NIO invests €158 million in semiconductor maker Changxin Technology

Electric vehicle manufacturer NIO has confirmed its strategic investment in Chinese semiconductor maker Changxin Technology. NIO participated in Changxin Technology's Initial Public Offering (IPO) through a strategic placement, investing €158 million (approximately 1.7 billion yuan) for a 0.27% stake in the company.

NIO is noted as the sole new energy vehicle enterprise on Changxin Technology's strategic placement list. The company stated that this is not merely a financial investment but a move to bolster the supply chain for in-car storage chips, targeting the provision of automotive-grade LPDDR products.

William Li, NIO's founder, Chairman, and CEO, attended Changxin Technology's listing celebration dinner in Shanghai. He previously indicated that NIO is also a cornerstone strategic partner for Changxin Technology, with collaborations focusing on automotive-grade LPDDR4X and LPDDR5X products.

The demand for DRAM memory chips in vehicles is growing significantly due to increased digitalization and the development of autonomous driving features. NIO's investment aims to secure a stable supply of these crucial components and enhance supply chain resilience for its automotive needs.