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

  • Embedded electronics - the auto industry's crucial new battleground?
    November 16, 2015
    The increasingly complex electronics systems that range from powertrain controls, including modern hybrid and full electric, to infotainment, navigation systems and now self-driving technology. A new study by Danish company Autelligence, Embedded Electronics – the evolving future heart of the automobile, offers a clear, detailed analysis of a complex world -- car systems, microcontrollers, architectures, sensors, standards and networks and research projects, as well as trends toward integration, new qual
    Read More
  • Get connected
    May 18, 2012
    Delegates at National Harbor this week have opportunity to gain first hand experience of a national connected vehicle program Vehicles of the test fleet of an extensive research program are being put through their paces each day of this year’s ITS America Annual Meeting. With the key objective of showing how vehicles from different manufacturers can communicate and understand each other, technology of the US DOT Connected Vehicle Safety Pilot Program is being demonstrated at National Harbor.
    Read More
  • Developing new detection and monitoring technologies
    November 21, 2012
    Established detection and monitoring technologies continue to evolve, but is it time to challenge their supremacy and take a serious look at less conventional ITS? Andy Graham considers the options with Jason Barnes. For ITS system providers, the most potentially lucrative markets over the next few years are going to be the BRIC (Brazil Russia India and China) group of countries, all of which are building many miles of new roads, applying tolling to existing ones (8,000km in China alone) and implementing w
    Read More
  • Smart transportation market forecasts
    April 25, 2014
    Research and Markets’ latest report, Smart Transportation Market - Global Advances, Forecasts and Analysis (2014 - 2019), indicates that the global smart transportation market is expected to grow at a Compound Annual Growth Rate (CAGR) of 18.3 per cent from 2014 to 2019. Congestion, hyper-urbanisation and globalisation, need of sustainable solutions and emergence of cloud based services are the major drivers for this market.
    Read More

Highlighted Content