With this collaboration, Hyundai Motor Group doubles down on its recent commitment to invest $87 billion United States dollars over the next five years to foster future growth.
South Korean auto giant Hyundai Motor Group said Wednesday it has signed a deal with USA electric vehicle startup Canoo to develop an electric vehicle (EV) platform for its upcoming models. It will be available to both Hyundai and Kia, and can be used for small-sized EVs, as well as bigger purpose-built vehicles (PBVs).
Hyundai Motor Group has this underlying architecture to help the company reduce the cost and complexity of production and enable it to respond quickly to changing market demands and customer preferences.
Speaking on the collaboration, Research and Development head at Hyundai Motor Group, Albert Biermann, reportedly cited that the company is looking forward for developing a cost effective Hyundai platform concept which is autonomous and extremely suitable for mass adoption. Canoo's proprietary skateboard architecture, which directly houses the batteries and electric drivetrain, has enabled Canoo to reimagine EV design in a way that challenges traditional automotive shape and functionality.
The announcement of the investment forms part of HMG's US$87 billion (A$129.4b) investment over the next five years, with US$25b (A$37.19b) of that being spent by Hyundai on future technologies, and the same amount by Kia for electrification and future mobility technologies, with the end goal of achieving 25 per cent of sales made up of eco-friendly vehicles by 2025. Canoo started in December 2017 to launch its own electric vehicle in September 2019. Canoo plans to launch the first electric vehicle in 2021.
Canoo's first vehicle is very similar to a minibus and it is designed as a "skateboard".
Korean automaker Hyundai Motor Co broadened its future transportation portfolio with an agreement to jointly develop electric vehicles with California startup Canoo, the companies said on Tuesday. A subscription model that puts an end to ownership, providing a hassle- and commitment free auto experience in modern cities. Canoo will provide the engineering expertise around its skateboard architecture (see image). It is this Canoo architecture that interests Hyundai Motor Group.