South Korea’s Hyundai Motor Co. will invest in a U.S. unmanned aerial vehicle (UAV) firm as it looks beyond traditional ground vehicles for future growth.

Korea’s largest automaker said Thursday it will buy a stake in Top Flight Technologies, a Massachusetts-based startup that specializes in application-specific, cost-effective solutions for commercial UAVs. The terms of the deal were confidential.

Founded in 2014 by a team in MIT, Top Flight is a leading provider of commercial UAV solutions that enable drones to carry heavier payloads for greater distances.

Its patented hybrid-electric UAV is mounted with a small gasoline engine that charges the main battery, allowing for greatly extended flight time. The vehicle can stay airborne for up to two hours carrying a load of 4 kilograms, or an hour carrying a 10 kilogram load.

Together with Top Flight, Hyundai Motor plans to explore commercial applications of drones as a future mobility solution.

Potential business opportunities include cargo transport, inspection services and surveillance missions for industrial sites.

Currently drones are used mostly for military or recreational purposes. While commercial uses account for less than 10 percent, the market is expected to grow at a fast pace on rapid technological development.

By Han Ye-kyung and Kim Hyo-jin

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