Hyundai Aptiv

History

2019: Building a Company

On September 23, 2019, the South Korean automaker Hyundai Motor Group and the American manufacturer of automotive components Aptiv announced the creation of a joint venture (JV) for the development of self-driving cars.

The volume of investments in the project - $4 billion - will be divided equally, as well as shares in the new Hyundai Aptiv company. Most of Hyundai's investments ($1.6 billion) will be cash (provided by subsidiaries Hyundai Motor, Kia Motors and Hyundai Mobis), and the remaining $400 million will come in the form of car design services, R&D resources and intellectual property.

Hyundai Motor Group and Aptiv announced the creation of a joint venture (JV) to develop self-driving machines

Aptiv, in turn, will provide the JV with its self-driving technology, intellectual property and about 700 employees.

The new company, headquartered in Boston, USA, will be headed by Karl Iagnemma, President of Aptiv Autonomous Driving Technology. The joint venture will have several technology centers located in the USA and Asia.

According to the press release, the joint venture is being created to "develop, develop and commercially launch SAE 4 and SAE 5 technologies." They provide for complete or almost complete automation of the car control process.

Hyundai and Aptiv intend to begin joint testing of automatic vehicle control technologies in 2020. The launch of a commercial platform is scheduled for 2022, which car and robot manufacturers will be able to use.

The creation of a joint business between Hyundai and Aptiv requires regulatory approval. As soon as this and other conditions are met, the transaction will be closed - in advance, it will take place in the beginning of the second quarter of 2020. Hyundai and Aptiv will appoint an equal number of directors to run the joint venture.^[1]

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