused suppliers are adapting to a future shaped by software, centralised computing and connected mobility.

Entrepreneur Staff

Entrepreneur Staff

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