• 3 days Quantum Computing Is The Newest Megatrend In Silicon Valley
  • 4 days How To Invest In The Cybersecurity Boom
  • 6 days Investors Are Patient With Unprofitable Giants
  • 8 days Wells Fargo Back In The Scandal Spotlight Once Again
  • 10 days 5 Stocks To Keep A Close Eye On This Year
  • 11 days As Auto Giants Flail, Look To Chip Stocks For Gains
  • 12 days Central America Is Ready For The Bitcoin Hustle
  • 14 days China’s Video Game Restrictions Unlikely To Slow Down Booming Industry
  • 15 days Top Performing Stocks As Inflation Fears Grow
  • 16 days US Airline Stocks Take A Beating On New EU Restrictions
  • 17 days This IPO Could Open Sustainable Fashion Floodgates
  • 18 days Crypto Crime Nets Another $2B Fraudster
  • 20 days This Week’s Hottest Meme Stocks
  • 21 days Why World Markets Should Be Watching Germany Closely
  • 23 days Could ‘Cultured’ Meat Rival The Plant-Based Megatrend?
  • 26 days ‘Easy Money’: Crypto Is Still Attracting Newbie Investors
  • 27 days Foreign Syndicates May Have Stolen Up To $400B In COVID Benefits
  • 28 days Gold Jumps Above $1800 Ahead Of Jackson Hole Summit
  • 28 days International Banks Blacklist Afghanistan Following Taliban Takeover
  • 30 days China’s Tycoons Are Getting A Serious Reality Check
Airlines Could Recover, But Crew Remain Elusive

Airlines Could Recover, But Crew Remain Elusive

American Airlines is canceling hundreds…

China Lifts Cap On Births, Allows Three Children Per Couple

China Lifts Cap On Births, Allows Three Children Per Couple

Following a politburo meeting chaired…

Oilprice.com

Oilprice.com

Writer, OilPrice.com

Information/Articles and Prices on a wide range of commodities: We have assembled a team of experienced writers to provide you with information on Crude Oil,…

Contact Author

  1. Home
  2. News
  3. Breaking News

Automakers Aren't Giving Up On Self-Driving Cars Just Yet

Car

Just a few years ago, automotive companies were promising that by this time we would have had self-driving cars and autonomous car-ride services.

Reality turned out somewhat different, although all big automakers are investing in driverless technology and continue to work toward offering self-driving platforms and vehicles at some point in the next decade.  

Despite the fact that new tech-automotive alliances continue to be forged, carmakers are now more realistically suggesting that the driverless car is still years away from autonomously driving on roads.

Still, the biggest car manufacturers continue to invest in autonomous technology and software companies, aiming to move to the forefront of the driverless vehicle market in what looks like will be a crowded competition scene.

The latest such investment came from one of the top-selling automotive groups globally, South Korea’s Hyundai Motor Group.  

Hyundai said this week that it would form a joint venture with Aptiv to advance the development of production-ready autonomous driving systems for commercialization of Level 4 and 5 self-driving technologies.

The joint venture is planned to start testing fully driverless systems next year. In 2022, it will have a production-ready autonomous driving platform available for robotaxi providers, fleet operators, and automotive manufacturers, Hyundai said.

In terms of investment, Hyundai and Aptiv will each have a 50-percent stake in the joint venture, which is valued at a total of US$4 billion. Hyundai Motor Group affiliates Hyundai Motor, Kia Motors, and Hyundai Mobis will collectively contribute US$1.6 billion in cash and US$400 million in vehicle engineering services, R&D resources, and access to intellectual property. Aptiv, for its part, will contribute its autonomous driving technology, intellectual property, and approximately 700 employees.

The 2022 date for production-ready autonomous driving platform is not a promise we’ll have self-driving cars in mass use, as Bloomberg Opinion columnist David Fickling writes. Related: Lithium Hype Can't Live Up To Supply Realities

Still, investment of US$2 billion in the autonomous vehicles joint venture over several years is good use of Hyundai’s money, and is little compared to Hyundai’s US$10 billion in annual investment in R&D, Fickling notes.

Although the Hyundai-Aptiv joint venture won’t start selling autonomous driving platforms in the millions in three years’ time, investment in such technologies is the future for a carmaker that doesn’t want to be left behind in the self-driving revolution.

Other automakers are also advancing driverless technology plans, but they are also admitting that the self-driving car is not as close as many thought a few years ago.

In April this year, Ford’s CEO Jim Hackett admitted that they “overestimated the arrival of autonomous vehicles,” and that self-driving “applications will be narrow, what we call geo-fenced, because the problem is so complex,” as carried by Bloomberg.

Ford, however, continues to test self-driving on public streets and said this week that Austin, Texas, will become its third launch market for self-driving vehicles, along with Miami-Dade County and Washington, D.C. Ford will expand its testing operations to Austin in collaboration with Argo AI, in which Ford is an investor.

Related: Tesla Scrambles To Salvage Its Stumbling Solar Business

Ford is also collaborating with Germany’s Volkswagen and Argo AI to introduce autonomous vehicle technology in the U.S. and Europe,  “positioning both companies to better serve customers while improving their competitiveness and cost and capital efficiencies,” as Volkswagen said in July announcing the collaboration.

Another of Detroit’s Big Three, General Motors, said in July via its self-driving unit—Cruise—that it would delay commercial deployment of driverless vehicles beyond the 2019 target it had set because the cars needed more tests. 

Despite setbacks in the timeline of commercially deploying driverless cars, automakers are not giving up on efforts to advance self-driving technology and boost investments in what they believe would be the future of mobility in a decade or two.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Safehaven.com:

Back to homepage

Leave a comment

Leave a comment