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We will also discuss why collaboration and partnerships across traditional industry boundaries will become more important than ever. This article will explore the underlying technological challenges facing the automotive industry in the ACES era and describe the roles different players can take in shaping an ecosystem to solve these challenges.
Radical improvements in cost effectiveness, convenience, experience, safety, and environmental impact will, taken together, disrupt myriad business models on an almost inconceivable scale.įurthermore, enabling the new use cases the four ACES trends promise will require significant investments in new capabilities, such as network infrastructure, data-management platforms, and edge-computing power. New customer interfaces and services, as well as a dramatically different competitive landscape in which tech giants, start-ups, and OEMs mix and mingle, are just a few of the shifts in store. As a result, the industry will shift from linear value chains with OEMs at the end of the assembly line to networked ecosystems with multiple players interacting with each other and the end consumer.
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The industry’s focus will move away from past differentiators, such as powertrains, and concentrate on the car’s embryonic technology stack-a term borrowed from the technology industry that describes the layers of software and hardware that comprise a vehicle’s operating system.
The characteristics of mobility at the second great inflection point will be significantly, not just marginally, better. Consumers will be able to monetize their idle cars, and taxi companies of the future will be able to operate fleets of autonomous shuttles that have sophisticated route-optimization solutions and that have real-time updates based on traffic conditions and congestion patterns.īy 2030, though, the ACES will dominate, and we’ll see developments that may be as profound as those that emerged when the automobile was invented. What’s more, as part of the trend toward shared mobility, tomorrow’s car will have multiple users.
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Positioning-based services will allow drivers to search digitally for nearby parking and find the most affordable gas stations in the area.Īdditionally, cars will increasingly feature electric powertrains, which in addition to reducing emissions, will enable the cars to connect digitally and perform remote operations, such as over-the-air software updates, without having to fire up an internal combustion engine. In-vehicle media streaming is becoming common practice and will require mobile-network operators to build high-bandwidth network solutions across highways and in city centers. It will also communicate with other cars to gain the latest information on slippery roads or potholes.Ĭars will become more connected, thus enabling a variety of use cases.
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The car will communicate with traffic-management cloud solutions to receive traffic updates and to download the latest high-definition maps. They will be fully autonomous, with no driver. We believe tomorrow’s cars will be autonomous, connected, electrified, and shared (ACES).
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