LG Electronics’ automotive electronics division is making significant strides in the industry, as it establishes a strong presence at Hyundai Motor Group’s Namyang Research Institute in Hwaseong, Gyeonggi Province. The recent visit of LG Innotek’s management is a clear sign of the commitment to this collaboration.
It has been reported by industry insiders, that LG Group’s automotive electronics affiliates have been actively engaging with Hyundai through a series of private “Tech Day” events at the Namyang Research Institute. The decision to hold such events was influenced by LG Group’s successful presentation of their automotive electronics vision at the Mercedes-Benz headquarters in Germany. This has sparked the interest of Hyundai, leading to the invitation of LG Group’s automotive electronics affiliates.
Following discussions with LG, Ola Kallenius, chairman of Mercedes-Benz, commended the collaboration, citing previous successful partnerships. The goal for LG Group is to solidify Hyundai and Kia as key clients, given their position as the third-largest automakers globally.
This collaboration further adds to Hyundai Motor Group’s existing partnerships with other leading electronics companies such as Samsung. The involvement of Samsung Electronics in supplying automotive semiconductors and vehicle displays to Hyundai has been pivotal. On the other hand, LG Display’s contribution of OLED panels for Hyundai’s upcoming 2024 Genesis GV80 model showcases the diverse partnerships within the automotive industry.
Meanwhile, LG Electronics has strategically expanded its presence in the automotive electronics market, particularly through mergers and acquisitions. The company has successfully integrated vehicle infotainment systems, electric vehicle powertrains, and automotive lighting systems. With a revenue exceeding 10 trillion won last year and a substantial order backlog projected for the first half of this year, LG Electronics is clearly making a mark in this space.
In line with this, LG Innotek is actively developing automotive electronics as a new business area, focusing on cutting-edge components for electric and autonomous driving. The company’s focus on vehicle cameras, LiDAR, automotive LEDs, and power modules contributes to the development of advanced automotive technologies.
Looking into the future of the automotive electronics market, the race towards achieving success in the “Level 3” stage of autonomous driving is crucial. Despite challenges faced by industry players, including the recent halting of autonomous driving projects by Apple and Hyundai Motor Group, the potential for advancements in this space remains high. The emergence of Tesla’s claim to achieve full autonomous driving using AI and cameras further adds to the unpredictability of the industry.
In conclusion, the collaboration between LG Electronics and Hyundai in automotive electronics marks a significant development in the industry. As both companies focus on pushing the boundaries of automotive technology, the future certainly holds exciting prospects for innovation and advancement.
Jasmine Choi, PR Manager at Business Korea.