[Alpha Biz= Paul Lee] Harman International, the automotive electronics and audio subsidiary of Samsung Electronics, is set to invest approximately EUR 131.18 million (KRW 230 billion) in Hungary to strengthen its position in Europe’s automotive electronics market.
According to the Hungarian Investment Promotion Agency (HIPA) on March 27, Harman will launch a project aimed at enhancing its research and development (R&D) and manufacturing capabilities in the country. The investment goes beyond expanding production lines, focusing instead on building an integrated ecosystem linking R&D and manufacturing across key locations—Budapest (autonomous driving software and hardware development), Székesfehérvár (autonomous system testing), and Pécs (production capacity expansion).
Hungary has served as a core manufacturing hub for Harman for over 30 years, with its facilities in Székesfehérvár and Pécs playing a central role in the company’s global production network.
The investment is also seen as part of Harman’s broader strategy to operationalize the technological capabilities acquired through its KRW 2.6 trillion purchase of German supplier ZF’s Advanced Driver Assistance Systems (ADAS) business unit in December last year.
Harman aims to establish an integrated production system capable of manufacturing a full range of automotive solutions—from its core products such as digital cockpits and in-car audio systems to advanced components including smart cameras and ADAS controllers—thereby strengthening its end-to-end autonomous driving solution capabilities.
The move is also expected to reinforce partnerships with global automakers such as Mercedes-Benz. Hungary serves as a strategic hub for European automotive manufacturing, hosting major production facilities for Mercedes-Benz, BMW, and Audi. By enhancing proximity to key customers, Harman seeks to improve its competitiveness in securing local contracts.
Furthermore, synergies between Samsung Electronics’ automotive semiconductors and display technologies and Harman’s software capabilities are expected to strengthen Harman’s position as a leading autonomous driving platform provider in the European market.
Harman reported strong performance in the fourth quarter of last year, with revenue reaching KRW 4.6 trillion and operating profit totaling KRW 300 billion, driven by expanded supply of automotive electronics products in Europe.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
