Hyundai Motor’s AI-powered demand responsive buses will begin a 12-week pilot in Godollo, Hungary, starting August 18, 2025 according to the Korean Ministry of Economy and Finance.

The project marks the first time Korean demand responsive transport (DRT) technology, which creates real-time routes based on user requests, will operate in Europe.

The pilot is part of the Economic Innovation Partnership Program, a joint initiative focused on eco-friendly smart mobility since 2022.

The DRT system, already active in 59 regions across South Korea, will use Hyundai Motor’s Shucle platform during the pilot.

The pilot will run until October 31, 2025 and may be expanded to other Hungarian cities if successful.

🔗 Source: The Korea Times

🧠 Food for thought

1️⃣ European towns face transport gaps that DRT systems are designed to fill

Korea’s expansion into Hungary targets a well-documented European market need for flexible transport solutions in smaller communities.

Demand-responsive transport is particularly beneficial in sparsely populated areas where conventional fixed-route services may be economically unfeasible1. This aligns directly with the Korean system’s positioning as “a promising alternative to enhance mobility in smaller European towns where traditional bus routes and infrastructure are limited.”

The choice of Godollo, a satellite city of Budapest, reflects this strategic focus on communities that lack comprehensive traditional public transport infrastructure.

Europe’s receptiveness to DRT innovation is supported by successful funding initiatives and local government backing that have historically driven market growth in the region2.

2️⃣ AI-powered routing addresses persistent operational challenges in demand-responsive transport

Korea’s emphasis on AI-driven optimization directly tackles known weaknesses in the DRT market that have limited broader adoption.

The global DRT sector has faced significant challenges with “overly complex routing models” that make services difficult to operate efficiently2. Korea’s system specifically addresses this through AI forecasting of passenger demand and automatic calculation of optimal routes.

This technological approach represents a potential solution to operational complexity that has historically hindered DRT expansion. The 12-week pilot timeline suggests Korea is taking a measured approach to validating whether their AI-powered platform can overcome these documented operational barriers in a European context.

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