Boston Dynamics, the robotics firm owned by Hyundai Motor Group, is struggling to meet its target of an initial public offering by 2027, according to a senior Hyundai executive cited by Reuters. The executive, who spoke on condition of anonymity, said the company's Atlas humanoid robot has not yet reached the stage of large-scale deployment, and Boston Dynamics has not achieved profitability.
Hyundai had previously announced plans to build manufacturing capacity for 30,000 Atlas units per year by 2028 and to deploy 25,000 of the robots at its own and Kia's automotive plants. The group recently acquired SoftBank's 9.65% stake in Boston Dynamics, giving it full ownership.
What this means for the robotics and EV industries
The delay in Boston Dynamics' IPO comes as humanoid robots are increasingly seen as a potential complement to electric vehicle (EV) manufacturing. Automakers, including Tesla and several Chinese EV makers, are exploring the use of humanoid robots in assembly lines to reduce costs and improve efficiency. However, the technology is still in its infancy, with most robots limited to pilot projects rather than mass deployment.
Boston Dynamics, known for its advanced legged robots like Spot and Atlas, has been working on commercializing its technology, but the path to profitability remains challenging. The company's focus on research and development, coupled with the high cost of production, has kept it from turning a profit.
Hyundai's acquisition of full control over Boston Dynamics positions the group to integrate robotics into its automotive operations, potentially creating synergies with its EV production. The automaker has been investing heavily in future mobility technologies, including autonomous driving and robotics, as part of its broader strategy.
According to IThome, the report highlights the difficulties in scaling humanoid robots from laboratory demonstrations to real-world industrial applications. While progress has been made, the gap between a working prototype and a reliable, cost-effective product remains significant.
The news also underscores the cautious approach investors are taking toward robotics companies, which often require substantial capital and time before generating returns. Boston Dynamics' IPO delay is a reminder that even well-funded ventures face hurdles in the commercialization of cutting-edge technology.
