Hyundai reorganises chip ambitions for autonomous vehicles
The Semiconductor Strategy Office at Hyundai has been dissolved, signalling a shift in focus for autonomous chip development.
Hyundai has dissolved its Semiconductor Strategy Office, signalling a strategic shift in its in-house chip ambitions. Established in 2022, the office was a key part of the company’s plans for autonomous vehicle technology but has now been integrated into other divisions, including the Advanced Vehicle Platform and procurement departments. Vice President Jae-Seok Chae, who led the office, also stepped down as part of the reorganisation.
The move reflects Hyundai’s effort to streamline operations and enhance synergy, though it marks a significant challenge for its plans to develop in-house autonomous driving chips. The company has relied heavily on Mobileye’s ADAS chips while facing competition from industry leaders such as Tesla, NVIDIA, and Qualcomm.
Reports suggest Hyundai is reassessing its semiconductor projects, with one major autonomous driving chip programme under review. Alternatives could include collaborating with AI firm Tenstorrent or outsourcing chip production to Samsung, potentially using the tech giant’s 5-nm-based SF5A process.
Hyundai’s reshuffle highlights the growing pressure on automakers to innovate in the autonomous vehicle market while managing cost and resource challenges. Future developments may determine whether the company continues in-house efforts or pivots entirely to external partnerships.
