21 April 2022

Who is winning the data race for the software-defined car?

Today, a car is home to more than 100 million lines of code and produces more than a terabyte of data per day. The value of this data for countless use cases is driving car manufacturers to transform into software developers and platform providers – because whoever moderates the data journey of the connected car of the future will become the next massive tech player in the digital industry.

Data connectivity is driving the automotive market

There is no car manufacturer that doesn’t realize the potential of digitalization and connectivity in relation to their products. As systems evolve towards fully autonomous driving, data-driven services, and much greater personalization in the software-defined car, robust, high-performance, and secure connectivity will become increasingly indispensable.

While car manufacturers are working on becoming the software specialists and data journey managers of their automotive and mobility products, Big Tech has a head start in the field. Going head-to-head with the tech giants like Amazon, Apple, Google, and Microsoft may not be feasible in the short term. Hence, a range of models based on partnerships and co-innovation are emerging in the automotive industry offering interim solutions as car manufacturers prepare themselves for the future automotive industry.

Interconnection as an aggregation layer

Be it the carmaker or the developer of the operating system – they need to ensure that all car-related data transfers are executed in the most secure, reliable, and high-performance way possible. Here, they need to involve one further partner: An interconnection platform as an aggregation layer, to bring the stakeholders together, to route the data flows securely, and to improve the resilience and performance of the connectivity to and from the connected car.