Car Wars

Topics Discussed What is standard technology electric cars?What is standard technology for autonomous driving?Who is designing the best autonomous driving technology?Is Tesla's in-house approach a disadvantage? Tech Used Teslaautonomous drivingD1 SoCFull Self DrivingDojoDRIVE OrinDRIVE HyperionAos Advancements in electrification have pushed OEMs to rearchitect their cars from the ground up into software-defined vehicles. But autonomous driving presents a separate challenge and opportunity. While full autonomy remains several years out, automotive companies have started transforming their business models from hardware to software by selling services and features over the life of the vehicle. The key question remains: what technology will become the standard? THE SOFTWARE OPPORTUNITY The automotive industry is large with 100 million cars sold a year and an installed base of over 1 billion vehicles on the road. The industry has historically been characterized by fierce competition and limited differentiation. The concept of software and autonomy is relatively new with less than 10% of the vehicles sold today equipped with Level 2 autonomy or greater. But this is rapidly changing, and in the next decade, we expect that most of the vehicles sold each year will be electric and software-defined that support L2+ or higher capability. Level 2 autonomy requires a driver at all times; Level 3 requires that a driver must remain alert but can take the hands off the wheel, and Level 4 is a fully autonomous vehicle. Over the past year, it has become evident that fully autonomous driving is a much larger challenge than previously expected, despite several executives promising full autonomy 1+ years out. We believe that full autonomy will require years of model training and iterations before it can be available for mass-market production. WHO WILL STAND TO BENEFIT? Automotive OEMs have diverged when it comes to developing software and autonomous systems.