Hyundai and Samsung to Collaborate on "Smart Car" Initiative

Strategic Insights -

South Korea's two largest companies, Hyundai Motor Co. and Samsung Electronics Co., are set to sign a deal to develop a car that will enable seamless interaction between the vehicle's tablet computer and cellular phones. The "smart car" will allow automatic connection between the car's tablet computer and Samsung's smartphones, providing users with free and easy access to various contents of the phone from the tablet computer.

Key Takeaways:

  • Hyundai Motor Co. and Samsung Electronics Co. will sign a deal to develop a "smart car" that enables interaction between the vehicle's tablet computer and cellular phones.
  • The "smart car" will allow automatic connection between the car's tablet computer and Samsung's smartphones without requiring additional setup or programs.
  • The partnership is expected to create a synergy rarely seen before in business partnerships, as Hyundai and Samsung are the country's two largest companies and long-time business rivals.
  • Hyundai had earlier plans to introduce its first tablet computer-mounted vehicles in 2013, but the partnership with Samsung will enhance the scope and features of the vehicle's technology.
  • The cooperation between Hyundai and Samsung is not the only example of collaboration between automakers and IT companies; Toyota's Entune multimedia system also utilizes customers' mobile phones to offer in-vehicle entertainment, navigation, and information services.
  • Hyundai Motor, along with its affiliate Kia Motors Corp., is the world's fifth largest automotive group, while Samsung Electronics is the world's second largest supplier of cellular phones.

Statistics:

  • Hyundai Motor Co. is the world's fifth largest automotive group, with affiliated companies Kia Motors Corp. and Hyundai Motor Group.
  • Samsung Electronics Co. is the world's second largest supplier of cellular phones.
  • The "smart car" initiative is expected to create a synergy between Hyundai and Samsung, two of the country's largest companies.
  • Toyota's Entune multimedia system also utilizes mobile phones to offer in-vehicle entertainment, navigation, and information services.
  • Hyundai had earlier plans to introduce its first tablet computer-mounted vehicles in 2013.

Sources:

  • (Yonhap)
  • (KSE:005387) - Hyundai Motor Co.
  • (KSE:005935) - Samsung Electronics Co.
  • (KSE:00270) - Kia Motors Corp.