This week, Honda R&D, of Redwood City, Calif.-based , a developer of smartphone apps for drivers, for an undisclosed amount. The deal is notable because it marks Honda鈥檚 first startup acquisition, according to a .
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Honda R&D is the Tokyo-based research and development subsidiary of Honda. Drivemode had raised just in funding from investors such as and since it was founded in 2014 by a team whose experience included time with and . It is now a wholly-owned subsidiary of Honda R&D.
In 2015, Drivermode released its flagship product (named after the company), an Android app that gives drivers the ability to control their cars without watching the app鈥檚 screen. Per the company鈥檚 , 鈥淒rivemode鈥檚 voice-enabled commands and large buttons鈥 let drivers focus on driving with the ability to 鈥渦se voice-control, a broad swipe, or a single tap鈥 to 鈥渕ove seamlessly between applications.鈥 Drivemode鈥檚 safe driving app has over 2.5 million downloads in 150 countries.
In a press release, Honda R&D said the goal of the acquisition was to 鈥渇urther strengthen Honda鈥檚 new value creation in the areas of digital and connected mobility products.鈥
The two entities had been working together and 鈥渃onducting joint development activities鈥 since 2015 through Honda鈥檚 Xcelerator program. The program is a collaboration between startups and Honda. Silicon Valley-based Honda Innovations, a subsidiary of Honda R&D, has led the global program.
Earlier this year, Honda stepped up its digital technology game when it established a 鈥淒igital Solution Center鈥 within Honda R&D.
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