Hyundai Motor Group Executive Chair Euisun Chung has outlined the company’s strategy to develop “Physical AI” solutions that connect artificial intelligence with robotics, manufacturing and urban infrastructure. Chung presented the vision at the San Francisco AI Summit on July 25, according to a Hyundai Motor Company newsroom release.

The group aims to move beyond traditional vehicle manufacturing and become a Physical AI solutions company. Chung said the long-term objective is to develop integrated intelligence capable of operating at the city level.

Hyundai plans to combine its manufacturing capabilities with robotics expertise centered on Boston Dynamics. The company also intends to establish a data system that links information from real-world operations with the ongoing development of AI models.

The group said it will work with technology companies including NVIDIA and Waymo, while Boston Dynamics maintains a strategic partnership with Google DeepMind. Hyundai and NVIDIA will also collaborate on a Robot Reference Platform designed to combine their Physical AI technologies and support an open ecosystem for South Korea’s industry.

Hyundai additionally plans to invest in the Saemangeum AI Valley and advanced industries in Korea’s Yeongnam region, with the goal of developing strategic domestic technology hubs.