Valeo and Kapsch TrafficCom today announced a strategic partnership to develop and demonstrate a real-time, secure, and automated vehicle-to-everything (V2X) tolling integrated solution that enables vehicles to communicate directly with tolling infrastructure, allowing for frictionless transactions. The partnership combines Valeo’s expertise in ADAS (advanced driver-assistance system), autonomous vehicle, and cellular onboard technologies with Kapsch’s experience in tolling and ITS (intelligent transportation systems).

The companies will showcase the technology during a live demonstration at the 5G Automotive Association (5GAA) Conference—Advancing Connected Mobility in California: C-V2X and Connected Vehicle Infrastructure—in Sacramento, CA, next week. The demonstration will feature a Valeo autonomous vehicle equipped with its C-V2X (cellular-V2X) onboard unit. As a vehicle approaches a tolling point, it initiates a secure toll transaction automatically through direct communication with a Kapsch RSU (roadside unit).

“This is a landmark step toward integrating connected vehicle technologies with existing ADAS and interior experience features,” said Jeffrey Shay, President of Valeo North America. “Together with Kapsch, we are creating a truly seamless experience for drivers and paving the way for a new ecosystem of connected services.”

The V2X-based approach offers significant advantages over current systems, according to Valeo. For tolling agencies, it offers a progressive technology strategy, layering secure connectivity onto existing roads to lower operational costs. For consumers, it offers a unified, interoperable system for which tolling, payment information, and transaction status are displayed directly on the vehicle’s in-dash display.

“With V2X technology, we are entering the era where the vehicle itself is the payment device,” said JB Kendrick, President of Kapsch TrafficCom North America. “This collaboration with Valeo proves that by adhering to open standards like SAE J3217, we can establish the platform that connects automotive innovation with roadside infrastructure.”

Protected messages flow bi-directionally between the vehicle and tolling platform, where they are compiled into a complete toll transaction record and finalized for commercial processing. The entire transaction is secured using a MicroSec security credentials management system, ensuring data integrity and privacy.

Based on the emerging PC5-based SAE J3217 message exchange standard, the process offers accessibility and a new layer of transactional certainty alongside existing RFID and video systems, reducing infrastructure costs for operators and creating a hassle-free experience for drivers.

Just yesterday, Kapsch TrafficCom announced that its RIS-9360 RSU was the first connected vehicle hardware to be certified under the latest (February 2025) U.S. FCC (Federal Communications Commission) regulation aimed at fostering the development of smart infrastructure, autonomous vehicles, and other advanced transportation systems for safer roads, reduced traffic congestion, and enhanced economic productivity.