SEOUL, August 26 (AJP) -Hyundai Motor will work with Nvidia to put Level 2+ autonomous-driving technology into its first mass-produced software-defined vehicle in 2028, anchoring an ambitious AI push that also includes a 50,000-GPU data center, humanoid robots and expanded robotaxi production, the South Korean automaker said Wednesday.
The tie-up was declared at the company's 2026 CEO Investor Day devoted to positioning artificial intelligence and software as central pillars of a growth strategy that targets 5.55 million global vehicle sales and a market share of 6 percent by 2030.
Hyundai Motor Group plans to standardize the sensor architecture used by Hyundai Motor, Kia, 42dot and Motional around Nvidia's ecosystem, allowing driving data gathered across the group to be integrated under a common standard.
Under the staged plan, Hyundai will begin gathering real-world driving data with its Atria AI autonomous-driving system in Gwangju, South Jeolla Province, this year.
The company will then deploy Level 2+ autonomous-driving technology through a strategic collaboration with Nvidia in 2028 on its first mass-produced software-defined vehicle, or SDV. Hyundai intends to use the resulting driving data to continuously train and upgrade Atria AI before progressively extending autonomous-driving capabilities from Level 2+ toward Level 4 across its vehicle lineup.
The scale of Hyundai Motor Group's vehicle fleet could become an important part of that strategy. The group sells more than 7 million vehicles annually, providing a potentially large pool of real-world driving data for AI development.
Hyundai is also preparing infrastructure to process that data.
From 2029, the company plans to bring online a 100-megawatt AI data center in Saemangeum capable of housing more than 50,000 graphics processing units. The facility will connect data generated by Hyundai's global vehicle fleet with its in-house AI systems and computing infrastructure.
The push reflects Hyundai's effort to move beyond the traditional economics of selling vehicles and capture more value from software, autonomous driving and AI.
Chief Executive José Muñoz said Hyundai intends to become a "physical AI company" capable of producing and deploying robots and robotaxis as well as vehicles.
"Our fundamentals have never been stronger," Muñoz said. "We are leveraging partnerships to scale new technologies and opportunities and becoming a physical AI company which will produce and deploy robots and robotaxis."
Robotics is another major leg of that transition.
Hyundai Motor said it plans to deploy Boston Dynamics' Atlas humanoid robot at Hyundai Motor Group Metaplant America from 2028.
The group's Robot Metaplant Application Center in the United States, which opened in June, is expected to expand tenfold by the end of this year. The center recreates factory environments to train manufacturing robots, collect real-world operating data and conduct testing before deployment on production lines.
Hyundai is also exploring whether its dealership network could distribute robots and whether Hyundai Capital could finance their purchase, potentially extending the group's existing automotive sales infrastructure into robotics.
Robotaxis are moving closer to commercial scale as well.
The first IONIQ 5 robotaxis for Waymo are scheduled for delivery in the fourth quarter of this year. The vehicles will be assembled at Hyundai Motor Group Metaplant America in Georgia using a localized supply chain.
Hyundai said those vehicles could support Waymo's international robotaxi expansion from as early as 2027. Motional will also use robotaxi-ready IONIQ 5 vehicles when its commercial driverless service launches later this year.
The technology push forms part of a broader product offensive designed to lift sales while improving profitability.
Hyundai reaffirmed its target of selling 5.55 million vehicles globally by 2030, with electrified vehicles expected to account for 60 percent of sales, up from 23 percent in 2025.
The automaker plans more than 100 vehicle launches and refreshes worldwide through 2030, including at least 18 entries into new products and market segments. Seven new vehicles are scheduled to arrive within the next eight months.
One of the most significant additions will be Hyundai's first extended-range electric vehicle, or EREV.
The Santa Fe EREV is scheduled to launch in the first half of 2027 with more than 600 miles of total range. It will be built at Hyundai Motor Manufacturing Alabama as part of Hyundai's broader effort to localize more production in the United States.
Hyundai plans to add 1.27 million units of global manufacturing capacity by 2030, including 500,000 units in North America, 320,000 in India, 250,000 across completely knocked-down production sites and 200,000 in South Korea.
In North America, the company raised its local parts-sourcing target to more than 80 percent by 2030 from 60 percent previously. More than 10 hybrid models will be offered in the region, with hybrids targeted to account for half of sales.
Hyundai is also stepping deeper into battery technology.
The company said its independently developed battery cells deliver more than twice the output of the high-nickel cells it previously used while reducing charging time by 40 percent.
The cells will be applied to its first EREV models, while new electric vehicles launching next year will use mid-nickel NCM batteries that Hyundai says can cut battery costs by about 30 percent.
A new Thermal Runaway Protection system designed to prevent heat from spreading between battery cells will debut on the Genesis GV90.
Genesis itself is entering its second decade with a broader electrified lineup, including its first hybrid and EREV, while targeting annual sales of 350,000 vehicles in more than 40 markets by 2030.
Hyundai expects the combination of new products, localized production and technology investment to translate into stronger margins.
The company raised its 2030 consolidated operating profit margin target to above 9 percent from the previous range of 8 percent to 9 percent.
It aims to reduce its cost-of-sales ratio by 3 percentage points through lower material costs, production localization and efficiency gains across the vehicle lifecycle.
Hyundai maintained its 2026 operating margin guidance of 6.3 percent to 7.3 percent after recording revenue of 95.2 trillion won and an operating margin of 5.6 percent in the first half.
The strategy amounts to a broad bet that Hyundai's next phase of growth will depend increasingly on computing power, software and AI as much as vehicle production.
AJP Takeaways
- Hyundai Motor will work with Nvidia to introduce Level 2+ autonomous driving on its first mass-produced software-defined vehicle in 2028, while standardizing group sensor architecture around the Nvidia ecosystem.
- Hyundai plans a 100-megawatt AI data center in Saemangeum from 2029 capable of housing more than 50,000 GPUs to process autonomous-driving and vehicle data.
- The automaker is expanding into physical AI through Boston Dynamics humanoid robots, Waymo robotaxis and AI-enabled manufacturing while targeting 5.55 million global vehicle sales by 2030.
- Hyundai raised its 2030 operating profit margin target to above 9 percent and plans more than 100 vehicle launches and refreshes, including its first extended-range EV in 2027.
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