The automotive industry has seen an accelerated pace of technological development in recent years. Technological advancements in the automotive space have moved toward optimizing the overall customer driving experience, without compromising safety. To this end, there has been a tremendous amount of research and development in connected and autonomous vehicles, vehicle safety technologies and interactive displays. Advancements in these technologies have necessitated greater connectivity, made possible by harnessing the potential of Cloud Computing. Cloud Computing has made it possible to reshape the automotive value chain, while reducing costs. OEMs have also been able to add tremendous value to the entire value chain through Big Data Analytics, including vehicle diagnostics, sales analytics, collision avoidance, traffic updates, vehicle design, and customized settings. Advancements in Big Data are accelerating the path to the smart highway.
Governmental focus on reducing carbon emissions has led to the increasing use of lightweight materials in the manufacture of vehicles, and this trend will likely increase. The high strength to weight ratio of lightweight materials helps with reduction of the automotive industry's carbon footprint, without compromising safety. This move toward greener options has also led to the development of lithium batteries and fuel cells in the automotive space.
The rise of the millennial generation will see new business models emerge, such as car sharing and e-hailing. Millennials will be less inclined to car ownership, leading OEMs to explore the deployment of fleets of autonomous vehicles available on a usage basis. This research service covers the converging technologies that will enable OEMs to develop the car of the future based on value-based business models that have arisen out current megatrends.