Hyundai acquires SoftBank’s Boston Dynamics stake for $335m as shares slip

Hyundai Motor Group has announced it will acquire SoftBank Group’s remaining 10% stake in US robotics firm Boston Dynamics, rendering the latter a wholly owned subsidiary. The transaction is reported to be worth approximately 500 billion won ($335 million), a figure that implies a total valuation of around 5 trillion won for the robotics company.

The acquisition grants Hyundai greater strategic flexibility to manage Boston Dynamics, allowing the automaker to make long-term decisions regarding investments, business strategy, and a potential initial public offering. Hyundai initially acquired an 80% stake in the firm in 2021, with the remaining stake held by SoftBank Group.

Hyundai plans to deploy Boston Dynamics’ Atlas humanoid robot at a manufacturing plant in Georgia starting in 2028. The robot will initially handle parts-sequencing tasks, with plans to expand its role to broader assembly processes by 2030. The move coincides with intensified industrial action by Hyundai’s South Korean labour union, which has staged partial strikes over wage negotiations and concerns regarding job security due to automation.

The union has demanded that the company set aside 30% of its net income for bonuses and guarantee job security. A union leader stated that the group, including affiliate Kia Corp, appears to be planning to replace human workers with new technologies. According to union data, approximately 2,000 of the 24,676 unionised workers are expected to retire each year on average by 2032, potentially reducing union membership by nearly 10,000 if no new hires are made.

Despite the strategic consolidation, Hyundai shares fell 2.1% on the announcement, underperforming the benchmark KOSPI which declined 6.4%. Analysts noted that investors appeared to question whether the implied valuation was justified, with some suggesting the deal removed a near-term catalyst for a re-rating of the robotics company’s value.