Hyundai outlines South Korea physical AI expansion
· UPIJuly 25 (Asia Today) -- Hyundai Motor Group Executive Chair Euisun Chung unveiled a strategy to transform the South Korean automaker into a physical artificial intelligence company spanning autonomous vehicles, robotics, AI factories and connected urban infrastructure.
Hyundai Motor Group said Chung presented the company's physical AI vision Friday at the San Francisco AI Summit, which was attended by South Korean President Lee Jae Myung.
About 150 South Korean business executives, U.S. technology industry leaders, startup representatives and students attended the event.
"Hyundai Motor Group is evolving beyond the traditional boundaries of automotive manufacturing to become a physical AI solution company," Chung said.
The company's strategy begins with adding intelligence to individual devices such as vehicles and robots. It then expands to intelligent spaces, including factories in which AI connects production, logistics and quality-control systems.
The final stage would integrate energy, mobility, robotics and other urban infrastructure into connected systems that can be monitored and optimized in real time.
"The ultimate physical AI vision Hyundai Motor Group pursues begins with intelligent devices such as vehicles and robots, expands to intelligent spaces such as AI factories and ultimately realizes integrated intelligence at the city level," Chung said.
Hyundai identified its manufacturing experience, robotics technology and data collection systems as the foundation of the strategy.
The group said data gathered from factories, vehicles, logistics operations and robot testing would be used to improve AI models. Updated algorithms would then be returned to operating sites, creating what the company described as a "data flywheel."
Hyundai's robotics portfolio includes Boston Dynamics' four-legged Spot robot and Stretch logistics robot as well as the MobED mobile platform developed by Hyundai Motor Group's Robotics LAB.
The group also plans to develop Boston Dynamics' Atlas humanoid as a central component of its physical AI business. Hyundai expects Atlas robots eventually to work alongside people in manufacturing, logistics and mobility operations.
Hyundai said partnerships with global technology companies would help accelerate the transition.
The group is working with Nvidia on AI infrastructure, manufacturing digital twins and autonomous-driving technology. The companies previously announced plans to use 50,000 Nvidia Blackwell graphics processing units for AI model training, validation and deployment.
Hyundai plans to use Nvidia platforms to create virtual replicas of manufacturing facilities, allowing engineers to design production processes and optimize factory operations before applying changes at physical sites.
The two companies also plan to combine Nvidia's automotive processors, sensors and autonomous-driving architecture with Hyundai vehicle platforms.
Hyundai and Nvidia will jointly develop a robot reference platform for South Korean universities, research institutes and startups. The initiative will provide standardized robot hardware and software environments for physical AI research and testing.
"The strengths Hyundai Motor Group has in manufacturing capabilities, robotics technology and data can be combined with the strengths of big technology companies to create a new innovation ecosystem for the physical AI era," Chung said.
Hyundai will also continue its partnership with Waymo.
The companies entered a strategic partnership in 2024 under which Hyundai will supply specially modified IONIQ 5 electric vehicles for Waymo's autonomous-driving fleet.
The vehicles will be manufactured at Hyundai Motor Group Metaplant America in Georgia. They will include redundant steering, braking and electrical systems as well as specialized functional safety and cybersecurity features.
Boston Dynamics is separately working with Google DeepMind to improve AI models and training systems for humanoid robots. The companies aim to enable robots to perform complex tasks and work alongside people in real-world environments.
Hyundai plans to establish a production system capable of manufacturing 30,000 robots annually in the United States by 2028.
Development versions of the next-generation electric Atlas humanoid will first be deployed at manufacturing sites, including the Georgia plant. The group said deployment would expand gradually after testing and verification.
Hyundai is also investing in physical AI hubs in South Korea.
The company is investing about 9 trillion won ($5.97 billion) in the Saemangeum AI Valley in North Jeolla Province. The project will include AI data centers, a robot manufacturing cluster, water electrolysis facilities and infrastructure for an AI-powered hydrogen city.
The robot cluster will manufacture Hyundai robots and provide contract production services for smaller companies that lack large-scale manufacturing capacity.
Hyundai also plans to invest 42 trillion won ($27.84 billion) over the next decade in South Korea's southeastern Yeongnam region.
The investment will support AI-based manufacturing hubs, aerospace industries and sustainable energy infrastructure.
Hyundai said the projects would help secure the data, energy, robot production and testing capacity required for physical AI while strengthening South Korea's industrial competitiveness, creating jobs and supporting balanced regional development.
-- Reported by Asia Today; translated by UPI
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Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260725010009122