LG Group and Mercedes-Benz Deepen Alliance on AI, EV, and Digital Mobility

On November 13, 2025, executives from the LG Group met with leadership at Mercedes-Benz AG at the LG Twin Towers in Seoul to significantly expand their strategic technology partnership across electric vehicle (EV) and digital mobility sectors. Ola Källenius, Chairman and CEO of Mercedes-Benz Group AG, engaged with the chief executives of four key LG affiliates: Cho Joo-wan of LG Electronics, Kim Dong-myung of LG Energy Solution, Jeong Cheol-dong of LG Display, and Moon Hyuk-soo of LG Innotek. The meeting signaled a mutual commitment to advancing next-generation mobility solutions, supporting Mercedes-Benz's transition toward electrification and the development of a digitized, resilient global production infrastructure.

The core of the discussions centered on LG's unified “One LG Solution” strategy, which leverages the combined capabilities of the four subsidiaries to offer Mercedes-Benz an integrated technology package. This portfolio spans advanced battery systems, EV components, sophisticated displays, and autonomous driving sensors. The existing collaboration between the two companies dates back two decades to 2004, when LG Display began supplying vehicle screens. A current focal point is the OLED-based In-Vehicle Infotainment (IVI) system featured in the Mercedes-Benz EQS, which incorporates a curved panoramic display across the dashboard, utilizing Plastic OLED (P-OLED) panels supplied by LG Display since 2020.

Discussions also addressed the evolution toward the AI-Defined Vehicle (ADV), building upon the Software-Defined Vehicle (SDV) paradigm. LG Electronics is currently engaged with Mercedes-Benz in developing core SDV technologies, while LG Innotek is negotiating to expand its supply role to include advanced autonomous driving sensors, such as radar and LiDAR systems. Concurrently, LG Energy Solution maintains its critical function, having recently secured a substantial long-term contract for cylindrical battery supply with Mercedes-Benz, valued at approximately 15 trillion won, equivalent to about $10.23 billion.

Both leadership teams affirmed the strategic importance of the collaboration for future vehicle development. Ola Källenius emphasized that such strategic alliances are the fundamental impetus shaping Mercedes-Benz's next generation of vehicles, stressing a shared vision centered on innovation, quality, and sustainability. LG Electronics CEO Cho Joo-wan reiterated LG's commitment to reinforcing the alliance by deploying its core competencies, particularly its integrated SDV solution portfolio and user experience-centric value proposition. The engagement underscored the necessity of established, multi-faceted supplier relationships in navigating the automotive industry's complex transformation.