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Safety and Emission Regulations Drives Top 30 Technology Features of North American Mass Market and Luxury OEMs

2017-06-23 21:10

Collaboration, partnerships and knowledge sharing is key to technology adoption and penetration, finds Frost & Sullivan's Mobility team

SANTA CLARA, California, June 23, 2017 /PRNewswire/ -- Driven by government mandates on safety and emission regulations, original equipment manufacturers (OEMs) are investing billions of dollars in the research and development (R&D) of advanced vehicle technology features. This is fueling rapid growth in autonomous, artificial intelligence (AI), safety, in-vehicle connectivity, comfort, and electric vehicle (EV) technologies. Major automotive OEMs, suppliers, as well as small technology start-ups are expected to partner or collaborate with the aim of reducing the price point of top features, offering new business models such as connectivity through the cloud and data-based services to end users.

Frost & Sullivan latest Analysis of Top 30 Features of Mass Market and Luxury OEMs in North America, 2016-2025, reveals government mandates on emission and safety drive innovation in automotive technology is driving OEMs to make major investments in technology development across six clusters including powertrain, chassis, safety, comfort, connectivity, and EV technology within the mass and luxury OEMs market in North America.

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"While the majority of features identified are currently available only across select vehicle models owing to high technology costs, they have significant potential through R&D, collaboration, and knowledge sharing to reach peak performance, adoption and penetration across multiple vehicle models," said Frost & Sullivan Mobility Research Analyst Ajay Natteri Mangadu.

Select OEM and supplier activities and partnerships include:

  • GM and Ford 10-speed transmission co-development;
  • Honda NXS offering steer-by-wire;
  • Technology companies such as Waymo, NVidia, and Baidu entering the automotive space to reduce road accidents through the development of autonomous software;
  • GM acquiring Cruise Automation for autonomous technology development;
  • Gentex and Delta ID collaboration to develop an iris scanner for vehicle authentication and security;
  • Partnerships between Cisco and Hyundai for high-speed connectivity with SK Telecom, BMW, and Ericsson achieving 5G in car connectivity at over 100 mph;
  • Bosch opening a new unit for electromobility, focusing on battery technology;
  • Honda-Hitachi partnership to develop motors for EV;
  • Mercedes-Benz, BMW, and Audi introducing top technologies, such as active lane change assist and gesture recognition; and
  • Tesla setting industry standards in EV technology, in-car connectivity, and semi-autonomous driving technology.

"In-car connectivity features are set to boom within the luxury vehicle market, while mass-market segment vehicles are expected to adopt features such as autonomous emergency braking to improve safety," noted Natteri. "EV technologies will witness low adoption rates owing to high technology costs."

Analysis of Top 30 Features of Mass Market and Luxury OEMs in North America, 2016–2025 is part of Frost & Sullivan's Automotive & Transportation Growth Partnership subscription.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants. For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Contact us: Start the discussion

Analysis of Top 30 Features of Mass Market and Luxury OEMs in North America, 2016–2025

Clarissa Castaneda
Corporate Communications – North America
P: 210.477.8481
F: 210.348.1003


Source: Frost & Sullivan
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