Hyundai, Samsung in Talks for Self-Driving Chips

Hyundai Motor is reportedly in talks with Samsung Electronics to manufacture automotive chips for self-driving vehicles, utilizing Samsung's 5-nanometer 'SF5A' process. This collaboration aims to create a stable domestic supply chain for Hyundai, reducing its reliance on foreign chipmakers like TSMC, and could lead to significant cost savings. The partnership is also expected to strengthen Samsung's position in the burgeoning autonomous chip market, projected to reach $29 billion by 2030, especially following Tesla's decision to use Samsung for its next-generation Full Self-Driving chips. Hyundai plans to launch vehicles equipped with its own chips by 2026, reflecting a broader industry trend toward in-house chip development. The agreement is seen as mutually beneficial, enhancing both companies' capabilities in the competitive automotive technology landscape. Overall, this partnership could catalyze further growth and innovation in the self-driving vehicle sector.