R&D on autonomous, connected and electric vehicles creates growth opportunities, says research

As the automotive industry faces narrowing margins, the need to look to other revenue streams and keep the customer committed to the brand for their next purchase is paramount, says Frost & Sullivan. Automotive manufacturers are therefore focusing on research and development (R&D) on autonomous, connected, and electrification (ACE) technologies to build fully connected and completely autonomous vehicles. To thrive in this highly competitive, evolving market, manufacturers need to look beyond seeing themselv
September 18, 2017 Read time: 2 mins
As the automotive industry faces narrowing margins, the need to look to other revenue streams and keep the customer committed to the brand for their next purchase is paramount, says 2097 Frost & Sullivan. Automotive manufacturers are therefore focusing on research and development (R&D) on autonomous, connected, and electrification (ACE) technologies to build fully connected and completely autonomous vehicles. To thrive in this highly competitive, evolving market, manufacturers need to look beyond seeing themselves as product suppliers and focus on becoming providers of mobility services. This will open the door for lucrative, new digital revenue streams.


Frost & Sullivan’s research, Global Key Automakers’ Autonomous, Connected, and Electrification Strategies, Forecast to 2025, finds that between 2015 and 2025, 10 key automotive original equipment manufacturers (OEMs) are expected to spend about US$345 billion on ACE R&D. The study provides a strategic overview of the R&D activities of key OEMs, including key technology development, investment plans, expenditure trends, current expertise, and impact on business performance. Major players such as Volkswagen (VW), Toyota, BMW, General Motors, Ford, Mercedes (Daimler), Nissan-Renault and Tesla, and their ACE technology strategies, are provided.

Location Based Systems

For more information on companies in this article

Related Content

  • Global ADAS market will approach $10 billion this year
    April 25, 2012
    Advanced Driver Assistance Systems (ADAS) have been expensive add-on technical features for luxury vehicles for over 10 years, but during 2011, or perhaps more accurately Model Year 2012, features such as adaptive cruise control, lane departure warning, and low-speed collision mitigation will finally become available on higher-volume models such as the Ford Focus and Mercedes Benz C-Class.
    Read More
  • Driving dynamics ‘vastly influence car purchase decisions in Europe’
    April 24, 2015
    Driving dynamics play a huge role in the purchasing decisions of vehicle owners in Europe. While safety and reliability are top priorities, driving dynamics-related capabilities such as manoeuvrability and ride quality rank high in importance among consumers looking to buy a car. New analysis from Frost & Sullivan, European Consumers’ Attitude towards Driving Dynamics Technologies, finds that urban male customers are willing to pay a higher than average price to upgrade driving dynamics technologies. Wo
    Read More
  • Revealed: future of mobility in Hamburg
    October 7, 2021
    From 11-15 October, the ITS World Congress will present a myriad of innovations
    Read More
  • Here, automotive companies move forward connected car data standard
    June 30, 2016
    Following successful discussions with international automotive and mapping companies in Europe, the US and Asia, Here has now submitted the design for Sensoris, a universal data format, to Ertico-ITS Europe, which has agreed to continue it as an Innovation Platform to evolve it into a standardised interface specification for use broadly across the automotive industry. To date, 11 major automotive and supplier companies have already joined the Sensoris Innovation Platform now under the coordination of Ert
    Read More

Highlighted Content