Itochu Corp. acquired a minority stake in Moter Technologies Inc., a Los Angeles-based artificial intelligence software developer focused on automotive insurance risk assessment, Nikkei reported. The Japanese trading house completed the investment through a private placement in August, though financial terms remain undisclosed.
Moter, established in 2021 as a subsidiary of Aioi Nissay Dowa Insurance Co., develops software that analyzes vehicle data to score accident risks for insurers. The company’s platform processes information from connected cars to evaluate driver behavior and determine insurance premiums in real-time.
The investment represents Itochu’s latest push into the U.S. insurance sector, following its recent equity investment in Neo Insurance Solutions earlier this year. For Moter, the partnership provides access to Itochu’s established network to accelerate expansion across American markets while developing new distribution channels in Asia.
However, the deal’s structure raises questions about valuation and growth projections. Moter operates in an increasingly competitive market where established insurers and tech companies are developing similar AI-driven risk assessment tools. The company has already secured partnerships with automotive suppliers, including a recent investment from Yazaki North America in June.
Despite backing from Japan’s MS&AD Insurance Group, Moter faces challenges in scaling its technology across diverse insurance markets and regulatory environments as it seeks broader commercial adoption.
