Boston Dynamics’ Atlas humanoid robot was exhibited at Hyundai Motor’s headquarters in Seoul on March 26th. Provided by: Hyundai Motors
Hyundai Motor Group is accelerating a fundamental business restructuring by realigning the portfolio of its major affiliates with a focus on robotics and physical artificial intelligence (AI).
The shift began with a reported plan by Hyundai Weir to consider selling its defense business to Hyundai Rotem, allowing the former to focus more on its robotics business.
The move is seen as part of the group’s strategy to streamline duplicate or fragmented operations across its affiliates and accelerate its expansion into the lucrative robotics field.
Hyundai Mobis has also undergone notable changes. The group’s auto parts division is phasing out its traditional exterior parts business, such as bumpers and lamps, and increasing its focus on robotics.
Starting in 2021, the company has included manufacturing and sales of robots and robot parts in its business goals. The company has already shared plans to mass produce actuators, a key component of advanced robots.
Hyundai Motor is at the center of driving the transformation to physical AI across the group.
The automaker unveiled its latest humanoid robot, Atlas, at this year’s CES technology trade show in Las Vegas, underscoring its ambitions to expand beyond the traditional automotive field into the next generation of intelligent robotics. The robot was designed by Boston Dynamics, the group’s robotics division.
Hyundai Motor Group Chairman Jeong Eui-sun attends the 2026 Semaphore World Economic Summit held at a hotel in Washington, DC, on April 13. Provided by: Hyundai Motors
The group’s overall focus on robots and physical AI appears to be a key factor in building investor confidence.
Hyundai Motor shares closed Thursday at 534,000 won ($360), up 5.12% from the previous trading day, according to data from the Korea Exchange. Hyundai Wea’s stock price also increased by 6.09% during the same period.
Market analysts remain optimistic about Hyundai Motor Group’s prospects as it is competitive in the robot-driven AI business.
“Hyundai Motor Group is the world’s third-largest automaker in terms of vehicle production, so it has a strong core in protecting large data sets,” said Kang Sung-jin, an analyst at KB Securities.
Boston Dynamics is also clearly ahead of its rivals in AI robotics, and analysts say the automaker could expand its physical AI presence in South Korea and abroad faster than traditional manufacturers.
The securities firm kept the target stock price of Hyundai Motor Group unchanged at 800,000 won.
Hyundai Motor Group’s management also expressed confidence in the company’s transformation.
“By 2028, Atlas humanoid robots will be deployed in our manufacturing facilities, and the group plans to produce up to 30,000 Atlas robots annually by 2030,” Hyundai Motor Group Executive Chairman Jeong Eui-sun said in a recent interview with foreign media.
The market has responded positively to the company’s new vision. Hyundai Motor’s stock price soared on Friday, reaching a 185% increase over last year.
