Hyundai Motor Co. pulled back from their statement confirming their association with Apple’s development of self-driving cars. Hyundai Motor updated their announcement, saying that they have been in talks with several companies to develop autonomous electric cars.
In a previous statement, Hyundai Motor initially confirmed their discussions with Apple regarding the manufacturing of their self-driving electric vehicles. The confirmation statement caused an $8 billion surge in Hyundai Motor’s stock market value, raising it by up to 19 percent.
“We understand that Apple is in discussion with a variety of global automakers, including Hyundai Motor. As the discussion is at its early stage, nothing has been decided,” said a Hyundai official to CNBC.
Following the reports, Hyundai Motor revised their confirmation statement after a few hours of its release. The South Korean automotive manufacturer has since withdrawn the mention of Apple.
“We’ve been receiving requests for potential cooperation from various companies regarding development of autonomous EVs. No decisions have been made as discussions are in early stage,” said Hyundai Motor in their second statement.
Since 2015, Apple has been planning to manufacture self-driving electric vehicles. If the collaboration with Hyundai Motor continues, they will develop a special battery designed to increase electric vehicle mileage.
Apple Inc. has yet to comment on the statements from Hyundai Motors.
Future of EV Production
“Under a tie-up, Hyundai can provide its EV platform to Apple, which in turn can provide the needed technology and software for electric cars. If realized, it would be a giant leap for the Korean auto industry,” said Samsung Securities auto analyst Im Eun-Young.
“A partnership with Apple, whether Hyundai co-develops or purchases the system, will benefit the Korean carmaker in upgrading their own software development capacity in the long term,” said an automotive professor, Lee Ho-geun.
“The fact that Hyundai Motor may be cooperating with Apple to make the first-ever ‘Apple car’ will boost the brand image and increase its credibility in terms of the technology installed in future cars,” continued professor Lee.
Analysts predict that Hyundai’s partnership with Apple could be a breakthrough in South Korea’s electric vehicle market. Hyundai’s mass-production capacity and Apple’s software could accelerate the future mobility of EVs.
According to analyst Takeshi Miyao, collaborations between automotive and technology companies are increasingly surfacing for electric vehicle advancements.
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