ECARX to Acquire Flyme Software Business in $266 Million Deal
There is a quiet consolidation underway in China’s smart vehicle software space, and the latest move brings one of the country’s most distinctive operating systems under new ownership. Nasdaq-listed ECARX Technology announced on June 22 that it has signed a definitive agreement to acquire the Flyme software business — a deal that folds both the Flyme Auto smart cockpit operating system and the cross-device Flyme OS into the company’s growing portfolio.
The transaction, valued at 1.8 billion yuan (approximately $266 million), will be executed through the acquisition of Hubei Qiguang Technology Co., Ltd., an entity that Xingji Meizu Group spun off specifically to hold the Flyme software assets. Once the deal closes, ECARX will take possession of the Flyme Auto and Flyme OS platforms along with their associated intellectual property, R&D teams, engineering resources, and mass-production project pipeline.
What makes this more than a simple asset transfer is the commercial maturity Flyme has already demonstrated. According to ECARX, the platform has established a portfolio of revenue-generating business models — software licensing, customized technology development, and full smart-cockpit solution delivery — and reached profitability in 2026. That track record gives ECARX something to build on immediately rather than a turnaround project.
ECARX says it intends to keep investing in the Flyme platform across all OS variants, with a particular emphasis on developing an AI Agent-powered version. For Meizu phone users, the near-term payoff is concrete: a major system upgrade is promised before the end of the year. On the automotive side, Flyme Auto 3.0 is slated for an official release, bringing what ECARX describes as a meaningful step forward in both user experience and intelligent capabilities.
IT-NEWS has learned that the groundwork for this deal was laid months ago. On April 10, ECARX disclosed that it had formally begun taking over all core Flyme OS assets and operations from Xingji Meizu Group, framing the move as a push toward deeper integration between smart mobility and cross-terminal ecosystems. Today’s announcement turns that initial transfer into a permanent acquisition.
ECARX, founded in 2017 and listed on Nasdaq since 2022, now operates across Europe, the Americas, and Asia with 13 major operational centers and a workforce of more than 1,400. The Flyme acquisition deepens its hand in an automotive software market where the distinction between phone and car interfaces is dissolving — and where owning the operating system increasingly means owning the relationship with the driver.