Hyundai announces partnership with EV start-up Canoo to build new electric car

On Tuesday, Hyundai and Kia announced they will produce their new electric vehicles based on a technology platform developed by California electric car start-up Canoo,media reported. It is reported that Canoo and Hyundai Motor Group, Kia’s parent company, will work together to develop a new electric vehicle platform based on the former platform.

Hyundai announces partnership with EV start-up Canoo to build new electric car

This electric vehicle platform will power small, competitively priced electric and specialized vehicles. Hyundai and Kia are both selling electric SUVs based on the same platform, while Hyundai Motor Group has pledged to launch 23 electric vehicles by 2025.

The deal is a big win for Canno. It is reported that Canoo was founded only two years ago, the staff of about 300 people. While almost every electric car start-up has said it wants to give its technology or licensing to traditional carmakers, few have done so, with the exception of Rivian in Michigan and Byten in China. Among them, Rivian has struck a partnership with Amazon and Ford, while Batten has partnered with FAW, the Chinese state-owned carmaker.

Now Canoo has joined the list, even though it was only set up in late 2017, when its founder founded the troubled electric car start-up Faraday Future after a bitter split with the troubled electric car start-up, then known as Evelozcity.

In response, Canno’s current CEO Ulrich Kranza said in an interview with the media that the partnership is important to them because being a start-up team with a well-known car brand like Hyundai proves that they have a good philosophy and team. According to Kranza, they spent about a year negotiating agreements with Hyundai. In addition, Kranza points out, Hyundai pays wages to the two co-workers, but the exact amount is not disclosed. But he said Canno was still looking for outside investment.

Kranza said the partnership with Hyundai would not affect the company’s plans to launch its own models. Last September, the company launched a Canoo, a pre-ordered electric car, which is expected to be delivered by 2021. Kanz says the company has now produced 32 betas, 12 of which are fully operational and tested on public roads and closed tracks.