EVObsession logo

Connect with us

Hi, what are you looking for?

Market Research

The 6 Paradigms Of The Automotive Industry Transformation, As Defined By ABI Research

There are big changes coming to the automotive industry over the next couple of decades, which is something that even relatively entrenched industry execs are seemingly starting to realize. What exactly are these changes though? And how to define them?

A list of 6 primary transformative paradigms affecting the industry over the next quarter-century were recently defined and outlined by ABI Research, giving us perhaps some new means of answering those questions.

Abi research paradigm shift

While the future influence of autonomous driving technology and electrification on the automotive industry is a simple enough thing to speculate about, some of the other approaching paradigm shifts are perhaps a bit more opaque.

The 6 “transformative paradigms” identified by ABI Research are electrification; driverless technology/car-sharing, the “software-defined car,” the “connected car,” sensors + big data, and cooperative mobility + the internet of things.

The Managing Director and Vice President at ABI Research, Dominique Bonte, commented: “The final three stages — cooperative mobility, electrification, and car sharing leading to driverless cars — will be the most disruptive to the automotive industry. Not all car manufacturers will survive the changing landscape. And newcomers will also emerge, ones eager to create new, software-defined, high-tech cars.”

Which is I suppose what companies such as Apple and Google are positioning themselves for.

Green Car Congress provides more:

While the first three phases are already underway, the latter three will start to drive the market forward within the next 10 years, according to the market research firm.

Car manufacturers are currently revamping vehicles’ electronics and networking architecture to ensure every sub-system is connected and software-defined. Moving toward the next decade, the automotive industry will achieve cooperative mobility. Cars will communicate with not only each other but also infrastructures and environments. Electrification will then change the way consumers power their vehicles. And, lastly, car sharing, and driverless cars, will likely lead to market consolidation.

Through this industry fluctuation, there will be a number of opportunities for manufacturers and vendors to reinvent themselves, ABI said.

A couple of points that were made with regard to that:

  • “Gas stations will need to rethink their market strategy and offer new services, such as electric charging stations, or risk losing their relevance completely.”
  • “Taxi companies are already feeling the rising pressure, meeting stiff competition from Uber and other new car sharing services.”
  • “Dealerships and insurance vendors also face potential upset.”
  • “Semiconductors and software companies, on the other hand, have a huge future, as cars continue to incorporate more sensors and computing technologies into their architectures.”

One would think that with the shifting ground becoming more and more apparent, established auto-manufacturers would be putting more of an effort into staying ahead of the curve, but that largely doesn’t appear to be the case. Though perhaps there’s more going on behind closed doors than we are aware of?

Image Credit: ABI Research

Written By

James Ayre's background is predominantly in geopolitics and history, but he has an obsessive interest in pretty much everything. After an early life spent in the Imperial Free City of Dortmund, James followed the river Ruhr to Cofbuokheim, where he attended the University of Astnide. And where he also briefly considered entering the coal mining business. He currently writes for a living, on a broad variety of subjects, ranging from science, to politics, to military history, to renewable energy. You can follow his work on Google+.


Free electric vehicle news daily


You May Also Like

100% Electric Vehicles

After a steep drop from the Tesla Model S, the BMW i3 is the most expensive electric car on the US market (just slightly...

100% Electric Vehicles

This article is also being published on EV Obsession and EV Sales. The Chinese market had more than 34,000 new EVs zooming the streets last...

100% Electric Vehicles

Electric car cost vs gas car cost is a perennial issue of discussion. Of course, the result keeps changing, and the options for comparison...

100% Electric Vehicles

Originally published on CleanTechnica. How large is the Chevy Bolt exactly? How do you tell if the model will be large enough to provide...