HD Hyundai & Anduril: Autonomous Vessel Deal to Disrupt Naval Warfare

by Michael Brown - Business Editor
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South Korean shipbuilding giant HD Hyundai and U.S. defence technology firm Anduril Industries have forged a partnership too develop and construct autonomous unmanned surface vessels (ASVs). The November 23rd agreement signals HD Hyundai’s expansion into the rapidly growing market for AI-powered naval systems,with prototype construction slated for completion by 2026 at the company’s Ulsan,South Korea shipyard. This collaboration aims to combine HD Hyundai’s shipbuilding expertise with Anduril’s advances in artificial intelligence to meet increasing global demand for unmanned naval capabilities.

▲ 최근 서울 중구 웨스틴 조선호텔에서 HD현대중공업 주원호 사장(사진 왼쪽)과 안두릴 팔머 럭키 공동 설립자가 ASV 설계 및 건조계약을 체결하고 있다. ⓒHD현대

HD Hyundai is making a significant move into the autonomous unmanned surface vessel (ASV) market through a partnership with U.S.-based artificial intelligence defense firm, Anduril Industries.

On November 23, HD Hyundai announced it has entered into an agreement with Anduril for the design, construction, and supply of AI solutions for ASVs. The collaboration marks a key step for HD Hyundai in diversifying its offerings within the defense sector.

ASVs will be constructed at the HD Hyundai Heavy Industries shipyard in Ulsan, South Korea. HD Hyundai plans to integrate its in-development ship autonomous navigation technology, and other key AI solutions, while Anduril will contribute its autonomous mission execution solutions.

The companies aim to complete the development and construction of ASV prototypes by 2026, with plans to then pursue opportunities in the U.S. and global markets. This timeline reflects an aggressive push to capitalize on the growing demand for unmanned naval systems.

HD Hyundai Chairman, Jung Ki-sun, highlighted the partnership during a keynote speech at the CEO Summit Future Tech Forum in October, stating, “We have recently formed a partnership with Anduril, a rising innovation leader in the AI defense sector, and are expanding our latest autonomous navigation technology into the defense field to develop next-generation unmanned vessels.”

He further expressed his expectation that “the convergence of our companies’ capabilities in ship autonomous navigation technology and autonomous mission execution will completely transform naval operations.”

According to a report by Allied Market Research, the global unmanned surface vehicle market is projected to grow from $920 million in 2022 to $2.7 billion by 2032, representing a compound annual growth rate of 11.5%. This growth underscores the increasing investment in autonomous maritime technologies.

At the contract signing ceremony, HD Hyundai Heavy Industries President, Joo Won-ho, stated, “This collaboration between Korean and American defense companies will mark a new milestone in the joint development of vessels.” He added, “By combining the world’s best AI defense company with the world’s best shipbuilding company, we will lead the introduction of unmanned systems, which are being actively pursued by navies around the world.”

Anduril Co-founder, Palmer Luckey, commented, “We are pleased to build our first ASV at HD Hyundai’s world-class Ulsan shipyard, which possesses top-tier design and construction capabilities.” He also expressed anticipation for “greater collaboration with HD Hyundai in the U.S., Korean, and global defense markets.”


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