(Bloomberg) –
Hyundai Motor Co. and its affiliate Kia Motors Corp. said they are not in talks with Apple Inc. over cooperation to develop an autonomous electric vehicle, after reports and speculation that they were working with the tech giant.
South Korean automakers have been talking to several companies about the autonomous development of electric cars, but no decision has been made, they said in regulatory documents on Monday. Hyundai said the discussions are in the early stages. Hyundai’s shares fell up to 8.4% in Seoul, while Kia’s shares plunged 15.3%.
Apple Inc. interrupted discussions with Hyundai and Kia weeks ago about building an electric vehicle, people familiar with the matter told Bloomberg late last week. Apple discussed similar plans with other automakers, people added, asking not to be identified because the information is not public.
Hyundai’s statement is almost identical to one it issued a month ago, after the company mistook its message around the Apple vehicle, first confirming reports from local Korean media that were in discussions with the tech giant, then reviewing its statement twice. hours. Hyundai finally said it received requests for potential cooperation from several companies.
Apple’s plans for an electric vehicle are shrouded in secrecy, but are being closely watched. That’s because the car’s design has the potential to revolutionize the automotive industry in the same way that its iPhones, iPods and iPads rocked the consumer electronics market. There are now millions of design-conscious buyers globally dedicated to the tech giant.
Investors sent Hyundai shares up almost 20% on Jan. 8, and the weeks since have been peppered with speculation about what the Cupertino, Calif.-Based automaker Apple can partner with. Earlier this month, another report said that Kia would receive an investment of 4 trillion won ($ 3.6 billion) from Apple to manufacture EVs, causing its shares to increase 10%.
Days later, a report by Japan’s Nikkei newspaper said that Apple is in talks with at least six car manufacturers to develop its EV, while Dow Jones said that Kia approached potential partners about a plan to assemble the car. electric car in Georgia.
Geely, Baidu
Like many large tech companies that are working on smart, connected mobility solutions, Apple probably needs to partner with an automaker. Setting up a car factory can cost billions of dollars and take many years.
In the past few months, we have seen a wave of deals in this direction, from China’s Zhejiang Geely Holding Group Co. signing collaboration agreements with Chinese search giant Baidu Inc. and Taiwanese manufacturing partner Apple Foxconn Technology Group to signing of a manufacturing agreement with Foxconn Startup of Chinese EV Byton Ltd.
An Apple car would rival the EVs of Tesla Inc., as well as offerings from start-ups like Nio Inc., Li Auto Inc. and Lucid Motors and established companies like Daimler AG and Volkswagen AG.
EV sales are growing in Europe, reaching a record in 2020 and this year should mark yet another period of growth, supported by a series of new models. China is already the largest EV market in the world, with deliveries growing nearly 10% last year to 1.11 million units, according to data from the China Passenger Car Association last month.
BloombergNEF predicts that EV adoption will accelerate in the 2030s and, by 2050, about 65% of all kilometers traveled by passenger vehicles will be electric. By 2050, EVs will account for 73% of all new car sales worldwide and there will be about 800 million EVs on the roads, out of a total fleet of 1.5 billion passenger vehicles.
Kia Refresh
Hyundai recently developed a new EV platform and plans to build 23 models on it, starting with the Ioniq 5 in March in Europe and followed by a Kia brand later this year. EVs made on the platform will be able to charge up to 80% of capacity in 18 minutes and add up to 100 kilometers (62 miles) of autonomy in just five. They will have a maximum range of 500 kilometers on a single charge.
Last month, Kia reformulated the brand with a new and more elegant logo, removing its oval emblem and announcing a new slogan “Movement that inspires” to replace its old mantra “Power to surprise”.
“The new Kia logo represents the company’s commitment to becoming an icon of change and innovation,” said CEO Ho Sung Song. “The automotive industry is going through a period of rapid transformation and Kia is proactively shaping and adapting.”
(Updates the actions in the second paragraph.)
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