Leading South Korean automobile manufacturer Hyundai’s financial subsidiary – Hyundai Commercial has announced a collaboration with IBM to modernize its business model utilizing blockchain technology. The news was announced at IBM’s annual tech, and business conference “IBM Think 2019” in San Francisco, California.
Hyundai Commercial is “a corporate finance company that provides leasing and financial services for construction equipment and commercial vehicle.” The collaboration with IBM will focus on using open source Hyperledger Fabric blockchain to create a new supply chain financing ecosystem for the Hyundai Commercial network.
Network participants who incorporate automobile dealers, distributors will have access to a real-time, shared view of all transactions on the blockchain, allowing for this data to be safely managed and efficiently distributed. The technology will further offer efficiency gains by automating hitherto manual processes.
The announcement further reveals that a separate Hyundai financial services subsidiary, Hyundai Card, will be collaborating with IBM to implement its machine learning technology to build an artificial intelligence-based chatbot for customer services.
As earlier reported, IBM is a fast developing its blockchain-based offerings – across financial services, retail, healthcare, insurance, and digital rights management.
The recent project incorporates the use of blockchain technology and Internet of Things (IoT) to fight drought in the state of California, and a $700 million deal with Europe’s biggest bank, Banco Santander, to accelerate the Spanish bank’s use of blockchain.
Mr. Chung Dae-sun, the nephew of the CEOs of Hyundai Group and Hyundai Motors – founded HDAC, a Korean-blockchain-based IoT platform and issuer of the Hyundai-DAC token (DAC), beside a fintech and blockchain subsidiary HyundaiPay.
Prior this week, HyundaiPay signed a Memorandum of Understanding (MoU) to promote the growth of fintech startups in Busan, South Korea’s second most populous city.