Software

How Software-Defined-Vehicle Accelerates Software Development in the Automotive Industry

3 Mins read

The future of the global automotive industry is supposed to be determined by vehicle software development. The automotive world is changing its priorities as the competitive advantage is no longer defined by hardware, design, and performance. Vehicles of the future gain people’s attention by leveraging electrical and electronic architecture, software architecture, higher computing power, connected services, automated driving solutions, cloud technology, large amounts of data, and in-vehicle infotainment services.

How Software-Defined-Vehicle Accelerates Software Development in the Automotive Industry 1Fast-changing auto industry

The whole evolution in the automotive industry is focused on electric cars, connectivity services, shared mobility, and automotive cloud solutions. To provide these functions and technologies to end-users, automobile manufacturers, OEMs, and Tier1 suppliers invest in automotive software development. The scale of the revolution in the automotive industry is so huge that the phrase software-defined vehicle was coined to express priorities for automotive companies.

According to Grape Up experts, a tech and consulting company proficient in providing vehicle software for the automotive industry, in upcoming decades, our streets will be taken over by software-defined vehicles. What does it mean for car drivers, commercial vehicles owners, large-scale production vehicle manufacturers, automotive parts providers, and the automobile industry in general? Let’s see.

What does software-defined-vehicle means for the global automotive industry

Once Tesla proved to everyone that an electric car can be a must-wanted vehicle for drivers all over the world, vehicle manufacturers understood that they have no time. Leaders of the automotive sector shifted towards electrical vehicles. But there is more. Tesla is known not only for its electrical architecture but also as the first software-defined vehicle.

When automotive industry experts talk about software-defined vehicles, they think about cars that are built starting with software architecture in mind. In-vehicle software is not a gadget anymore nor an extra option. The automobile industry of the future will be dominated by vehicle manufacturers that now build the best software development teams and invest in innovative Research and Development projects.

How software-defined vehicles are changing the automotive business

Rebuilding their organizations to deliver software-defined vehicles, automobile manufacturers have to make huge investments in people and expertise in creating software for future vehicles. But with all the costs of such a complex operation, a software-defined vehicle unlocks new opportunities that can be limitless.

Omnipresent software is a chance to create new business models and monetize driver data. Automotive companies gain access to many behavioral data that not only translate into tailored products and services but also unleash additional revenue streams when collaborating with 3rd party providers – like car insurance providers. A decade before, the smartphone market has been observing a similar revolution once phones gained operating systems, app stores, and a new market for apps delivered by 3rd party providers.

A vehicle equipped with a software system that can be updated over the air (OTA updates) and upgraded with aftermarket solutions (in-vehicle infotainment functions, automation apps, safety management, convenience features, etc.,) is a priceless upselling channel enabling vehicle manufacturers to create long-time relationships with its drivers and partners.

As we observe the first software-defined vehicles on the market, the change that has come to the automotive industry is a chance for these agile companies open to adopt innovative technology and monetize new business models. Thanks to the growing demand for shared mobility solutions (including all kinds of motor vehicles), connectivity, and data exchange teams investing in dealing with software complexity in the vehicle industry are on a good way to stay relevant in the future.

How automotive companies work with external experts

Bringing software-defined vehicles to car drivers requires vehicle manufacturers to equip their organizations with unique expertise. All the biggest brands in the market are fighting for top talent, and the list includes the Volkswagen Group, Stellantis, BMW, Toyota, and General Motors. Building in-house know-how is only a part of the solution. The most established motor vehicle manufacturers leverage experience built by consulting companies specializing in software development not only for the vehicle market but also for other competitive industries.

Companies like Grape Up are long-term partners for automotive companies that accelerate the software-defined future of the car industry. Teams of experienced engineers and product owners lead research projects, prototype innovative software services, and help turn ideas into production. At the same time, consulting companies transfer knowledge and support upskilling process. Partnerships like these are crucial for the automotive industry to adopt the SDV concept and equip their new cars with top software solutions.

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