LG Electronics will expand its partnership with Canadian auto parts maker Magna. The collaboration between the two is aimed at producing self-driving cars. Through this initiative, the two want to target the growing autonomous car market.
One of the steps it is trying to develop is integrating technology related to LG infotainment and a sophisticated driver assistance system called ADAS from Magna. âLG and Magna will have their own promotional booth at the Consumer Electronics Show (CES). Officials from the two companies will meet there to discuss further cooperation steps,” said a spokesperson for LG as quoted by the Korea Times.
LG, which is now starting to expand aggressively in the automotive industry, has a strong position in the vehicle infotainment business. They supply various in-vehicle features, such as telematics, audio, video and navigation. According to data from Strategy Analytics, LG has the largest market share of 23% in the third quarter of 2022 in the telematics market.
Meanwhile, Magna is one of the leaders in the auto parts business. They supply automotive parts ranging from powertrains to self-driving systems like ADAS. The company also recently acquired the ADAS business unit from Swedish autonomous company Veoneer for around US$ 1.56 billion, to strengthen its competitiveness in the sector.
LG hopes this collaboration will further enhance the competitiveness of its infotainment business. âBy expanding our collaboration with Magna, we hope to provide a different experience. Not only for car manufacturers globally, but also for drivers and passengers,” said Eun Seok-hyun, Head of LG’s Vehicle Component Solutions.
This collaboration is actually not the first time they have done this. In 2021, the two companies launched the LG Magna e-Powertrain to manufacture electric vehicle powertrains.
Currently, they are building their third factory in Mexico. Meanwhile, the factories for their latest collaboration are located in Incheon, Korea and Nanjing, China. Their factory in Mexico will produce core components for electric vehicles such as propulsion motors and inverters for GM electric cars.
