“Capturing Future Growth Opportunities in Semiconductors and Robotics”
Building a Lineup of Leading Technologies Such as Displays and SDV Solutions
“Expanding Non-Affiliate Revenue Share of Core Components... Targeting 40% by 2033”
On August 27, Hyundai Mobis announced its ambition to seize future growth opportunities in next-generation core sectors such as automotive semiconductors and robotics at its CEO Investor Day. The company declared its full-scale entry into the semiconductor and robotics businesses while also accelerating the development of key components for future mobility, including electrification and software-defined vehicles (SDVs).
Hyundai Mobis held its "2025 CEO Investor Day" for investors at the Fairmont Hotel in Yeouido, Seoul, on the afternoon of the same day. At the event, KyuSeok Lee, President of Hyundai Mobis, stated, "We will secure growth momentum by focusing our resources, including investments and R&D personnel, on future core products."
KyuSeok Lee, President of Hyundai Mobis, is presenting the company's future growth strategy and specific execution plans at the "2025 CEO Investor Day" held on the 27th at the Fairmont Hotel in Yeouido. Hyundai Mobis
"Capturing Future Growth Opportunities in Semiconductors and Robotics"
During the event, Hyundai Mobis unveiled its strategies to strengthen competitiveness in next-generation automotive semiconductors and robotics. The development of automotive semiconductors will proceed along two tracks: system semiconductors and power semiconductors. In the system semiconductor field, the company aims to secure in-house design capabilities for communication SoCs (System on Chip) that integrate network functions required for SDV vehicle control into a single chip, as well as battery monitoring ICs (BMICs) essential for battery stabilization.
Currently, Hyundai Mobis has independently developed a total of 16 types of semiconductors, including airbag semiconductors, motor controllers, and power semiconductors for AVN (audio, video, navigation) electronic components. Mass production is carried out through external foundries, and the number of units produced this year alone has reached 20 million. The company is currently developing 11 types of next-generation automotive semiconductors.
Additionally, Hyundai Mobis announced for the first time its plan to enter the actuator market, a core component of robotics, at this event. President Lee stated, "Based on our experience in automotive parts development and mass production, we have decided to pursue new business opportunities in the actuator sector, which is technologically similar to vehicle steering systems." Actuators are drive devices that control the movement of robots. Starting with robot actuators, Hyundai Mobis is considering expanding its business into various areas, including sensors, controllers, and hand grippers (robot hands).
Building a Leading Technology Lineup in Displays and SDV Solutions
President Lee also introduced the company's ongoing development of various leading technologies, such as windshield displays and SDV solutions. Hyundai Mobis is targeting the next-generation automotive display market with new technology that utilizes the vehicle's front windshield as a transparent display. The company is currently co-developing this technology with ZEISS, a global optics company based in Germany, and plans to launch the product around 2029.
The company is also accelerating the development of SDV core technologies, which have recently gained significant attention. Hyundai Mobis is advancing its existing expertise in electric/electronic control solutions (E/E architecture) to develop a standardized platform that can be applied to various customers and vehicle models. The company plans to begin full-scale commercialization for global customers after 2028.
"Expanding Non-Affiliate Sales Proportion of Core Components... Targeting 40% by 2033"
President Lee emphasized business structure improvement through enhanced profitability at this year's Investor Day as well. By focusing the product lineup on high value-added items, the company aims to achieve an average annual sales growth rate of over 8% and an operating margin of 5-6% by 2027.
The holographic windshield transparent display equipped by Hyundai Mobis unveiled at CES 2025. Provided by Hyundai Mobis
Based on these business structure improvements, Hyundai Mobis will also significantly increase its global order performance. The company has set a goal to expand the proportion of non-affiliate sales in core components to 40% by 2033. In addition to major customers in North America and Europe, the company plans to greatly increase orders from high-growth emerging markets such as China and India.
Despite uncertainties in the automotive industry this year, Hyundai Mobis has maintained its financial targets of 8% sales growth and an operating margin of 5-6% as presented last year. The company will keep the total amount of cash dividends at last year's level, while increasing the interim dividend from 1,000 won to 1,500 won. This year, the company will also expand its share buyback and cancellation program to approximately 610 billion won.
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