In April 2024, German Teraki registered a new office in Luxembourg, from where it plans to expedite market entry for AI-driven autonomous vehicle solutions.
Abigail Okorodus
Teraki specialises in developing AI-based software for autonomous vehicles and is determined to revolutionise the future of autonomous mobility using its technology. Its recent entry into Luxembourg is a significant step forward. “Our company has been dedicated to leveraging machine learning for mobility applications since 2015. We first started working with automotive brands, and since 2020, we started replicating the success in robotics, drone and rail markets. Establishing a base in Luxembourg aligns perfectly with our vision of making intelligent mobility a reality for everyone,” states Daniel Richart, co-founder and CEO.
“Due to its open economy, deep commitment to European cooperation and exceptionally multicultural population, Luxembourg is an excellent bridgehead for companies targeting multiple European markets,” comments Xavier Bettel, Vice Prime Minister and Minister for Foreign Affairs and Foreign Trade. “I’m very pleased that Teraki has decided to open an office here and benefit from our favourable ecosystem to further its expansion in the EU.
Establishing a base in Luxembourg aligns perfectly with our vision of making intelligent mobility a reality for everyone.
Lex Delles, Minister of the Economy, SMEs, Energy and Tourism added: “Luxembourg supports the developments of the automotive and mobility sector, driven by its green and digital transition, as part of its economic diversification. Artificial Intelligence and Machine Vision are important technologies in that field, particularly when applied to Advanced Driving Assistance Systems (ADAS) and Automated Driving (AD). Considering TERAKI’s particular experience, competence and technological solutions in that domain, we are very happy to welcome this innovative actor in our national Smart Mobility ecosystem – and beyond.”
Following an initial visit in 2022, the Berlin-based company was introduced to several key stakeholders, including ministerial representatives, and others from the automotive, logistics and satellite industries. “That already gave us a glimpse of what is happening here. We see that Luxembourg has been positioning itself as a market where one can rapidly launch new products meeting the market standards,” he points out.
Luxembourg supports the developments of the automotive and mobility sector.
Since April 2024, the company has been officially incorporated in Luxembourg. Drawing on the successful examples of big brands such as Skype that scaled from Luxembourg and US company Pony.ai that recently opened a branch for its European operations here, the CEO asserts that this move would also help expand its global reach.
Teraki’s expansion into Luxembourg was partly driven by the opportunity to leverage the country’s robust and growing automotive and mobility ecosystem. Luxembourg’s participation in standardisation bodies equally provides significant support for companies like Teraki to scale their solutions. “Right now, time to market is essential for us. Access to regulatory and standardisation bodies, like NCAP and IEEE, allows us to accelerate this process Europe-wide,” Mr Richart mentions.
An excellent bridgehead for companies targeting multiple European markets.
Luxembourg’s strategic location also serves as a key enabler for the company to achieve faster market penetration in neighbouring countries like France and Germany, but also abroad. He explains: “ultimately, we want to have a place where we can serve international customers. Most of our US and Asian clients, including some of our investors like Paladin Capital Group, are already expanding to Luxembourg. Mobility vendors like Porsche also recently moved here. From this standpoint, we see the ecosystem maturing faster than in other areas in Europe.”
The country’s qualified talent pool, multilingual and multicultural environment also enables Teraki to serve its international mix of customers more effectively. “We are presently hiring, and five people have been granted the opportunity to relocate to Luxembourg. This is also an attractive option for them – to be in a place where they are connected all over Europe,” he adds.
With the assistance of various local players like the Ministry of the Economy, the national innovation agency, Luxinnovation, the House of Entrepreneurship and several others, Teraki has been able to integrate easily into the ecosystem.
A market where one can rapidly launch new products meeting the market standards.
It is currently considering setting up a partnership with the University of Luxembourg’s Interdisciplinary Centre for Security, Reliability and Trust (SnT), which will help drive joint research and development efforts. “The key experience of SnT not only in the domain of L2+ but also in 5G and 6G, high-performance computing and satellite-based communication, are key to being accepted within industry-wide standardisation schemes,” he states.
Partnerships with other entities of interest, including Luxembourg-based mobility players are currently being discussed.
Teraki aspires to “become a de-facto standard among leading brands worldwide”. The CEO explains that the immediate next steps for its Luxembourg branch involve finalising recruitment, administrative and product standardisation plans. “Strong regulatory support enabled Skype to rapidly expand from Luxembourg in the voice IP market, first in Europe and then in the United States. We see our products benefiting from this ecosystem in a similar way,” he concludes.
