A Motional robo-taxi, based on the IONIQ 5 Electric Vehicle

Following Apple and other global automakers, Samsung Electronics has halted its autonomous vehicle research, putting a brake on the “era of autonomous driving.” Automakers have abandoned Level 4 autonomous driving, where the car drives itself, with expectations that it will take a long time for fully self-driving (FSD) vehicles to be commercialized. Particularly, global autonomous driving technology development has hit a “red light” due to allegations of technology exaggeration, including Tesla, a leader in fully autonomous driving, which is under investigation by prosecutors.

According to industry sources on May 9, Samsung Advanced Institute of Technology (SAIT), responsible for medium- and long-term development at Samsung Electronics, has excluded autonomous driving from its research projects, shifting its development personnel to the robotics field as part of a strategy of selection and concentration.

The industry’s reaction has been mixed since Samsung Electronics had successfully completed “driverless driving” over a 200 km section of road last year and led related technologies like semiconductors, displays, and sensors for autonomous vehicles. However, global companies’ repeated abandonment of fully autonomous driving due to greater-than-expected difficulties in development and lack of business profitability have influenced Samsung’s decision.

Earlier in February, Apple discontinued the development of the “Apple Car,” dissolving the Special Projects Group responsible for autonomous electric vehicle research. However, recent foreign media reports predict that Apple may continue development through a partnership with electric vehicle startup Rivian.

An industry insider stated, “Samsung Electronics following Apple in ceasing autonomous vehicle research appears to be due to the difficulties in technology realization and the lack of significant returns compared to investment.”

The competitive automaker industry, once intensely vying for autonomous driving supremacy, has also faced gloomy news lately.

Karl Iagnemma, CEO of Hyundai Motor Group’s autonomous driving subsidiary Motional, recently announced, “We’ve delayed the commercialization of our autonomous driving product and laid off some staff.” Motional is a U.S. joint venture established with a 50% stake by Hyundai Motor Group in collaboration with Aptiv in 2020, with Hyundai Motor Group investing over 1.2 trillion won (US$1.2 billion). At the end of last year, Motional launched an unmanned robo-taxi service based on the IONIQ 5 in collaboration with Uber and Lyft in the United States. CEO Iagnemma expressed on the Motional blog, “We are satisfied with the speed of (autonomous driving) technology development, but we’ll take our time monitoring commercialization.”

Automakers are also facing reality checks. Cruise, the autonomous driving subsidiary of General Motors (GM), effectively halted operations due to successive accidents. GM also cut its investment in Cruise by US$1 billion this year. Another automaker, Ford, has abandoned its pursuit of Level 4 autonomous driving.

Tesla, leading autonomous driving technology, is also facing scrutiny over its technology. According to industry sources, Tesla is reportedly under investigation by the U.S. Federal Prosecutor for “wire fraud,” which applies when misleading consumers, and “securities fraud,” which applies when deceiving securities investors.

Tesla’s FSD system, sold alongside Autopilot, assists with steering, braking, and lane changes but isn’t a fully self-driving system. However, Tesla CEO Elon Musk’s statement ahead of the FSD launch in 2022, which was “You’ll be able to travel to work, a friend’s house, and the grocery store without touching the steering wheel,” is said to have triggered the investigation.



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