Mercedes spins off chip unit into new “Athos Silicon” firm

Mercedes-Benz has spun off a team of chip engineers in Silicon Valley into a new company, Athos Silicon, which will focus on building energy-efficient computing systems for self-driving (driver less) cars, drones, and other vehicles.

The Santa Clara-based firm will incorporate engineers who spent the past five years at Mercedes-Benz Research & Development North America designing chips tailored for automotive use. As part of the deal, Mercedes-Benz is transferring intellectual property created by the group along with what it described as a “significant” investment, though financial details were not disclosed.

Athos is developing chip technology designed to meet the stringent reliability standards of the automotive sector while sharply reducing power consumption. Traditionally, critical self-driving functions rely on multiple chips to ensure redundancy in case of failure. The Athos team has devised a method of using “chiplets,” small chip components bound together within a single package, which can deliver equivalent reliability.

According to Athos Chief Executive Charnjiv Bangar, keeping the components in one package enables the system to consume 10 to 20 times less power than separate chips communicating across a circuit board. Such efficiency is considered crucial for electric vehicles, where computing resources compete with propulsion systems for limited battery capacity. “For an electric future, electricity is a new currency,” Bangar said.

Athos plans to raise additional venture capital from outside investors. While Mercedes-Benz will retain a minority stake, the company will operate under an independent board. Bangar stressed that independence is essential to allow Athos to collaborate with multiple automakers, including potential Mercedes competitors.