Volvo Cars said it would take full ownership of HaleyTek, a Gothenburg based developer for Android powered infotainment systems.

Prior to the transaction, it owned 60% of HaleyTek with the remaining 40% cent held by the mobility technology company ECARX.

The automaker said the acquisition of the remaining stake in HaleyTek was a strategic step to further strengthen its technological capability in software development for current cars and take ownership over technology crucial to the company's future products.

HaleyTek will operate as a standalone company, with its operations in Gothenburg.

It will continue collaborating seamlessly with Volvo and ECARX on developing Android based automotive software, a competence crucial for software defined vehicles.

The company was already fully consolidated into the financial reports of Volvo Cars.

HaleyTek was formed as a joint venture in 2021.