Ambarella (AMBA) Gets ASIL C Certification for Its CV2FS SoC

Ambarella AMBA recently announced achieving a new milestone as the company received the Automotive Safety Integrity Level (“ASIL”) C certification for its CV2FS automotive AI perception system-on-chip (SoC) from the external auditor, exida.

Founded in 1999, exida is the world’s leading product certification and knowledge company specializing in automotive and automation system safety, alarm management, cybersecurity and availability.

Additionally, ASIL is a risk classification system, which has four standard levels – A, B, C and D. The system analyzes the design’s capability to detect and control random hardware failures based on safety mechanisms that are integrated into the SoC. Levels from A to D are assigned after evaluation, where A has the lowest product integrity requirement while D has the highest.

Therefore, the exida certification signifies that Ambarella’s CV2FS SoC meets automotive functional safety standards. Moreover, the certification will increase the adoptability of AMBA’s SoC as automotive and robotics original equipment manufacturers can now achieve high levels of safety with lesser complex system architecture. This will help them accelerate the time to market for their products while lowering the system cost and power consumption.

Ambarella revealed that its CV2FS edge AI SoC is available now for sampling and mass production.

Ambarella, Inc. Price and Consensus

Ambarella, Inc. price-consensus-chart | Ambarella, Inc. Quote

Ambarella Continues to Boost Camera-Based SoC Capabilities

With all automakers developing self-driving cars, there has been high demand for camera-based SoCs and computer vision technology in recent times. Ambarella, an AI silicon company, has deep technical knowledge in camera-based SoCs and enhanced computer vision capabilities. The growing demand for an advanced driving assistance system (“ADAS”) is likely to act as a key catalyst for the company’s near-term growth.

Ambarella continues to expand its CVflow family of AI processors through consecutive global collaborations. Recently, during the Consumer Electronics Show (“CES”) 2022, it launched the AI-based Image Signal Processor featuring low-light color imaging and better HDR processing than state-of-the-art traditional image signals.

In the CES 2022 event, AMBA also unveiled the CV3 AI domain controller SoC, ideal for implementing autonomous driving for vehicles from Level 2+ to Level 4, single and multi-camera ADAS, Driver Monitoring System (“DMS”) and in-cabin solutions, single and multi-channel electronic mirrors with blind-spot detection and intelligent parking assistance systems.

In January 2022, it collaborated with Australia’s vision-based monitoring technology company, Seeing Machines, to deliver an integrated ADAS and Occupant Monitoring System and DMS solutions to its automotive customers.

In December 2021, the company collaborated with Israel-based Autobrains to develop a scalable range of ADAS solutions for the automotive mass market. In September, Ambarella partnered with China’s Dongfeng Fengshen (Aeolus) to build DMS for the Yixuan Max vehicle.

Automotive and Internet of Things cameras are driving Ambarella’s top line. In the first quarter of fiscal 2023, the company’s revenues increased 29% to $90.3 million, primarily driven by an improvement in the automotive and security camera businesses.

However, higher expenses related to the company’s efforts to expedite orders and secure more capacity are a concern. Moreover, industry-wide supply constraints might impact its overall sales in the near-term. Global tariff issues, export restrictions and hostile macroeconomic conditions remain concerns for this Zacks Rank #4 (Sell) company.

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