Employees at QNX Software of Ottawa are singing a happy tune, after their parent company announced US$550 million in new contracts for in-car entertainment systems.Harman International Industries of Washington D.C. said the contracts are with Chrysler and Audi. Harmon makes such brands as JBL, Infinity and Harmon Kardon.
The deal with Chrysler is for an entry-level entertainment system that combines radio, DVD, rear-seat video and a backup camera. It's worth about $200 million in annual revenue.
The Audi contract is worth $350 million beginning in mid-2008. The new deal covers virtually all Audi vehicles from 2008 to 2011.
Harman purchased QNX for $138 million in cash last fall, and said at the time it hoped the deal would lead to new contracts. QNX makes the software for the advanced entertainment systems.