HD Hyundai Site Solution and Kakao Mobility have joined hands to tackle the unmanned logistics market.
HD Hyundai Site Solution, the construction equipment intermediate holding company of HD Hyundai (267250.KS), said Friday it signed a strategic memorandum of understanding (MOU) with Kakao Mobility on Thursday at HD Hyundai's Global R&D Center (GRC) in Pangyo to build a next-generation unmanned logistics and physical AI ecosystem.
Through the partnership, the two companies will develop an "intelligent logistics execution platform" in response to the recent surge in demand for automation at logistics sites. The core of the plan is to create an integrated system in which equipment, platform, and data are connected as one, by combining HD Hyundai Site Solution's capabilities in unmanned autonomous industrial vehicles (forklifts) and logistics site control solutions with Kakao Mobility's platform capabilities in integrated control of heterogeneous mobility, work optimization, and transport management.
The companies plan to address structural limitations such as operational inefficiencies and work delays caused by data disconnection between processes in existing logistics environments. The goal is to implement an automation system in which the entire logistics process — from unloading transport vehicles to dock handling and warehouse stacking — flows seamlessly.
The two companies plan to push forward with a joint demonstration event and proof of concept (PoC) this year to verify the technology's applicability and business viability at actual logistics sites.
According to global market research firm Spherical Insights, Korea's logistics automation market is projected to grow at more than 15% annually, reaching approximately $4.8 billion (about 7.1 trillion won) by 2035.
"The combination of our industrial vehicle and logistics site solution capabilities with Kakao Mobility's platform and service capabilities has laid the foundation for leading the logistics automation and physical AI ecosystem," HD Hyundai Site Solution CEO Song Hee-jun said. "Based on this partnership, we will accelerate automation at logistics sites and provide differentiated solutions to our customers."
The signing ceremony was attended by key officials from both companies, including CEO Song, HD Hyundai Site Solution Industrial Vehicle Division Head Oh Byung-soo, Kakao Mobility CEO Ryu Geung-seon, and Kakao Mobility Senior Vice President and Head of Business Division Ahn Kyu-jin.
