Mumbai, February 10: Germany-based automotive technology firm AUMOVIO has confirmed plans to eliminate approximately 1,000 positions within its Indian operations as part of an extensive global overhaul of its Research and Development (R&D) strategy. The reduction specifically targets the company’s Global Capability Centres (GCCs) in the country, marking one of the most significant workforce contractions in the Indian automotive tech sector this year.

The company, a spin-off from the global automotive supplier Continental, currently employs around 6,000 professionals in India. This planned reduction implies that nearly 17 per cent of its local workforce will be impacted, positioning India as one of the most affected regions in the firm's worldwide exercise. AUMOVIO has stated that most of these measures will be implemented by the end of 2026. Salesforce Layoffs 2026: Tech Giant Lays Off Nearly 1,000 Employees From Agentforce AI and Marketing Teams Amid Executive Shakeup.

Strategic Shift Toward Software-Defined Vehicles

AUMOVIO is pivoting its corporate focus toward high-growth technological areas, particularly software-defined vehicles (SDV) and AI-driven Advanced Driver Assistance Systems (ADAS). In a statement addressing the layoffs, the firm noted that the move is intended to "sharpen our focus on market-leading technologies" and "increase overall efficiency" through intensified technology partnerships.

The company, which develops specialised sensors and braking systems, is navigating a rapidly evolving automotive landscape where hardware is increasingly dictated by integrated software platforms. By specifying its R&D strategy, AUMOVIO aims to accelerate development cycles and remain competitive against emerging tech players in the global automotive supply chain.

Impact on India’s GCC Ecosystem

For over a decade, India’s GCCs have served as vital hubs for global engineering and back-office operations for multinational corporations. The decision by a major German player to reduce its headcount suggests a cooling period for some established captive centres as they re-evaluate their resource allocation. AUMOVIO confirmed that communication with the affected employees has already been completed in accordance with local legal requirements.

The firm emphasised that the layoffs would be conducted in a "socially responsible way," though the scale of the cuts underscores the vulnerabilities within the high-end R&D sector. Industry analysts suggest that while India remains a primary destination for automotive engineering, the shift from traditional hardware-centric R&D to purely software-driven models is forcing a recalibration of existing talent pools.

Background of AUMOVIO and Market Context

As a former division of Continental, AUMOVIO carries a legacy of producing safety-critical electronics and comfort systems for major carmakers globally. Its current portfolio focuses on enhancing vehicle safety and reducing driver error through sophisticated sensors. This restructuring follows similar moves by other European automotive suppliers who are facing mounting pressure from rising operational costs and the transition to electric mobility. Pinterest Layoffs: CEO Bill Ready Sacks Engineers As Company Doubles Down on an AI-Forward Approach.

Despite the job cuts, the company maintains that India remains an important part of its global network. However, the move toward a leaner, more specialised team reflects a broader trend among industrial giants to consolidate R&D efforts in specific high-tech niches rather than maintaining large, general-purpose engineering centres across multiple geographies.

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(The above story first appeared on LatestLY on Feb 10, 2026 04:51 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).