Digital Transformation Trends In the Automotive Industry

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The rapid emergence of new technologies such as autonomous and electric vehicles is causing a convergence in the automotive industry of major ESG and operational changes. By 2030, the automotive sector will be very different than it is today. Some brands will disappear, while newcomers will take the lead (we’ve seen this with Tesla). Read on for more digital transformation trends in the automotive industry.

trends automotive industry

Our world and the way we travel are rapidly changing. The automotive and mobility industry is undergoing a rapid change.

  1. Why The Pace Of Change Will Only Accelerate?

Let’s take a look at just one recent innovation in automotive prototyping—the rise of 3D digital technologies. The advancements in computer technology and gaming engines like Unreal and Unity have opened up many possibilities for the in-car environment. Mercedes, Cadillac, and Ford are examples of automotive leaders that have adopted 3D technology to improve safety and navigation. They also use it for comfort and entertainment. They were able, however, to test these features with real users before incorporating them into their new vehicles thanks to advanced HMI prototypes.

It is the same for digital automotive solutions both inside and outside of the vehicle. The trends will be divided into two categories: HMI/digital dashboards and connected cloud technology. The enhancements in both areas will redefine and enhance the customer experience, allowing OEMs to provide value at all touchpoints.

  1. Why does The HMI Matter Most?

This does not mean that vehicles with the most advanced technology will always win. Mercedes Benz EQs, with their super-sized screens, have already sparked a response. Tata’s Avinya, which is soon to be released, is probably the most notable example. It’s built around tranquility, and serene ideas, and has a completely minimalist interior. When needed, it combines technology but is primarily a place to rest.

This strategy will be implemented in 2030. HMIs will be directly connected to biomarkers to allow the car to respond quickly to user demands. You’ve had a tough day. Relaxation, nature sounds, and a cool breeze are all good options. You can count on the finely tuned personalization being consistent across all brands.

  1. Consolidation Of Major Market Players

In 10 years there will be fewer automakers. Many factors are at play. OEMs are under greater pressure than ever before. Currently, several incumbents and digital disruptors are competing for the top position. There have already been winners and losers.

In addition, the government has tightened up its regulations and standards, especially regarding safety and emissions. Consolidation can help businesses adhere to regulations more effectively.

These pressures are also present in a highly globalized market. Consolidation can help companies achieve economies of scale and reduce duplication by reducing their efforts.

It is difficult to determine who will be the winners and losers in the coming decade. The automotive industry faces the biggest obstacles in 2030 if it wants to be competitive.

  1. Infinite Connectivity

5G enabled many advancements in automotive technology, especially autonomous vehicles. Although we are in the early stages, 5G has been essential for delivering enormous amounts of data to support these highly complicated ecosystems.

By 2030, we expect the adoption of full 5G technology and the start of 6G. This will allow for unprecedented levels of connectivity through blazingly fast bandwidth, low latencies, and high reliability. We anticipate a vast array of real-time vehicle-to-vehicle and vehicle-to-infrastructure communications, which will eliminate traffic while enhancing safety.

6G will also enable a huge machine-to-machine communication and the deployment of many sensors and devices both inside and outside vehicles. All of these, along with predictive maintenance and deeper OTA updates as well as fully immersive entertainment in the vehicle, will be necessary to support fully autonomous driving.

  1. Not Quite An Autonomous World After All

Experts predict autonomous vehicles to be the norm for the future. But 2030 is still too soon. As consumer demand grows, government regulations change, and AI/connectivity technologies advance, we will see a rise in AVs in particular L3 and L4 models.

Untold numbers of developing countries lack the infrastructure needed to support autonomous vehicles. Autonomous vehicles will also require significant technological advancements and a shift in consumer attitudes, regardless of where they are.

Expect targeted applications of autonomous vehicles. The number of autonomous fleets, logistics vehicles, and long-distance transport vehicles has already increased. We expect that, in addition to micro routes and intercity connections between subway stations, we will also see a rise in autonomous fleets.

The world will use them widely.

ADAS has made tremendous progress over the past decade. Soon, it will be standard on all vehicles. ADAS will, except for basic economy models and with minimal human interaction, be L3 at the very least.

  1. Micro Mobility Will Be The Glue Across Vehicles

Automakers are already adopting micromobility. BMW, for example, produces electric bikes and scooters that are aimed at urban areas within a short distance. By 2030 shared mobility, in particular for the last mile, will be an important part of transportation.

It’s important to have an eco-friendly alternative, especially with cities becoming more congested. They reduce traffic and improve the air quality.

A further improvement in EV infrastructure is expected to extend to micromobility alternatives.

Automobile producers need to keep investing in this new trend because it enables them to reach out to a whole new market – urban. BMW scooters can be essential for young professionals living in New York City.

OEMs need to consider how ecosystem services connect consumers and provide assistance across all touchpoints.

  1. Third Spaces

The car is becoming a third space. Our main habitats were origin and destination. The car was the basic form of transport. Technology has made cars more comfortable, convenient, and private.

Third spaces have integrated entertainment systems, climate control, comfortable seats, and ambient light. Third spaces are designed to make driving fun and productive. The third space can be used to do business or for productivity. It has charging sockets and fold-down tables. These products will allow OEMs to stand out in a crowded market.

Follow the Technology

The automotive industry is not the only one to be a part of digital technology evolution. How we live is changing, from healthcare to consumer electronics and beyond. These disruptions do not happen in isolation. The developments in one sector can often influence other sectors.

You must embrace this change. Forget drivers. Forget passengers. Think of your customers as users. Understanding their journeys will help you to understand where your brand can be of benefit. You can offer them so much more than just getting them from A to B. You can become indispensable by learning how to integrate yourself into their lives. That’s how you master future automotive and mobility digital trends of 2030 and beyond.

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