Hyderabad, Telangana, 24th December, 2025: Blue Cloud Softech Solutions Ltd. (BCSSL) (BSE: 539607), a leading provider of AI-driven enterprise and cybersecurity solutions, today announced that it has entered into a Memorandum of Understanding (MoU) with ConnectM Technology Solutions Pvt Ltd, a specialist in automotive electronics and hardware systems, for the joint development of a semiconductor-based EdgeAI System-on-Chip (SoC) focused on next-generation automotive cybersecurity applications.

 

Under the terms of the MoU, BCSSL will lead the architecture, design, and development of an advanced EdgeAI SoC platform, integrating real-time threat detection, intrusion prevention, and continuous security management capabilities. The semiconductor solution is being purpose-built for deployment in Telematics Control Units (TCUs), Vehicle Control Units (VCUs), and other critical electronic modules used in electric, connected, and software-defined vehicles.

 

The collaboration represents a strategic step in BCSSL’s expansion into automotive semiconductor development, combining its deep expertise in cybersecurity software, AI, and secure systems with ConnectM’s strengths in automotive-grade hardware, diagnostics, and OEM integration. The EdgeAI SoC will be exclusively customized for ConnectM’s onboard automotive hardware platforms, while BCSSL will retain ownership of the core intellectual property related to the semiconductor design and cybersecurity technologies.

 

The MoU outlines a revenue-sharing model with an equal 50:50 split of net revenues generated from joint commercialization, after applicable costs and taxes. Subject to the execution of definitive agreements, the partnership is expected to generate a projected business volume of approximately USD 50 million over a five-year period from 2026 to 2030.

 

The jointly developed EdgeAI semiconductor solutions will be engineered to comply with global automotive safety and cybersecurity standards, including ISO/SAE 21434 (Road Vehicle Cybersecurity), UNECE WP.29 R155 and R156, ISO 26262 (Functional Safety), and other applicable international and Indian regulatory requirements. This ensures that the SoC platforms are production-ready, certifiable, and suitable for deployment across global automotive markets.

 

Strategically, the MoU positions both companies to deliver secure, scalable, and automotive-grade semiconductor solutions that address the growing cybersecurity challenges of electric and connected vehicles. By accelerating time-to-market and enabling OEM-ready deployments, the collaboration aims to strengthen cybersecurity resilience across the evolving mobility ecosystem.

 

Commenting on the signing of the MoU, Sri Tejesh Kumar Kodali, Group Chairman, stated that “This semiconductor development partnership marks a significant milestone for Blue Cloud Softech Solutions as we expand our capabilities into EdgeAI System-on-Chip platforms for automotive cybersecurity. By collaborating with ConnectM, we are combining advanced cybersecurity intelligence with automotive-grade hardware to build secure, future-ready solutions that meet the demands of next-generation mobility.”