Hyundai and BAIC, the Chinese partner of the Korean automotive company Hyundai, have made a strategic decision to invest $1.1 billion in their China-based joint venture. This move, as reported by Reuters, aims to strengthen the Beijing Hyundai operation, despite recent challenges faced by Hyundai in the region.
The joint venture, now in its 22nd year, has experienced a decline in annual sales, dropping to 249,000 vehicles last year from its peak performance in 2016. To address this, Hyundai and BAIC will equally contribute to increasing the total registered capital of Beijing Hyundai to $4.074 billion.
In a separate development, Hyundai Motor Group has announced an expanded collaboration with Google to enhance navigation and infotainment solutions for its vehicles. This integration will involve the use of the Android Automotive Operating System, providing drivers of Hyundai, Kia, and Genesis models with access to up-to-date information on over 250 million places worldwide through Google Maps Platform’s Places API.
The partnership with Google will enable Hyundai Motor Group to offer customer-centered values in the field of self-driving vehicles and mobility. Initially, Kia drivers in North America will be the first to benefit from the enhanced navigation accuracy, with plans for future expansions to Hyundai, Kia, and Genesis models globally.
Chang Song, President and Head of Hyundai Motor Group Advanced Vehicle Platform Division, expressed the company’s commitment to developing technologies that provide value to customers. The collaboration with Google signifies a step towards broadening technology coverage in the mobility market and delivering greater value to customers.
In conclusion, the investments and partnerships announced by Hyundai and BAIC demonstrate a commitment to addressing challenges and embracing technological advancements in the automotive industry. The integration of Google Maps Platform and the expansion of the joint venture in China highlight Hyundai’s efforts to stay competitive and enhance customer experience in the rapidly evolving automotive landscape.
