Industrial Automation Magazine India

Hyundai Motor Group to acquire controlling interest in Boston Dynamics

Published on : Monday 14-12-2020

Combination of highly complementary technologies of the two companies will propel development and commercialisation of advanced robots.

Boston/Seoul/Tokyo, December 2020 – Hyundai Motor Group and SoftBank Group recently agreed on main terms of the transaction pursuant to which Hyundai Motor Group will acquire a controlling interest in Boston Dynamics in a deal that values the mobile robot firm at $1.1 billion. The deal came as Hyundai Motor Group envisions the transformation of human life by combining world-leading robotics technologies with its mobility expertise. Financial terms were not disclosed.

Under the agreement, Hyundai Motor Group will hold an approximately 80% stake in Boston Dynamics and SoftBank, through one of its affiliates, will retain an approximately 20% stake in Boston Dynamics after the closing of the transaction. Hyundai Motor Group's affiliates - Hyundai Motor Co, Hyundai Mobis Co and Hyundai Glovis Co – and Hyundai Motor Group Chairman Euisun Chung respectively participated in the acquisition.

By establishing a leading presence in the field of robotics, the acquisition will mark another major step for Hyundai Motor Group toward its strategic transformation into a Smart Mobility Solution Provider. To propel this transformation, Hyundai Motor Group has invested substantially in development of future technologies, including in fields such as autonomous driving technology, connectivity, eco-friendly vehicles, smart factories, advanced materials, artificial intelligence (AI), and robots.

Advanced robotics offer opportunities for rapid growth with the potential to positively impact society in multiple ways. Boston Dynamics is the established leader in developing agile, mobile robots that have been successfully integrated into various business operations. The deal is also expected to allow Hyundai Motor Group and Boston Dynamics to leverage each other's respective strengths in manufacturing, logistics, construction and automation.

Boston Dynamics produces highly capable mobile robots with advanced mobility, dexterity and intelligence, enabling automation in difficult, dangerous, or unstructured environments. The company launched sales of its first commercial robot, Spot® in June of 2020 and has since sold hundreds of robots in a variety of industries, such as power utilities, construction, manufacturing, oil and gas, and mining. Boston Dynamics plans to expand the Spot product line early next year with an enterprise version of the robot with greater levels of autonomy and remote inspection capabilities, and the release of a robotic arm, which will be a breakthrough in mobile manipulation.

Boston Dynamics is also entering the logistics automation market with the industry leading Pick™, a computer vision-based depalletising solution, and will introduce a mobile robot for warehouses in 2021.