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Hyundai's Metaplant America factory will produce the vehicles for Waymo

Hyundai Motor is reportedly planning to supply Waymo with 50,000 Ioniq 5 autonomous vehicles by 2028, potentially worth $2.5 billion. This agreement would be a significant indicator of the robo-taxi industry's shift toward large-scale deployment. Hyundai's Georgia-based Metaplant America (HMGMA) factory is set to produce these Ioniq 5 electric vehicles, with the deal marking one of the largest vehicle supply agreements in the autonomous driving sector.

The partnership between Hyundai and Waymo has been developing since October 2024, when they announced a strategic collaboration to integrate Waymo's sixth-generation autonomous driving technology into Hyundai's Ioniq 5. Hyundai Motor's North American CEO, José Muñoz, emphasized the company's readiness to supply a substantial number of vehicles for Waymo's fleet. The Ioniq 5's design, featuring Hyundai's E-GMP architecture, rapid charging capability and spacious interior, makes it a suitable choice for Waymo's robo-taxi platform.

Waymo's fleet expansion is fueled by a recent $16 billion funding round at a valuation of $126 billion. The company intends to expand its operations to more than 20 new cities, including international markets such as Tokyo and London. Currently, Waymo offers over 400,000 autonomous rides weekly but faces limitations with its existing fleet of about 2,500 vehicles, which mainly consists of the Jaguar I-PACE. The discontinuation of the I-PACE's production necessitates new partnerships, making the potential Hyundai Ioniq 5 deal crucial for Waymo.

In addition to the Hyundai deal, Waymo has formed various partnerships with major automakers. In April 2025, Waymo partnered with Toyota to explore integrating the Waymo Driver into privately owned vehicles, directly challenging Tesla's ambitions. Ford's CEO, Jim Farley, has expressed a preference for Waymo over Tesla, highlighting a broader industry trend. The focus has shifted from whether Waymo can scale to whether other companies can keep up with its pace of expansion.

This content may be AI-assisted and is composed, reviewed, edited and approved by S&P Global.

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