Baek Byung-yeul is a journalist at The Korea Times focused on cultural content, including films and cultural events in South Korea. You can contact him at baekby@koreatimes.co.kr to share your insights.
LG Electronics to expand cooperation with Magna
Seen is a concept image of the self-driving car solution that will be completed in cooperation between LG Electronics and auto parts company Magna. LG said Tuesday that the two companies will expand cooperation in self-driving technologies. Courtesy of LG Electronics
By Baek Byung-yeul
By Baek Byung-yeul
LAS VEGAS ― LG Electronics will expand cooperation with Canadian auto parts company Magna to jointly produce next-generation self-driving car solutions, according to LG, Tuesday (local time).
The two companies said they are promoting strategic technology cooperation with the goal of occupying the emerging autonomous driving market by integrating LG's infotainment technology and Magna's advanced driver assistance system (ADAS) and autonomous driving-related technologies.
“LG and Magna will have their own promotional booths at the Consumer Electronics Show (CES). Officials of the two companies will meet at the CES to further discuss cooperation measures,” an LG spokesperson said.
LG, which is expanding aggressively into automotive components, is a leading player in the vehicle infotainment business.
The company supplies various infotainment features for in-vehicle systems such as telematics, audio, video and navigation. In particular, LG has the largest share ― 23 percent, as of the third quarter of 2022 ― in the telematics market, according to data from Strategy Analytics.
Magna is one of the leaders in the auto parts business, supplying automotive parts ranging from powertrains to self-driving systems such as ADAS. The company acquired the ADAS business unit of Swedish autonomous company Veoneer recently for around 2 trillion won ($1.56 billion) in order to strengthen its competitiveness in the sector.
LG expects the collaboration will further increase its infotainment competiveness.
“By expanding cooperation with Magna, we expect to provide a differentiated customer experience not only for global carmakers but also for drivers and passengers,” said Eun Seok-hyun, head of LG's vehicle component solutions (VS) unit.
LG and Magna have already collaborated with each other in the vehicle business. In 2021, the two companies launched LG Magna e-Powertrain to produce powertrains for electric vehicles (EVs).
The joint venture is currently constructing its third factory in Mexico, following one in Incheon in Korea and another in Nanjing, China. The Mexico factory will produce core components for EVs such as motors and inverters and provide them for GM's EVs.
LG takes three vehicle-related sectors as top priorities for its vehicle business. They are infotainment systems, EV powertrains and vehicle lighting systems. Ever since it acquired Austria-based car lighting system maker ZKW for 1.4 trillion won in 2018, LG is stepping up its vehicle lighting business as well.