The South Korean electronics giant said on Monday it was buying Harman International Industries (HAR), a U.S. firm that makes infotainment, safety and security systems for cars.

Tech giants have been plowing money into the auto industry: Apple is working on a secretive car-related project and Google (GOOGL, Tech30) is developing self-driving vehicles. Last month, chip maker Qualcomm (QCOM, Tech30) splashed out $ 39 billion on NXP Semiconductors (NXPI), the leading player in automotive computer chips. It was the second biggest tech deal ever.

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Samsung (SSNLF) says it expects the automotive electronics market to be worth more than $ 100 billion by 2025.

Late last year, the company set up its own auto components business to work on self-driving cars and infotainment. But buying Harman makes it a major player: more than 30 million vehicles already use the U.S. company’s technology.

Samsung is offering $ 112 in cash for each Harman share, 28% higher than the stock’s Friday closing price.

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Moving deeper into the auto industry gives Samsung new scope for growth as its smartphone business faces a range of challenges.

After climbing rapidly for years, global smartphone shipments are expected to inch up just 1.6% in 2016, and they’ll actually decline in developed markets like the U.S. and Canada, according to IDC forecasts. That’s down from 10.4% growth last year.

Samsung, the word’s largest smartphone maker, is also grappling with its own particular difficulties following the debacle involving its Galaxy Note 7 phone. The company decided to kill off the Note 7 last month after repeated complaints about the devices bursting into flames, dealing a heavy blow to its profits and reputation.

— Matt Egan contributed to this report.

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