The company will set up its headquarters in Dublin and plan to hire a team of up to 10 people.
It has also agreed to sell its technology to manufacturers to help them design their own products.
The company said the Irish government has committed €5m in funding to support its plans.
The announcement comes after a long list of other firms have said they will set-up operations in Ireland.
The deal is being signed off by the Irish Minister for Finance Michael Noonan.
It comes after the government pledged €5 million in funding for the Irish auto industry in 2017-18, and €3.3 million this year.
The Government is expected to announce an announcement on the deal soon.