94 percent of global automakers are using ARM-based technology for automotive applications, alongside the top 15 automotive semiconductor suppliers in the world adopting ARM technologies in their silicon. Car companies plan to integrate powertrain components in the next five to ten years by combining onboard chargers with batteries. Tesla already employs single inverter housings across its models, offering efficient integration of power electronics. This shift is driven by the growing need for more efficient power management in electric vehicles, resulting in smarter and more streamlined EV designs.
Other Technology Trends in Automotive Industry
It offers more sustainable 3D printing by developing its own large-scale printing hardware and using fully recycled composite materials. DAM can print parts as large as 1000x3000x1000mm using engineering-grade recycled plastics. Firstly, it accelerates the design and testing process through rapid prototyping. Below, you get to meet 20 out of these 4859 promising startups & scaleups as well as the solutions they develop. These 20 automotive companies are hand-picked based on criteria such as founding year, location, funding raised & more. As battery technology and charging infrastructure progress, EVs lead the push toward sustainability.
AI to Impact All of the Automotive Trends
Autonomous driving technologies like AD and ADAS are only possible to implement with the adoption of AI. Driver assistance technology, in particular, can go as far as detecting driver fatigue by monitoring their eyes and taking measures to avoid car accidents. The systems that come together to implement such technologies are sensor fusion, computer vision, and real-time decisions to enable the vehicle to take all complex traffic scenarios easily. Significant investments in AI and Internet of Things (IoT) devices are crucial for fine-tuning self-driving algorithms, making them safer and more reliable. This also presents an emerging opportunity to connect the vehicle ecosystem, creating a dynamic adaptation of data for road and weather conditions, assisted by IoT-enabled devices. Almost 40% of all autonomous vehicles sold in 2025 are predicted to have L2 ADAS features.
Q) How Will Adapting to Evolving Tech Landscape Help Automakers?
Explore the most important trade fairs and conferences to boost your business success. Contact Avenga today to learn more about what industry experts have to say about these trends. For instance, China has introduced policies encouraging automakers to procure up to 25% of their chips domestically by 2025, reducing reliance on foreign suppliers. There will be continued demand for legacy process technology, with the construction and facilitation of the ESMC fab in Dresden progressing through 2025. Whether this central compute is a monolithic chip such as Nvidia Thor, which will be detailed in 2025, it will also be constructed from chiplets.
Automotive
Autonomous vehicles are reshaping mobility, from AI‑powered perception to intelligent infrastructure and generative simulation. This report explores how breakthrough technologies are accelerating the shift toward safer, smarter, and more sustainable transportation systems worldwide. The SAE, originally the Society of Automotive Engineers, has identified six levels of automation on the path to completely autonomous vehicles. The scale established by these six stages is essential for comprehending and characterizing self-driving technologies, which span from complete human driving to complete vehicle autonomy.
- In line with this, automakers focus on sustainability in their manufacturing processes, energy sourcing, and material selection.
- In Europe, the EU’s Chips Act aims to raise the bloc’s share of global chip production from under 10% to about 20% by 2030.
- This article offers an inside look at the facility and Xiaomi’s ambitious plans in the automotive sector.
- Market leaders are adjusting their strategies to align with current trends, further emphasizing the shift towards EV-only vehicles.
- Due to the pandemic, the automotive sector is undoubtedly facing one of the most challenging periods and a massive slowdown for the last couple of years.
- It combines a gasoline engine with an electric motor to enhance fuel efficiency and reduce emissions.
- For EVs specifically, weight reduction translates directly into extended range and improved battery performance.
Apache Automotive develops Hybrid Cars
This reduces development costs and time while enhancing quality and analytical capabilities. With zero emissions, low noise, and a range of up to 400 km, FALAK offers a sustainable urban mobility solution. The startup emphasizes comfort with electric doors, extended safety features, and panoramic views from all seats. The UK’s automotive sector offers a compelling illustration of the progress being made. In the first half of 2023, electrified vehicle production surged by 70%, highlighting the rapid pace of investment in EV production capabilities, and continues to grow.
Launching of fuel cell EVs
These sensors measure distances, identify obstructions, and capture crucial traffic and road condition data. When paired with high-resolution cameras, these tools allow self-driving cars to identify objects, lane markers, and even pedestrians with unprecedented precision. While full autonomy is still on the horizon, advanced driver assistance systems (ADAS) are already transforming how we drive. In 2025, the focus will be enhancing ADAS features, such as adaptive cruise control, lane-keeping assistance, automatic emergency braking, and more. As autonomous vehicles become more mainstream, governments and regulatory bodies will need to create new laws to ensure their safe deployment.
Advancements in ADAS and Autonomous Technologies
They also enable software updates, enhance entertainment, and facilitate smooth communication in connected and software-defined vehicles. The concept of Mobility as a Service (MaaS) is changing how people think about transportation. Instead of owning a car, consumers will increasingly use digital platforms to access transportation services on demand, whether through ride-sharing, car-sharing, or subscription models. MaaS is set to become a key focus for the automotive industry in 2025 as companies look to diversify their business models and create new revenue streams. Autonomous driving is one of the most prominent applications of AI in the industry.
What is the scope of emerging auto trends?
- Radar Reticence strengthens sensor fusion by supplying interference-free radar data that enhances vehicle perception and improves safety.
- Electrification and autonomous vehicles will remain megatrends, transforming the sector and forcing automakers, suppliers, and dealers to adapt to new technologies and business methods.
- The industry will continue to experience disruptions from geopolitical headwinds to regulatory and legislative developments, data security and economic challenges.
- Also, automotive Ethernet and time-sensitive networking (TSN) provide deterministic in-vehicle data highways that keep safety-critical communication reliable.
- Issues such as liability in the event of an accident, cybersecurity measures to prevent hacking, and how to deal with AVs in mixed-traffic environments (with human drivers) will need to be addressed.
Lastly, MARV.Automotive is a configurable and extensible data management platform that reliably transmits data from the vehicle to the cloud. The US-based startup Launch Mobility develops a platform for a range of shared mobility solutions. The platform LM Mission ControlTM offers free-floating or station-based car sharing, advanced shuttle services, shared dockless scooters, keyless rental programs, and peer-to-peer shared mobility. Further, their drivers use out-of-the-box or white-labeled apps to manage reservations or remotely access vehicles.
- Also, its platform manages claims and mechanical breakdowns across vehicle models from manufacturers.
- This allows Buy Here Pay Here (BHPH) dealers to expand their businesses and extend credit to high-risk customers.
- In 2023, the global connected car market was valued at $80.87 billion and projecting remarkable growth.
- They offer a safe, comfortable, and convenient multimedia experience with on-demand features that allow users to browse the web while in their vehicle.
- Connected vehicles are entering a software-defined era where 5G, AI, and V2X convert cars into real-time data nodes that communicate smoothly with infrastructure, other vehicles, and the cloud.
- The vans deliver groceries from nearby stores and send out a push notification when the order arrives.
- Moreover, the startup’s marketplace connects professionals in a secure environment.
How is the rise of shared mobility changing the automotive industry?
- Additionally, Europe and the U.S. have sought to bolster their chip and semiconductor production with the ‘European Chips Act’ and the ‘CHIPS and Science Act’, respectively.
- Here’s how TikTok unboxings and gaming are driving one of 2025’s top retail trends.
- Vietnamese startup Phenikaa-X creates autonomous electric vehicles with AI and multi-sensor technology for safe transportation.
- The startup develops protocols for drone charging networks, drone flight planning, and open mobility.
- The vehicle’s architecture includes a 3D mapping system that merges GPS and IMU data with digital maps to determine precise positioning and plan optimal routes.
- Automakers and technology giants like Google and Tesla are incorporating more digital technology into their cars.
- The APH-01 incorporates flax fiber in its body shell, which reduces weight, increases impact resistance, and improves vibration damping.
- Further, its Craidlr ATX-G gateways are integral to the surface temperature & vibration monitoring solution, catering to diverse automotive testing needs.
Automakers need to redesign their vehicles or should look for other chip options available. The autonomous vehicle (AV) market is on an impressive growth trajectory, expected to surge from a market value of $1,921.1 billion in 2023 to a staggering $13,632.4 billion by 2030, with a CAGR of 32.3%. A major driver of this growth is the increasing focus on commercial applications, such as logistics and ride-sharing services. Advances in AI, sensor technology, and connectivity are also playing a key role in improving the safety and adoption of autonomous vehicles. The global automotive semiconductor market is expected to grow at a rate of 8.1% between 2023 and 2030.
This ensures precise planning, reduces downtime, and enhances efficiency in assembly operations. This decision also highlights a broader trend toward diversification in battery production hubs. With the Middle East emerging as a significant player in the EV supply chain, manufacturers must adapt their strategies to seize these new opportunities. Looking ahead, Tesla’s strategies are likely to influence industry standards and inspire localisation efforts across the sector. With its focus on next-generation cells and expanded production capacity, Tesla is paving the way for a more efficient and sustainable global EV landscape. The next wave of auto trends is shaped by enabling technologies that extend beyond electrification and connectivity.
The ongoing global semiconductor shortage continues to cast a shadow over manufacturing progress, particularly for industries such as automotive and electronics. While efforts are underway from many different automakers to expand fabrication capacity, lead times for chip production remain long with little sign of a solution in the near future. However, regulatory hurdles and the complexity of navigating diverse driving environments remain significant barriers.
Information technology has become a crucial part of the recent trends in the automobile industry as priorities change over time. Market leaders are adjusting their strategies to align with current trends, further emphasizing the shift towards EV-only vehicles. Just days ago, Jaguar unveiled their new concept car, the Jaguar Type 00, a fully electric, futuristic vehicle that marks a departure from every other car the brand has produced.
Can Car Color Really Affect Your Chances of a Speeding Ticket? 🚦
They improve energy efficiency through wide-bandgap devices that extend EV range and minimize charging times. The semiconductors also enable infotainment, voice assistants, and AI-driven interfaces for a better user experience. Swedish startup Intended Future utilizes data-driven design benchmarking tools for the automotive industry. These advanced technologies are widely used across a great number of industries and the automotive domain is no exception. They are used by the automotive industry for car manufacturing, employee training as well as vehicle sales and marketing. However, although the Chinese EV market may take some time to adapt to the new subsidy-free scenario, the situation is optimistic.
Shift Toward Mobility Services
The software integrates a one-shot multitask network capable of performing 2D detection, semantic segmentation, and monocular depth estimation. FabEveryday family car tip It processes these tasks in real time at over 120 frames per second on consumer-grade graphics processing units (GPUs). Indian startup General Intelligence creates self-driving intelligence software that supports software-defined vehicles in adapting to diverse driving environments.
Increasing production of digital vehicles
In Latin America, much like other regions, the electrified vehicle fleet is still only a small share of the total vehicle fleet; however, that share is growing. The fleet of light-duty EVs has grown in the last four years by more than 14 times with a very significant, 17-times increase in the fleet of plug-in hybrid vehicles (PHEVs). Brazil is leading the way by a large margin, followed by Mexico, Costa Rica, Colombia and Chile, respectively. This Electric Vehicles Market Report 2026 examines industry growth, investment flows, patent activity, and global hubs shaping the EV ecosystem. It highlights workforce trends, leading investors, and key technologies driving adoption across vehicles, batteries, charging, and software. Several leading OEMs have already announced plans to adopt the chipset for their automotive solutions, including BYD, Nuro, XPENG, Volvo and Zeekr.
Automotive Sourcing Models are Changing
Companies like Huawei are allocating significant resources to developing EVs with cutting-edge ADAS and autonomous features. These technologies aim to reduce accidents and provide a safer driving experience. As we look ahead to 2025, these trends highlight the challenges and opportunities that manufacturers face. We explore eight most influential trends expected to define the automotive manufacturing landscape, offering insights into what lies ahead for the industry. The European Commission will start talks in the New Year on the future of the industry in the region as sales of electric vehicles stall.