Today the automotive industry is on the brink of a technological revolution – also thanks to the more intrusive than ever implication of technology giants such as Google or Apple.
According to top auto executives, analysts and industry experts, Apple and Google are poised to play a crucial role in the development of the connected car sector. They have already started their disruptive business strategies with the Apple CarPlay and Google Android Auto. For the persons implicated in the auto industry – there’s just one question left. Will they be partners or bitter rivals with traditional global automakers – from Toyota to BMW? The Silicon Valley has been partnering with traditional carmakers for years – with the Open Automotive Alliance that supports Google’s Android Auto and Apple’s CarPlay being just the latest examples of collaboration in the field of in-car entertainment systems. But the two main powerhouses – Apple and Google – could reshape their position into competitors if they go through with their plans to become automakers. Google is already hard at work testing a futuristic autonomous vehicle. And numerous reports said Apple has a secret division working on an electric car, presumably with self-driving capabilities.
The value of the market for connected car services is one great reason to become more implicated – it’s predicted to jump to from 31 billion euros this year to 115 billion euros at the start of the next decade, says PwC. By 2020, the field would be made up of safety-related features (47 percent), self-driving would be second with 35 percent and infotainment only third with 13 percent. PwC also forecasts that digital service spending in the car would total 14 billion euros, with 9 billion revolving around mobility and travel value-added features.
Via Automotive News Europe