Hyundai-Kia inks deal with Intel for in-car tech

Hyundai Motor Co. and its affiliate Kia Motors Corp. signed a deal with Intel Corp. yesterday to develop an enhanced in-vehicle infotainment (IVI) platform system.

The memorandum of understanding (MOU) reached in Seoul calls for the joint development of a platform that can allow users to receive entertainment content, as well as location-based and social networking services in their cars, the automakers said.

This will be an improvement over the current telematic systems employed by cars that usually provide real-time information about the vehicle, as well as road navigation and video and audio services.

Under the pact, Intel will be in charge of making a mobile IVI platform and developing related applications and software, while the two Korean carmakers will be tasked with using the technology in the vehicles they make.

Hyundai and Kia are the flagship companies of Hyundai Motor Group, the world’s fifth-largest vehicle manufacturer. Intel, a global leader in information technology, will share its virtual reality knowhow in IVIs.

Korea’s C&S Technology Inc. - which is dedicated to making automotive nonmemory semiconductors and stands as the third partner in the MOU - will be responsible for making the computer chips needed for the future infotainment system. The company will work with Hyundai and Kia to make input and output hubs and integrate Intel’s technology for practical use.

“The MOU aims to fuel growth of next-generation IT products for vehicles that can meet growing consumer requirements for both driving-related information and entertainment content,” said Hyundai Vice Chairman Yang Woong-chul.

He said Hyundai and Kia decided to work with Intel because the company holds a competitive edge in processing image and sound data.

The senior executive said efforts will be made to reduce costs and streamline the manufacturing process through closer cooperation. Meanwhile, the tie-up with Intel highlights the Korean carmakers’ commitment to building up software and hardware for IVIs.

“Strengthening this sector can help build a firm foundation for the manufacturing of next-generation ‘smart cars’ that will allow [us] to compete with other carmakers in the future,” the company said.

Hyundai and Kia claim to have closed the gap with foreign carmakers like Volkswagen and Honda in terms of fuel economy and power-train systems.

Yonhap