Samsung is considering entering a partnership with Fiat Chrysler-owned auto parts supplier Magneti Marelli, according to a new report from Bloomberg.
The Korean consumer electronics company is apparently interested in automotive lighting, in-car entertainment and telematics business ventures. Samsung may be considering a complete acquisition of Magneti Marelli, with the deal being worth as much as $3 billion.
Samsung vice chairman Lee Jae Yong recently began to grow the company’s memory chip and display business in order to make it more versatile and less reliant on smartphone, TV and other consumer electronics sales.
Yong has been a director of FCA’s controlling shareholder Exor SpA since 2012. Samsung and Magneti Marelli had connections even before Yong took that position, however, with the two entities teaming up to produce display products and other electronic car components in 2009.
FCA CEO Sergio Marchionne has expressed his desire to partner with technology companies in the past. Earlier this year the automaker teamed up with Google to provide the tech giant with Chrysler Pacifica minivans to test its self-driving car software. Bloomberg sources also say the automaker has entered talks with Uber and Amazon on potential partnerships.
FCA’s stock rose more than 8% on Wednesday as news of the potential Magneti Marelli-Samsung partnership came to light. Samsung stock, which has risen 20% so far in 2016, remained the same.