In recent news, the Hyundai Motor Group is all set to invest around $1.6 Billion in its joint venture aimed at developing the self-driving technology for vehicles with Aptiv, which is the most significant international investment by this South Korea-based carmaker that wants to gain dominance in terms of competitiveness with its rivals in current auto-sector.
Global carmakers & their suppliers have been forging significant alliances for the development of autonomous technologies for cars. This is partly given the need to share major technical as well as financial burdens. Hyundai is burdened by global rivals that have been investing heavily for the development of the latest technologies that allow the proper management of autonomous and electrified vehicles. Kia Motors, Hyundai Motors, as well as Hyundai Mobis, shall collectively contribute about $1.6 Billion as cash & close to $400 Million for the R&D requirements. This has valued Aptiv & Hyundai Group’s joint venture at $4 Billion.
Aptiv, with its headquarters at Dublin, will own about 50 percent of its joint venture. It will contribute to the intellectual property, Autonomous Driving-tech, as well as the proper employment of 700 employees that will be focused on the development of a scalable & autonomous driving tech. Kevin Clark, the Chief Executive of Aptiv mentioned in the joint interview conducted with Hyundai’s Euisun Chung, the Executive Vice Chairman on Monday that the venture from this point on shall refrain from involvement with its own services for data, network, or hailing requisites.
Instead, this new firm shall begin testing the systems designed to operate completely driverless in the year 2020. The company shall also have a platform that is production-ready for autonomous driving. This tech shall be available for the fleet operators, robotaxi providers, as well as the automakers by the year 2022. Chung mentioned via a translator that Uber is now planning on developing its very own technology. However, when we take a look at the potential brought to the table by Hyundai could be far better, and this could also lead to a possibility that establishes Uber as Hyundai customers.
Hyundai Motor now aims to bring its autonomous vehicles out for commercialization by the year 2024. Clark also mentioned that this alliance would focus initially on the self-driving technologies meant for the passenger vehicles. Chung also mentioned that this partnership with Aptiv could ultimately help Hyundai increase the speed of its automation process for commercial vehicles like the long-haul fleets.