Hyundai Motor Co.’s recently revealed collaborations are targeting the future of the automaker’s vehicle development, starting with its 2025 all-electric Ioniq 5 SUV.
In mid-September, the Seoul-based automaker, whose North American division is based in Fountain Valley, entered into an agreement with General Motors (NYSE: GM) to explore possible collaborations on future vehicles and technology.
A few weeks later, Hyundai announced a multiyear partnership with technology firm Waymo, who will provide its sixth-generation autonomous driving tech for a dedicated fleet of Ioniq SUVs.
For Hyundai Motor America’s in-house legal team, the two projects have been kept “under the surface” for many months, according to Chief Legal Officer Jason Erb.
“I think each of these sorts of collaborations and different engagements or agreements … make sense for the brand and where we are headed for potentially more technology in our vehicles,” Erb told the Business Journal.
He referred to the joint venture with GM as a “kickoff” to looking for “potential synergies.”
“We worked on that as primary lawyers for the Hyundai side of the equation. It’s an exciting project that we’re still working at,” Erb said. “We’re working on a more formal agreement around some of those synergies. Now, we roll up our sleeves and figure out what kind of projects are appropriate for collaboration.”
Collaborating with Waymo was another strategic partnership Erb said his team helped bring together. He said both agreements were part of Hyundai’s work in helping the automotive industry transition from internal combustion to electric.
“They’re big inflection points for Hyundai as a brand. I think they’re important cornerstones of who we try to be and where we’re trying to go as an automaker,” Erb said. “They’re also really, really interesting for the development of our industry.”
The legal team, which was honored in the In-House Legal Team category at the Business Journal’s General Counsel Awards last year, continue to look at and prepare for other business paths Hyundai might want to go down.
“There are some other projects beneath the surface we help support and you just never know if the two sides are going to reach agreements per se, as these are exploratory type discussions. We try to help the business engage in that process.”
Working on $8B Project
After breaking ground in fall 2022, the Hyundai Motor Group Metaplot America (HMGMA) in Georgia is starting production this month.
Hyundai announced in June that the plant would be dedicated to manufacturing the Ioniq 5 and was aiming to start production in the fourth quarter of 2024.
The almost $8 billion facility, dedicated to mass-producing electric vehicles, has been a top priority for the legal team since the beginning.
Erb described the project as a “baby startup” his team has been working on alongside their regular day job.
“You help it take shape and formalize it, and so forth. Then gradually, you try to give it the right ingredients so that it operationalizes on its own,” he said.
