Hyundai Motor Group's robotics subsidiary, Boston Dynamics (BD), is ramping up its efforts to penetrate the industrial robot market with its humanoid robot, Atlas. The company has built a competitive edge through its operational experience gained from the commercialization of its quadrupedal robot, Spot, and logistics robot, Stretch, as well as its extensive testing facilities within the group. However, establishing a mass production system for Atlas and improving profitability remain significant challenges.
According to industry sources, BD is focusing on enhancing the technology needed to deploy the development model of Atlas, which garnered attention at CES 2026 in January, into manufacturing environments.
The foundation of BD's commercialization strategy lies in decades of accumulated expertise in robot hardware and motion control, along with operational experience in industrial settings. While Chinese startups excel in cost and production speed, and American AI firms have strong software capabilities, BD's greatest strength is its ability to translate diverse technologies into products that have been tested in real production processes. Notably, Spot and Stretch have already been supplied to several companies, demonstrating their practical applications.
Another advantage is BD's high accessibility to manufacturing sites. The company plans to utilize major production hubs, such as Hyundai Motor Group's Meta Plant America in Georgia in 2028 and the Kia plant in Georgia in the second half of 2029, as initial testing grounds for Atlas. This could serve as a foundation for expanding its external customer base.
However, there are considerable hurdles to overcome before Atlas can be fully commercialized. BD aims to establish a production system capable of manufacturing 30,000 units annually by 2028, but it has yet to create a stable profit structure. Last year, BD's revenue reached 150.1 billion won, a 30% increase from the previous year, but it recorded a net loss of 528.4 billion won, widening the loss by approximately 20% compared to 2024's 440.5 billion won.
Additionally, the possibility of an initial public offering (IPO) next month has heightened concerns about management transparency. The IPO is intended to secure investment for establishing Atlas's mass production system, but if the company fails to transition to profitability post-listing, its valuation could plummet.
When Hyundai Motor Group acquired BD from SoftBank in June 2021, a put option clause was included. If BD does not go public within four or five years after the acquisition, Hyundai Motor Group is obligated to buy back the 20% stake held by SoftBank at a pre-agreed price. The deadline for this option is next month, and if exercised, it could increase Hyundai's burden of additional share purchases.
Ultimately, for BD to dominate the humanoid market, it must convert its strong brand recognition and technological prowess into actual profits. A key factor will be how quickly it can secure external customers to integrate Atlas into manufacturing environments. An industry insider noted, "Stably deploying Atlas in the field and converting that into recurring revenue is essential. The results from testing at Hyundai's production sites will be a turning point for securing external customers."
* This article has been translated by AI.
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