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Infineon - Hyundai Cooperation on Joint Innovation Center

(Interviews, 20 Mar 2007 )

Infineon Technologies AG and Hyundai Motor Company have announced a strategic cooperation for the development of automotive electronics. The companies have also opened a joint innovation center.

Hyundai Motor Company selected Infineon as a semiconductor partner for this long term strategic cooperation in order to develop automotive electronic system solutions for Hyundai and Kia vehicles. The cooperation includes the development of automotive electronics system architecture and related semiconductors, along with enhancements of Hyundai's current automotive electronic systems, based on the synergy of Hyundai's automotive electronics technology and Infineon's semiconductor know-how.

In addition to Infineon's complete chipset solutions and broad technology portfolio, including power semiconductors, microcontrollers and sensors, the company will contribute its expertise in automotive semiconductor development, in-depth application engineering know-how and high quality based on its zero-defect culture and continuous quality improvement.

Hyundai's responsibilities will include automotive electronic system architecture development, electronic system partitioning and electronic control units (ECU) design, and evaluation with innovative cost optimization, rigorous quality control and proper time-to-market.

The two companies have also opened a joint innovation center. The Hyundai Infineon Innovation Center (HIIC) will work on the functional and cost optimization of car electronics systems, as well as develop automotive electronic system architecture, including the design of ECU and application-specific integrated circuits (ASICs) in powertrain, safety and body applications for Hyundai and Kia vehicles.

The innovation center is located at the Yangjae-dong headquarters of the Hyundai-Kia Automotive Group in Seoul and will be co-managed by both companies. At the beginning, development activities will focus on automotive electronics system architecture and related automotive electronics products in body applications, such as light modules, HVAC (heating, ventilating and air conditioning) and door modules. The companies expect the first jointly developed products to be used in Hyundai and Kia cars starting 2010.

Based on semiconductor technology, the companies will cooperatively analyze existing Hyundai and Kia applications regarding cost optimization and system quality improvement by integration of functions and reduction of components using application specific standard products (ASSPs) or ASICs.

Hyundai and Infineon agreed not to disclose financial details regarding their cooperation and joint innovation center.

"With the ever-increasing amount of semiconductors in cars, a close cooperation between automotive manufacturers and semiconductor manufacturers is absolutely indispensable, if we want to ensure maximum reliability and durability of electronics systems in our vehicles," said Dr. Hyun-Soon Lee, Chief Technology Officer and President of the Hyundai-Kia R&D Division about the strategic partnership.

"Today's major challenge facing the automotive industry is to offer the highest quality with innovative technologies at attractive prices," added Peter Bauer, Member of the Board and head of the Automotive, Industrial and Multimarket business group at Infineon Technologies. "Partnership at every stage in the value chain must be very close with the semiconductor manufacturer to be involved early in the predevelopment phase. Being selected by the Hyundai-Kia Automotive Group to enter this strategic cooperation allows Infineon to understand the Hyundai-Kia application roadmap to offer the right product at the right time into the market."


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