The new balancing act for automakers

The automotive industry is experiencing a rapid introduction of more complex mobility systems. OEM operations have traditionally combined production, deep mechanical knowledge, skilled integration of components from various suppliers, and the management of complex supply chain networks. But over the past 5 to 7 years, the industry has started shifting from mechanical to digital and legacy automakers have been navigating this change, expanding their role as software companies. 

At the core of this shift are several emerging challenges, or opportunities, depending on how you look at them. These include the OEM's journey in navigating a new identity as a tech-enabled automaker, striking a balance between mechanical systems and digital capabilities, and working towards large-scale adoption of AVs. 

The evolving identity of the automaker  

Consumers are increasingly basing their buying decisions on software and self-driving features. Major players in the traditional automotive sector are increasingly required to engage with advanced technologies such as artificial intelligence and big data, either through internal development or strategic collaborations. 

Those who didn’t establish themselves as software players from the start are now navigating new types of product roadmaps. Today, building a ten-year roadmap looks very different, filled with questions like: Should we develop in-house? What will future partnerships look like? What are the key components, and how complex will they be to execute? Ultimately, a shift will occur for the legacy automaker, and the greatest challenge will be the learning process of understanding what sort of features to prioritize for consumers and making overall strategic decisions for their brands.  

Balancing legacy manufacturing with software  

Within the software industry, changes can occur as rapidly as every year or two. That, however, is not the nature of the automotive industry. While the car has now become the latest frontier for new technologies (and while the pace of change has increased,) it’s still critical to understand; the industry is not moving at the same pace, and for good reason. 

There are major considerations such as safety, drivability, and reliability—not technology for the sake of technology, but the creation of real-world systems that get people from A to B efficiently, safely, and pleasantly. The goal is to pursue balanced, gradual, and pragmatic strategies that bring new technologies to market without compromising safety and reliability, or without compromising other critical elements of the driving experience.  

How to mainstream autonomous driving   

If we look at the current landscape, autonomous vehicles still account for only a tiny fraction of total miles driven globally. But the technology, business models, and regulatory progress are already in place—so large-scale adoption is no longer a distant future. 

In recent years, there’s been a much broader realization that true, safe, and scalable autonomy will not be solved by buzzwords, but by a steady commitment to engineering and software innovation. Only then will autonomous driving, at a mass-market scale, bring real value to both consumers and OEMs. 

Getting consumers onboard  

While the forces behind the scenes are coming together to bring autonomous driving into the mainstream, including technologists, suppliers, manufacturers, and regulators, the transformation will only truly be complete when a large number of consumers are comfortable with the idea of humans not actively driving. 

With the growing presence of Level 2+ (Eyes-on/Hands-off) and Level 3 (Eyes-on/Hands-off) assisted driving on highways, a hybrid mindset of automative and human driving is beginning to take shape. This shift is also notable in companies and robotaxi fleets that already provide commercial autonomous services in specific areas. 

Products, not prototypes  

Mobileye’s deep expertise in developing high-performance software for next-gen ADAS and AV is rooted in years of experience. By working closely with leading OEMs, we’ve learned what it takes to deliver advanced technology that’s designed to perform right.