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LG Electronics to Produce Humanoids In-House to Strengthen Competitiveness Through Component Localization

Robotics2 min read

LG Electronics is reportedly now building its semi-humanoid robot 'CLOiD' itself, at its Yangjae Data Factory in Seoul. Until now, outside companies made the robot for it.

LG starts making its own humanoid robots

LG Electronics is building CLOiD, a semi-humanoid robot (a robot with a human-like upper body that is not fully human-shaped), at its Yangjae Data Factory in Seoul. Until now, partner companies such as Agibot and Robostar made CLOiD. Because the robot is not yet in mass production, it seems to be assembled by hand, not on a factory line. LG also plans to bring key parts, such as actuators (the parts that make robot joints move) and AI computing chips, in-house to build its own production skills.

Key facts

  • Several hundred CLOiD robots are expected to be in the Yangjae Data Factory by the end of this year.
  • About 20 CLOiD robots were made by Agibot in the second half of last year.
  • The preparation time for CLOiD was about 6 months, because its public debut at CES 2026 was decided suddenly.
  • Agibot holds a 44% share of global humanoid robot shipments in the first half of this year.
  • Robostar, in which LG Electronics holds a 33.4% stake, made CLOiD in the first half of this year.

What is a data factory?

The Yangjae Data Factory is a facility that copies homes and factories. Robots do real tasks there, such as moving, stacking, and assembling parts. The data they produce helps them learn to work in the real world. LG is using CLOiD robots for this work.

Why this matters

Making key parts in-house can lower costs and make LG more competitive in the humanoid robot market. Actuators make up more than half of a humanoid robot's manufacturing cost, so owning them can decide the price. A company source also said that in-house AI chips could give LG a 30 to 40% cost advantage over rivals, though this is an estimate from one source.

What to watch

  • Whether LG moves CLOiD from hand assembly to full mass production.
  • Results of the actuator pilot line in Changwon and the automation and quality work now under way.
  • Whether LG wins orders from potential customers around the world for its actuators.
  • Whether LG designs its own AI chips over the medium to long term, as a source expects, and how it mixes chips from Nvidia, Intel, and Qualcomm.

Glossary

CLOiD
LG Electronics' semi-humanoid robot, with a human-like upper body.
Agibot
A Chinese company that is the top humanoid robot maker in China and made CLOiD units for LG.
Robostar
An industrial robot company in which LG Electronics holds a 33.4% stake; it made CLOiD in the first half of this year.

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