As the third-largest automaker in the world, Hyundai Motor Group, is located nearby, the German luxury carmaker BMW Group on Monday inaugurated a new research and development (R&D) facility. BMW Group plans to assist South Korean automotive startups in their global operations.
At its expanded R&D facility in Incheon, which borders Seoul, BMW launched the BMW Startup Garage, the group’s venture client unit that aims to stimulate innovation at all of the carmaker’s divisions through partnership with startups. For the group, South Korea is the fifth-largest market in the globe.
The initiative, which assesses prospective startups as suppliers and long-term partners, is presently run by BMW in six nations: Germany, the US, China, Israel, Japan, and South Korea.
Last year, the automaker paid South Korean suppliers 6.5 trillion won ($4.7 billion) for auto parts. 30.8 trillion won have been spent on the nation’s auto component purchases since 2010.
In Order To Improve Cooperation
Along with collaborating with regional businesses, universities, and research centers to create GPS navigation systems, voice recognition, and user interface (UI) prototypes, BMW also intends to strengthen its relationship with South Korean suppliers for product development.
The corporation wants to introduce models and solutions tailored for South Korea, the fourth-largest economy in Asia, where demand for luxury vehicles is rising, by making use of the new R&D center at the BMW Driving Center on Yeongjong Island.
At the inauguration ceremony, BMW management board member Jochen Goller stated that the company will continue to invest in order to offer superior goods and services in South Korea, which was the fifth-largest market last year.
Before introducing new models to the market, BMW plans to test them extensively to make sure they fully comply with local legislation. In the next three to four years, it also plans to create its own certification exams on-site.
Through extensive testing, the company hopes to enhance the quality and performance of its cars. It also intends to set up maintenance and management systems and test procedures for prototype models prior to introduction.
BMW revealed plans to grow its R&D facility, which opened in 2015. in 2019. In April of last year, the group commenced construction on the extension.