The partnership will be run by Aptiv's autonomous mobility President Karl Iagnemma in Boston, but will otherwise be split 50-50. Aptiv will bring its driverless tech, intellectual property and about 700 staffers, while Hyundai will contribute its own intellectual property as well as vehicle engineering and R&D skills.

If the venture receives approval from regulators, it should close in the second quarter of 2020.

Both companies have clear incentives to form an alliance. Hyundai is in the midst of a fierce battle with Ford, Volvo and other automakers developing self-driving hardware. While it has been developing its own projects, Aptiv could help it fast-track that work. For Aptiv, meanwhile, this is a big leg up. To date, it's best-known for its partnership with Lyft. Now, it has an automotive giant under its belt -- this could lead to Aptiv systems in many more cars around the world.