The automotive industry is currently experiencing a digital upheaval. The vehicle as a whole is developing into a digital product at a rapid pace – the digital car. The reason for this is the increasing proportion of and value added by E/E components and digital functions.
The times in which customers got excited with the first Connected Services, such as music or social media, have passed. Today customer demands are different. The customer expects a qualitatively high-class digital product experience. And against the background of fast cycles of innovation, this product should stay up-to-date over its lifetime. Regular “over the air” updates with new functions, for example in the area of autonomous driving and infotainment, are therefore obligatory for manufacturers in the premium segment. But besides the challenge of keeping up with these developments, this also opens up new business models for OEMs.
The development of components and services for the Digital Car has therefore rapidly evolved into a new key competence in manufacturing automobiles. It has become an essential competitive factor. This is leading OEMs and suppliers to invest more heavily in the development of digital products and position themselves in the field. At the same time, new collaborations and partnerships are being created with tech companies and start-ups. The previous division of roles and collaborative models between OEMs and suppliers is being reshaped. Challenges in this respect do not just lie in the area of software. The current lack of semiconductors illustrates how the entire automotive industry is facing enormous challenges.
OEMs and suppliers must keep up with fast-paced innovations and make full use of the potential of the digital revolution. To succeed, comprehensive transformations in software and hardware, and also with regard to processes and work practices within and outside the organisation are necessary. We will support you in all of these challenges.