South Korea

Intelligence for Better Decision Making

Hyundai Launches Domestic AI-Driven Autonomous Vehicle Initiative for 2028 Commercialization
Jan. 13, 2026 | Technology & Innovation

Hyundai Motor and its partners are developing a domestically engineered AI-driven autonomous vehicle set for commercialization by 2028.

**Hyundai aims to integrate a homegrown AI autonomous driving model to manage core vehicle functions, narrowing the technological gap with global automakers and boosting its competitiveness.**
LG Electronics, Hyundai Mobis and HL Mando will jointly build the ADV platform—combining vehicle architecture and software—by the end of next year, while HL Clemoove and Kakao Mobility develop a specialized AI model for software-defined vehicles by 2027. Additional partners including Naver will support data integration and AI infrastructure.

**Mass production of the ADV is scheduled to begin in 2028, with broader applications rolling out by 2030 to strengthen South Korea’s AI mobility ecosystem.**
Hyundai plans to announce key milestones at the K-AI Future Car Alliance signing ceremony in January 2026. Chairman Chung Eui-sun has stressed the strategic shift toward in-house AI development to position Hyundai as a world-class automaker and reduce reliance on external solutions.

**In parallel, Hyundai is expanding its AI capabilities through collaborations in robotaxi and robotics.**
Partnerships with Motional and Boston Dynamics will foster AI expertise transferable across mobility and robotics ventures. Naver will extend mobility services by integrating AI agents, infrastructure and data to support future vehicle ecosystems.

**Gwangju city will serve as South Korea’s first autonomous driving testbed, hosting around 200 AI-equipped robot vehicles from mid-2026.**
Backed by a 62.2 billion won national investment, these vehicles will collect urban driving data in snow, rain, congestion, construction zones and narrow alleyways to refine autonomy algorithms and enhance performance.

**The K-Autonomous Driving Collaboration Model in Gwangju pairs large corporations developing vehicle control platforms with startups providing autonomous driving software.**
The downtown area will act as a demonstration zone, leveraging an existing national AI data center and a major driving simulator in Advanced Industrial Complex 3. Plans call for a triangular industrial belt linking Jingok, Bitgreen and the Future Car Industrial Complexes, later expanding citywide to mirror global autonomous driving hubs.

**Government support includes regulatory easing within designated autonomous driving pilot zones to encourage industry participation.**
These measures align with the national Master Plan to Foster the Future Car Materials, Parts, and Equipment Industry and aim to build a sustainable ecosystem that drives long-term local economic growth.
Motional advances full driverless robotaxi rollout in Las Vegas for 2026
Jan. 13, 2026 | Transportation & Logistics

Fully driverless Level 4 robotaxi services promise to redefine urban transportation in major cities.

**Motional, a majority Hyundai Motor Group joint venture, plans to launch fully driverless Level 4 robotaxi services in Las Vegas by the end of 2026.**
Since early 2026, the company has run pilot services with modified Hyundai IONIQ 5 vehicles alongside ride-sharing platforms such as Uber and Lyft to validate safety, driving quality, and customer experience before full commercialization.

**The company’s autonomous driving efforts began in 2018, with pilot programs in Las Vegas, Los Angeles, Santa Monica, and Singapore.**
Motional chose Las Vegas for its dense traffic and high tourist volume, creating rigorous test conditions. To date, it has provided more than 130,000 public rides and logged over 2 million autonomous miles without any at-fault incidents. A fleet of 109 vehicles operates under daily monitoring by a central control team based in Las Vegas.

**Motional follows a safety-first approach, meeting US NHTSA Federal Motor Vehicle Safety Standards and earning validations from German testing and certification bodies.**
Its robotaxis integrate 29 sensors—including cameras, radar, and LiDAR—for multimodal redundancy. On January 8, 2026, a 35-minute Level 4 test drive in Las Vegas demonstrated the vehicle’s advanced perception and decision-making: it detected a flying plastic bag, stopped, activated hazard lights, and smoothly navigated commercial districts, tourist areas, hotels, and the busy Strip. The only issue noted was noticeable computer fan noise inside the cabin, which the team will resolve before commercialization.

**Motional is shifting from a modular autonomous architecture to an end-to-end AI and machine learning system that unifies perception, decision-making, and control into a single model.**
This new approach aims to boost performance in complex settings, reduce software complexity, speed up updates, and support global scalability. Current pilot vehicles operate both architectures in parallel to gather data and refine the end-to-end system.

**Hyundai Motor Group will integrate Motional’s Level 4 operational know-how and safety systems with 42dot’s software-defined vehicle platform to strengthen its autonomous driving capabilities.**
Having invested approximately $3 billion in development, Motional is also evaluating service expansion into South Korea and other markets based on insights gained from its US rollout.

Monitored Intelligence for South Korea - Jan. 14, 2026


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Erudite Risk takes an all risks approach to intelligence reporting. We categorize key intelligence into one of 40 different risk intelligence categories.

The goal is to provide intelligence that allows decision makers to avoid being blindsided by what they may have missed, while informing them to make better decisions as well.

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We categorize key intelligence into one of 30 different operations intelligence categories.

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中, 희토류 日수출 통제 본격화…국내 기업 영향은

China Intensifies Rare Earth Export Controls to Japan… Impact on Domestic Companies

ZD Net Korea | Local Language | News | Jan. 14, 2026 | Shifting Geopolitical Alliances

China has intensified its rare-earth export controls targeting Japanese companies, including a ban on dual-use goods for military purposes and prohibiting some state-owned enterprises from entering new contracts with Japanese rare-earth buyers. The measures also involve holding accountable those transferring Chinese dual-use items to Japan via third countries, effectively creating secondary sanctions. Japan has formally protested and is accelerating supply-chain countermeasures, coordinating with G7 partners and exploring alternative rare-earth sources such as deep-sea mining in the South Pacific.

Japan's automotive industry is particularly vulnerable due to its reliance on rare earths for permanent magnets and electric vehicle motors. Disruptions could strain vehicle production and electrification efforts. While some domestic automakers might see short-term benefits in certain markets if Japanese production falters, experts warn the overall medium- to long-term impact could raise costs and procurement uncertainties. Industry voices emphasize the importance of diversifying supply sources and preparing for possible expanded export controls, including potential impacts on South Korea.

Japan's government has operated an interagency task force since last year to address mineral supply-chain risks and is finalizing a comprehensive rare-earth strategy delayed into early 2026. Officials note that indirect supply routes involving Japanese production in third countries could affect some domestic firms, although the volume of rare earth exports from Japan to Korea is minimal. Close communication with industry continues as the government anticipates announcing full measures by late January or early February.

[AI 리더스] 신현석 투라인클라우드 공동대표 "MSA 기술로 AI 도입·확산 조력자 될 것"

[AI Leaders] Shin Hyun-seok, Co-CEO of Two Line Cloud, Will Be a Facilitator for AI Adoption and Expansion with MSA Technology

ZD Net Korea | Local Language | News | Jan. 14, 2026 | UndeterminedTech Development/Adoption

Shin Hyun-seok, co-CEO of Two Line Cloud, aims to facilitate AI adoption in companies by utilizing microservice architecture (MSA) to redesign legacy IT structures and enable stable AI integration. With extensive experience from Microsoft, AWS, SK C&C, and Smilegate, Shin now leads Two Line Cloud’s mid- to long-term growth and global expansion, focusing on making AI a practical tool to improve work processes rather than a mere "speaking technology."

Shin identifies legacy systems, mostly monolithic in structure, as the main barrier to AI adoption. Two Line Cloud addresses this by building an intermediate MSA-based layer that connects AI to existing systems without full system overhauls, enabling phased, cost-effective transitions. Their AI automation platform Turaco, MSA transition tool MSAP.ai, and DaaS-based solution HyperDEX support enterprise AI implementation, particularly in public and financial sectors where security and stability are critical.

Following Shin’s appointment, Two Line Cloud restructured to a co-CEO model, consolidating its Gangnam headquarters to enhance coordination between technology and business strategy. Shin focuses on scaling through partner ecosystem expansion and overseas market entry, while the other CEO oversees financial and technical stability. This unified structure aims to accelerate decision-making and harmonize AI automation, MSA, and DaaS offerings with sales and operations.

Two Line Cloud’s core strategy for 2026 centers on expanding partnerships to address growing AI and MSA demand across industries. Collaborations with domestic cloud service providers like NHN Cloud, Naver Cloud, and Kakao Enterprise, along with system integrators, hardware vendors, and software distributors, will drive market penetration. The company plans to establish joint business models and revenue-sharing to foster recurring subscription-based income, extending this partner-driven approach to Asian markets such as Japan, Vietnam, and Indonesia.

The company’s mid- to long-term vision involves becoming a foundational enabler for corporate AI adoption by shifting from traditional SI projects to platform- and subscription-based models. Two Line Cloud focuses on delivering scalable, continuous AI integration through a platform that links AI agents with existing legacy systems, supporting gradual corporate digital transformation. The firm plans to replicate proven domestic strategies in international markets through local partners and CSPs, promoting sustainable growth in cloud, MSA, and AI sectors.

Shin underscores Two Line Cloud’s role in overcoming persistent challenges companies face in AI adoption due to legacy systems’ inflexibility. By leveraging MSA and cloud technologies, the company aims to be the initial point of support for firms uncertain about how to embark on AI transformation, enabling practical and scalable AI deployment that drives long-term results.

(LEAD) Lee says S. Korea, Japan should explore new areas of cooperation to deepen ties

Yonhap | English | News | Jan. 14, 2026 | UndeterminedBizdev-Partnering

South Korean President Lee Jae Myung emphasized the importance of South Korea and Japan as partners sharing common values and called for exploring new areas of cooperation to deepen bilateral ties. His remarks came ahead of his visit to Japan’s Nara Prefecture for summit talks with Japanese Prime Minister Sanae Takaichi on January 13-14, 2026. Lee highlighted the complex geopolitical situation in Northeast Asia and the necessity for the two countries to complement each other’s shortcomings.

The issue of South Korea’s ban on seafood imports from eight Japanese prefectures remains unresolved and is considered a long-term matter that requires public trust. The ban, imposed since 2013 due to radiation concerns following the Fukushima nuclear disaster, impacts Seoul’s efforts to secure Tokyo’s support for its bid to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), a trade pact led by Japan.

On security challenges, Lee welcomed Takaichi’s intent to hold talks with North Korea regarding abducted Japanese nationals, stressing that dialogue between North Korea, the U.S., and Japan is vital for peace and stability in Northeast Asia. He expressed willingness to facilitate improved Japan-North Korea relations through communication.

Lee’s visit marks his fifth summit with a Japanese prime minister since taking office in June 2025, reflecting an ongoing "shuttle diplomacy" approach aimed at sustaining momentum in bilateral relations. The upcoming talks are expected to address regional and global issues, including North Korea, as well as economic, social, and cultural cooperation.

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