Blue Cloud Softech Solutions (BCSSL) announced that it has entered into a Memorandum of Understanding (MoU) with ConnectM Technology Solutions, 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.