How Automotive Industry will Change in the Future?

Auto Tech Outlook | Monday, May 18, 2020

The automotive industry is changing and the automakers are relying on technology to change the future of the industry.

Fremont, CA: Commuters often complain about too much traffic, lousy driving, too many cars, air pollution, and very few parking spaces. To address these concerns, the World Automotive Conference was held in Istanbul. More than 20 countries participated in the event, and 839 senior representatives of the automotive industry attended the event. To keep pace with future trends of the sector, overcoming changing industry demands, and managing global economic challenges, 50 speakers spoke and presented their solutions. The digitalization of technology took center stage at the event. Although the industry is mostly mechanical, the speakers agreed on the impact of digitalization on the industry.

The Groupe Renault’s VP of Blockchain, Odile Panciatici, stressed on the role of blockchain for more efficient production pipelines. Similarly, every speaker addressed the rise of connected devices, agility in innovative processes, B2B collaboration, and automated driving in detail. The demands of consumers are changing. Earlier, the industry was about horsepowers, aerodynamics, powerful engines, interiors, and exteriors. Today, the industry is all about greener cars, driving assistance, public transportation, autonomous driving, smart infrastructure, and other innovations.

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Almost  all the speakers mentioned how they are optimizing their production and marketing strategies with the help of digitalization and the latest user feedback. Automakers are forming local and global strategy with the assistance of software and data. The Senior Director of Sales at GE Digital, Kimberly Matenchuk, says that Turkey is the hub for innovation in electric and autonomous vehicles due to the demand. Katharina Hopp, Vice President Urban Solutions, Robert Bosch GmbH, mentions that due to the customer-centric approach, innovations such as ride-share solutions to tackle traffic jams, air pollution, and parking lot problems are taking place. Hopp summarizes the method with three steps: Collecting user data, partnership with a major and minor player of the industry, activating the ecosystem.

Ömer Özgür Çetinoğlu, CIO, TOFAŞ FIAT explains that by the implementation of agile methods, the organizations IT department, which helps in strategic decision-making, production pipeline, and product development was optimized. A few more speakers advocated the importance of adopting agility. Hopp mentioned that an agile mindset is crucial for driving innovation. Hopp also says that by listening and understanding consumer needs, an organization can get better at quick adaptation.

Partnership will be an absolute reality in the future. Hopp mentions that partnership will solve the urban transportation problem. A partnership between startups, major companies, local and central governments is essential, and it might lead to a unique solution for unique issues. At the conference, one of the major buzzwords was connectivity. For the car of the future, a lot of high-speed connections must be established for a safer autonomous driving experience. Connectivity among EVs, diverse mobility, and digitalization are some of the leading factors that drive innovation in the automobile industry.  Connectivity is essential for collecting data for public transportation, environmental problems, and traffic in urban areas.

The auto industry is much-hyped about EVs and autonomous vehicles, but the industry must wait a little longer than expected. For efficient EVs, battery technology has to develop much faster. The current battery technology is not advanced enough to compete with an internal combustion engine. Thus, automakers are working on developing efficient battery technology. The auto industry is evolving from conventional power and looks-based to economic and environmentally friendly industry, and technology will play a crucial role in it.

See more: Top Blockchain Technology Companies

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