LG Electronics shares increased to the highest level in six years following the company’s partnership with Qualcomm around autonomous vehicles.
Since announcing the partnership with Qualcomm, LG Electronics’ shares have risen to Won95,300, increasing by 5.42% after going up by 8% in the morning trade.
The two tech companies have opened a joint research lab at LG Electronics’ Science Park in Seoul, to research and develop new technologies such as 5G wireless networks for vehicles to create the future autonomous vehicles.
At the research centre, it will focus on developing 5G wireless technologies as the network is the fastest up to date and the best to be used in autonomous vehicles. Other research into the safety of connected cars will be researched and developed at the centre.
As digital demand increases, the need for speed does to thus the two companies utilising 5G networks to ensure efficiency across the delivery of autonomous vehicles.
US chip maker Qualcomm will take the lead with 5G wireless technologies after just recently announcing the first successful test of 5G networks, earlier this week, which brings a hopeful future for the development between the two tech giants.
LG Electronics will join its connected automobile technologies with Qualcomm’s telecommunications expertise to power future autonomous cars.
Kim Jin-yong, executive vice president of LG’s Vehicle Components Smart Business Unit said: “LG plans to lead the next-generation vehicle components market by combining our experience in automotive communication technologies with Qualcomm’s advanced connected solutions from LTE to 5G,
“We are optimistic that the combined research strength of Qualcomm and LG will yield benefits that would not be feasible working independently.”
Field tests have already begun across certain areas of Europe and Asia, with LG Electronics and Qualcomm aiming to distribute their generation of autonomous vehicles by 2020.
Nakul Duggal, vice president of product management, Qualcomm Technologies, Inc. “With the automotive industry on a clear path to 5G, we look forward to working together with LG to meet the demands of today’s drivers and advance the commercialization of C-V2X technology in next-gen vehicles.”