ECARX Technology has signed a definitive agreement to acquire the Flyme software business from DreamSmart Group for RMB 1.8B ($261M), marking one of the largest software consolidation moves within Geely’s technology ecosystem. ECARX Announces Acquisition of Flyme Business from DreamSmart Group The deal gives ECARX full ownership of Hubei Qiguang Technology, a special-purpose entity carved out from DreamSmart Group. The acquisition includes the Flyme Auto intelligent cockpit operating system, the Flyme OS cross-device platform, related intellectual property, engineering resources, R&D teams, customer contracts, mass-production programs, supporting software assets. The transaction significantly expands a preliminary asset transfer plan unveiled by ECARX in April. More importantly, it fills a key gap in ECARX’s native operating-system portfolio, allowing the company to link automotive hardware, cockpit software, vehicle computing platforms into a unified business structure. Following completion, the Flyme business will be separated from DreamSmart Group, integrated into ECARX, operated as an independent software division. ECARX said the arrangement is designed to ensure uninterrupted customer deliveries, stable project execution, continued software development. The company also plans to inject an additional RMB 200M ($29M) into Hubei Qiguang Technology Co. after closing. The funding will support future product development, commercial expansion. Existing Meizu user data assets will remain under Meizu ownership, with Meizu continuing operation, maintenance responsibilities. The acquisition arrives as Flyme Auto rapidly gains scale across China’s smart cockpit market. By May 2026, cumulative Flyme Auto installations had exceeded 3M vehicles across 45 production models. Public data show the platform had fewer than 500K cumulative installations at the beginning of 2025. The jump to more than 3M units within roughly one year places Flyme among the fastest-growing cockpit operating systems in China. Flyme AIOS announces cumulative sales of partner vehicle models exceed 3 million units. ECARX also disclosed that the Flyme software business turned profitable in 2026. Revenue now comes from software licensing, customized technology development, intelligent cockpit solution deployment. Beyond the software business itself, the deal highlights deeper integration across the Geely technology chain. Prior to the acquisition, Flyme Auto had already worked closely with Geely brands including Geely Auto, Galaxy, Lynk & Co, Zeekr. Yet Flyme remained an independent operating entity. Software development, hardware engineering, vehicle programs still required coordination across separate organizations, creating additional communication costs, execution friction. Models equipped with Flyme Auto Once integrated, Flyme will fall under ECARX’s unified management structure. As Geely’s core intelligent computing platform supplier, ECARX is expected to improve coordination between hardware platforms, software platforms, product development cycles. The move reflects a broader industry trend. As competition shifts from standalone hardware toward integrated software-defined vehicles, automakers increasingly favor tighter control over operating systems, cockpit software, computing architecture. For ECARX, bringing Flyme fully in-house strengthens its position in China’s rapidly evolving intelligent vehicle technology market.