Waymo, the leading robotaxi service in the U.S., has partnered with Hyundai Motor to add electric Ioniq 5 hatchbacks to its fleet next year. The agreement involves the production of the vehicles at a new plant in Georgia and outfitting them with the latest self-driving technology from Waymo. While financial details were not disclosed, the move is part of Waymo’s efforts to reduce costs and improve profitability, as each I-PACE SUV currently used costs around $75,000.
The new partnership with Hyundai comes as Waymo expands its service area and offerings after years of research and development. With over 100,000 paid rides per week in Phoenix, San Francisco, and Los Angeles, Waymo is now preparing to launch commercial rides in fully autonomous vehicles in Austin, with plans to expand to Atlanta by 2025. The addition of the more affordable Ioniq 5s will help Waymo further reduce costs and reach more customers.
There have been concerns about Waymo’s plans to source electric vans from Zeekr, a brand under China’s Geely Automobile Holdings, due to the recent 100% tariff on imported Chinese autos imposed by the Biden Administration. Despite these challenges, Waymo remains committed to its vision of developing a versatile self-driving platform that can be deployed across different vehicles and form factors. The supply deal with Hyundai aligns with this strategy.
The partnership with Hyundai also benefits the automaker, which had initially planned to launch a robotaxi service using Ioniq 5s through Motional, a U.S. autonomous tech company in which it invested over $1 billion. However, the plans were shelved this year, and Motional’s founder and CEO Karl Iagnemma recently left the company. The collaboration with Waymo presents a new opportunity for Hyundai to leverage its EV technology in the autonomous driving space.
Waymo intends to begin testing the Ioniq 5s next year, with the goal of adding them to its Waymo One fleet in the near future. The potential for the Hyundai-Waymo partnership was first reported by South Korea’s Electronic Times newspaper, highlighting the growing interest and excitement surrounding the development of autonomous vehicles and their role in the future of transportation. Both companies are optimistic about the possibilities that lie ahead as they work to bring affordable and reliable self-driving technology to consumers.
