Cars these days are like any other connected device, owning one is not a symbol of autonomy as before. In the past the automotive dreams of consumers consisted of powerful muscle cars, especially those with huge engines. Then coming to the 2000’s we saw large SUV’s being the go-to cars with Hummers ruling the show.
Today’s world puts traditional features of the car in the back seat and craves for software powered car services. One’s like ADAS (Advanced Driver Assistance Systems), shared mobility and autonomous vehicles. There is a prediction of 30% revenue increase in this segment by 2030, which would be around $1.5 trillion.
Thus, any automaker who decides not to adapt to this new technology will find themselves obsolete in the near future. The refusal to adapt these could be due to numerous risks involved in these systems but having an RnD dept. Keeps the consumer interested in the brand. Else one appears to be lacking relative to competitors. We can expect to see a shift in the mindset of the automotive industry as the car now is not just a tool for getting to some place but is a digital lifestyle device.