Hyundai Motor Group’s (HMG) artificial intelligence (AI)-driven mobility software unit, 42dot, said it plans to raise KRW 500 billion (US$ 360 million) in a rights issue, as the company looks to step up its new technology development and strengthen its global competitiveness, according to local reports.

42dot confirmed that the share issue is part of the three-year capital expansion plan approved by HMG in 2023, in which Hyundai Motor and Kia Corporation plan to take part as strategic investors. The company said it will use the funds raised through the rights issue to implement its medium- and long-term strategies, including the development of new systems for software-defined vehicles (SDVs) such as AI-based autonomous and graphics processing units, infrastructure, as well as attract new global talent to its workforce.

42dot is headquartered in Seoul and also operates research and development (R&D) centres in the US, Poland, Australia and China. Earlier this year, the company unveiled a number of key core vehicle platform technologies at HMG’s Pleos 25 technology conference in Seoul, including its Pleos Vehicle OS (operating system), its AI-based Atria AI autonomous driving system, the Pleos Connect infotainment system, and the Capora AI vehicle and fleet data system.