Pony.ai plans to set up a joint venture with South Korea's GemVaxLink in Seoul within the year, which will deploy a fleet of autonomous vehicles in Seoul in the initial phase.
(File photo shows one of Pony.ai's robotaxi in China. Image credit: Pony.ai)
Chinese autonomous driving startup Pony.ai plans to set up a joint venture in South Korea to further expand overseas.
Pony.ai recently signed a deal with South Korean tech company GemVaxLink in Seoul to set up a joint venture to provide autonomous driving mobility technology and services in the region, according to a press release today.
The joint venture will be established in Seoul within this year, through which Pony.ai and GemVaxLink will work together on autonomous driving technology and application development.
The two companies will initially deploy a fleet of autonomous vehicles in Seoul to provide ride-hailing services to the public, Pony.ai said.
(Pony.ai signs with South Korea's GemVaxLink to form a joint venture in Seoul. Image credit: Pony.ai)
This is Pony.ai's latest endeavor in overseas markets, after it announced in October last year that it would set up a joint venture in Saudi Arabia.
On October 25, 2023, Pony.ai said it received a $100 million investment from Saudi Arabia's Neom and its investment fund NIF (Neom Investment Fund).
Pony.ai planned to set up a joint venture with Neom in northwestern Saudi Arabia to provide autonomous driving technology solutions for the region, the company said in October last year.
Founded in late 2016, Pony.ai has research and development centers in Silicon Valley, Guangzhou, Beijing, and Shanghai, as well as local robotaxi operations.
At the end of 2019, Nio Capital invested in Pony.ai for an undisclosed amount. In February 2020 the company announced it had raised $400 million from Toyota.
On August 4, 2023, Pony.ai signed an agreement with Toyota and Toyota's joint venture, GAC Toyota, in order to create a joint venture company to operate robotaxi business in China.
Since 2016, Pony.ai has conducted autonomous driving research and development and fleet operations in China, the US, Saudi Arabia, the UAE, and South Korea, and already has self-driving solutions with potential for commercialization, it said in the press release today.
Pony.ai will utilize GemVaxLink's R&D, services, and marketing resources for vehicle connectivity and software in South Korea to explore a commercial path for autonomous driving in the South Korean market, the company said.
The autonomous driving solutions market in South Korea are expected to increase from about RMB 7.687 billion ($1.07 billion) in 2024 to about RMB 13.986 billion in 2028, at a compound annual growth rate of 16.2 percent, Pony.ai said, citing data from the Korea Advanced Institute of Science and Technology.
Most cars sold in South Korea with assisted driving systems have L1 and L2 capabilities, and L4 driverless applications have yet to be rolled out on a large scale, Pony.ai said, adding that South Korea's mature urban infrastructure and market environment provide a good breeding ground for autonomous driving.
($1 = RMB 7.1994)
Chinese autonomous driving startup Pony confirms $100 million investment from Saudi Arabia
