TECH FOCUS: ADAS & AUTOMATED VEHiClES 2022 A MIXED BAG FOR THE AV SECTOR The second half of 2022 turned out to be a mixed bag for the automated driving sector. The capital that was so free flowing from the mid-2010s onward has largely dried up and the longexpected consolidation in the sector seems to have begun. One of the leaders in the segment surprised the industry when it announced that it was shutting down and others have reduced their operations. For the last decade, investors around the world have willingly thrown mountains of cash at AV startups which produce no revenue and show little prospect of near-term profits. Suddenly those investors have turned off the taps. As a result, dozens of companies including Aurora Innovation, TuSimple, and Luminar, all of which went public prematurely in 2020 and 2021, have seen their valuations collapse by 80-90% or more in the past year. Meanwhile, others like Mobileye and Argo AI waited longer and missed the window of opportunity to cash in, as the overall stock market has declined with rising interest rates. Both companies had plans to go public in 2022 but only Mobileye did - and only at a UPDATE March 2023 19