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According to the latest research from technology research firm Gartner, investment in artificial intelligence (AI) by the automotive industry is currently rising sharply, with over 95% of car manufacturers making significant investments. However, this boom may be difficult to sustain in the future, and it is expected that by 2029, only about 5% of car manufacturers will continue to make strong AI investments. This means that the investment efforts of most automobile manufacturers will significantly decrease.
Image source note: The image was generated by AI, and the image licensing service provider is Midjourney
The report states that only a few companies with solid software foundations and technological sensitivity will stand out in the future AI competition. Pedro Pacheco, a Gartner analyst, said that traditional automotive companies face structural barriers and conservative thinking during the transformation, which puts them at a disadvantage in the competition for technological advancement. For example, traditional automakers like Volkswagen, known for their engineering expertise, are struggling to catch up with technology-driven competitors such as Tesla and BYD.
To truly seize the opportunities brought by AI, automotive companies need to transform into "digital-first" organizations, break down internal barriers, and elevate their technology strategy to the highest decision-making level. It is necessary for the head of software to report directly to the CEO, so that they can remain competitive in the future. As AI technology develops, corporate competitiveness will increasingly depend on their software capabilities, which is also a key factor in whether a company will succeed in the future.
Key Points:
🌟 Over 95% of car manufacturers are currently actively investing in AI, but it is expected that only about 5% will continue to invest by 2029.
🔍 Traditional automotive companies face internal structural barriers and urgently need to transform into digital-first organizations to cope with competition.
🚀 The competitive advantage of AI technology will increasingly depend on a company's software capabilities, and the technology strategy must be elevated to the top level.