The platform allows autonomous vehicles to discover AVs, service providers, or clients around them. The vehicle-to-vehicle (V2V) communication is either on-blockchain, with smart contracts or off-blockchain using DAV’s protocols. The startup develops protocols for drone charging networks, drone flight planning, and open mobility. Advanced manufacturing technologies, such as megacasting and giga-stamping, are playing a pivotal role in enabling the industry’s transformation. Megacasting, which involves producing large aluminium castings to replace multiple smaller components in vehicle structures, is gaining momentum in the automotive industry. Shared mobility reduces individual car ownership, especially in urban areas, impacting vehicle sales volumes but increasing demand for fleet vehicles and mobility-as-a-service (MaaS) platforms.
- British startup Cube Intelligence develops a blockchain-based security platform for autonomous vehicles.
- Battery improvements reduce costs and increase range, making EVs more accessible.
- The solution captures millions of data points in real time and analyzes them to enable lenders to instantly assess and reduce risk.
- Also, radar ensures long-range detection of moving objects in all weather conditions, which is critical for adaptive cruise control and highway safety.
- The U.S. and China trade war has also influenced the search for alternative sourcing options.
- It also supports this process by integrating buybacks, residual value calculations, and automated stock analysis.
- A Deloitte UK study found that 52% of all consumers show no interest in car subscription models; interest is higher among younger people (age 18-34).
Tree Map reveals the Impact of the Top 10 Automotive Trends
The startup also serves other industries, such as aerospace, construction, and biomedical. Indian startup RevitsOne offers AI-powered fleet-management software that is suitable for fleets of varying sizes. The startup’s vehicle management system provides insights into speed, running vitals, and health information. Drivers benefit from Voicera ID, a voice-based virtual assistant that helps them keep track of the information they need.
Key Technology Trends in the Automotive Industry in 2025
THINKey operates through a secure architecture using enclaves in the phone, vehicle, and cloud, adhering to the car connectivity consortium’s digital key standard. Additionally, the startup offers infotainment solutions with plug-and-play SDKs and certification-ready apps for phone mirroring and multimedia features. This facilitates the integration of Apple CarPlay, Google Android Auto, and media streaming into in-vehicle infotainment systems.
Top 10 Emerging Automotive Industry Trends 2025 and Beyond
While the market for cars valued below $80k is expected to remain flat through 2031, the luxury car market is predicted to grow at up to 14% CAGR. The chip shortage is one-factor holding cars back from getting to the dealership lots. But, there are other various supply chain issues and factory closures that have led to low inventory, too. After demand started coming back, there simply wasn’t an adequate supply of chips, and the auto industry has been feeling the effects ever since. The parts industry is benefiting from the ever-increasing average age of vehicles on the road.
Autonomous Vehicles (Self-Driving Cars)
- Monitoring and understanding these trends is crucial for automakers, suppliers, and other stakeholders to stay competitive.
- Telematics and IoT sensors monitor vehicle condition and enable predictive maintenance.
- LiDAR enables high-resolution 3D mapping by emitting laser pulses to measure distances.
- OEMs seek alternative sources to improve sourcing flexibility and bring products to market faster.
- For our trend reports, we leverage our proprietary StartUs Insights Discovery Platform, covering 7M+ global startups, 20K technologies & trends, plus 150M+ patents, news articles, and market reports.
Governments worldwide are imposing stricter emissions standards and incentivizing zero-emission vehicles (ZEVs). This pushes automakers to invest heavily in electric drivetrains, recycled materials, and circular economy practices. Consumers increasingly demand eco-friendly options, influencing market offerings. Expect more biodegradable components, renewable energy-powered factories, and battery recycling programs. The trend is irreversible and will accelerate innovation while challenging legacy ICE-dependent supply chains.
Forecasting Top 3 Automotive Industry Trends, 2030
Their scooters use an aviation-grade aluminum frame and are customized for sharing, safety, reliability, and durability. Users discover the nearest Beam scooter on the app and park it in visible public spots after the ride. Further, the micro-mobility platform offers a sustainable alternative to short-distance rides and helps regulate traffic flow in cities.
Automotive trends in 2025 impacting middle-market organisations
The industry itself, however, has remained relatively stable over the last decade.
🚦 Levels of Autonomy Explained: From Driver-Assist to Full Self-Driving
Auto brands that stay on top of these trends and continue to innovate will be able to build a resilient business, that will help nurture a more electrified, connected, and sustainable future. With EV makers in China engaging make sure your road trip car is sound in a price war due to declining demand, Chinese brands with strong hybrid presently are gaining popularity. A few hybrid models are priced below their EV and ICE counterparts, attracting Chinese consumers to hybrids, especially plug-in hybrid (PHEV) and extended-range hybrid (EREV) models.
Procter & Gamble in Beauty and Personal Care
The strides made in EV battery innovation, renewable energy adoption, and sustainability are paving the way for a more resilient and forward-thinking industry. These articles highlight not just the progress made but also the opportunities and challenges that lie ahead. Xiaomi’s foray into the electric vehicle market is exemplified by its state-of-the-art factory, capable of producing an electric car every 76 seconds. This article offers an inside look at the facility and Xiaomi’s ambitious plans in the automotive sector. Meanwhile, we are seeing the economic case for sustainable materials strengthen as manufacturers realise operational efficiency gains and reduce their long-term costs. Cross-industry collaboration is emerging as a key enabler, with automotive companies forming partnerships to develop and implement innovative material solutions.
🤔 Uncertain Market Acceptance and Consumer Adoption of New EV Tech
Consumer trends in the automotive industry reveal that short videos are more effective than text in converting leads into customers in the automotive industry. Dealerships can take advantage of various videos, such as how-to videos, car highlights, and customer testimonials. The demand is highest for vehicles under four years old, which have the latest technologies but are less expensive than new cars. This includes pre-owned electric and hybrid vehicles, and dealerships now offer certified pre-owned cars that look and function like new ones at a lower cost. As we look forward to 2025, RSM’s automotive professionals predict a slowdown overall in the growth of the industry as well as a reduction in overall margins and profitability. Many OEM’s are already revisiting original forecasts and realigning through-put and production schedules accordingly.
The autonomous vehicle (AV) market is on an impressive growth trajectory, expected to surge from a market value of $1,921.1 billion in 2023 to a staggering $13,632.4 billion by 2030, with a CAGR of 32.3%. A major driver of this growth is the increasing focus on commercial applications, such as logistics and ride-sharing services. Advances in AI, sensor technology, and connectivity are also playing a key role in improving the safety and adoption of autonomous vehicles. The global automotive semiconductor market is expected to grow at a rate of 8.1% between 2023 and 2030. This growth is driven by the increasing adoption of electronic control units (ECUs) in modern vehicles and the rising implementation of advanced safety systems.
- The move highlights the scale of investment required to meet zero-emission vehicle targets and align with regulatory pressures for decarbonisation.
- The US National Highway Traffic Safety Administration (NHTSA) estimates that V2X addresses up to 80% of crashes involving non-impaired drivers.
- The currently available infotainment systems can connect with smartphones, sensors, ADAS (advanced driver assistance systems) as well as other in-vehicle and external systems.
- AI-powered semiconductors drive transformation in autonomous driving systems by enabling real-time communication with road infrastructure and enhancing safety features such as emergency braking systems.
- A major barrier to this relentless growth, however, is consumer and regulatory concerns.
- These cars even come equipped with Wi-Fi hotspots, ensuring easy Internet access for all passengers.
- It enhances safety via driver-assist features and promises to revolutionize mobility with robotaxis and freight automation.
Automakers like Toyota and QuantumScape are heavily investing in this technology, and we can expect breakthroughs in battery chemistry and design in the coming years. As urban areas grow more congested, the focus is shifting from traditional car ownership to mobility-as-a-service (MaaS) models. Fleet-as-a-Service (FaaS) solutions, particularly autonomous fleets, are set to transform how people navigate cities. By 2025, nearly all new vehicles are expected to feature advanced connectivity options, integrating aspects of digital life directly into driving experiences.
Evolving Video Marketing Solutions
Daymak will assemble Avvenire’s vehicles and distribute them through its network of over 200 dealers in 25 countries. Further, as part of larger decarbonization efforts, the Intergovernmental Panel on Climate Change (IPCC) emphasizes the contribution of EVs to the reduction of greenhouse gas emissions. Europe is projected to reach a 20.4% market share, while the US is likely to reach 11.2%. Moreover, it ensures perception in challenging conditions such as night, rain, fog, and snow. Also, cloud and edge computing balance fleet-scale analytics with millisecond in-car inference. Digital twins validate updates virtually, with Stellantis using virtual engineering workbenches to test thousands of scenarios before rollout.
Moreover, car connectivity transforms the driving experience by integrating with real-time systems and smart gadgets. These advancements guide the automotive sector toward a more intelligent, secure, and sustainable future. It includes journey replays, geofencing, and driver behavior monitoring to enhance fleet efficiency and safety.
DAM can print parts as large as 1000x3000x1000mm using engineering-grade recycled plastics. Firstly, it accelerates the design and testing process through rapid prototyping. The Automotive Trends & Startups outlined in this report only scratch the surface of trends that we identified during our data-driven innovation & startup scouting process. Identifying new opportunities & emerging technologies to implement into your business goes a long way in gaining a competitive advantage. The vehicle’s architecture includes a 3D mapping system that merges GPS and IMU data with digital maps to determine precise positioning and plan optimal routes.
Leap Business Solutions advances Fleet Management
- Bloomberg New Energy Finance expects EVs to account for 10% of all new car sales by 2025 and 58% by 2040.
- Legacy brands like Ford, GM, and Volkswagen are launching dedicated EV lines, while startups like Rivian and Lucid push luxury and performance boundaries.
- These tendencies are long-term and are expected to continue shaping the auto industry in the near future.
- For example, Mercedes-Benz is using Chat-GPT for intelligent virtual assistants within its vehicles.
- More than half of pickup owners purchase off-road parts and engage in outdoor activities with their vehicles.
- Consumers thoroughly research their preferred car on their mobile phones, searching for the best offers and dealerships in their area.
Make sure you stand out from your peers by focusing on every intricate detail through marketing and staying at the top of buyers’ minds. The future of automotive industry trends suggests that the automotive parts market will grow aggressively due to a growing demand for replacement parts and an increase in vehicle production. The segment’s sales will rise in the first six months of fiscal 2025, while the industry’s revenue will increase at the same pace to $33.8 billion.
- However, the demand for parts is also being diminished by the increasing quality of newly manufactured vehicle parts.
- Given the opportunity to significantly disrupt private transport and shape the future of the automotive industry, companies are expected to continue investing in autonomous vehicles in 2025.
- The market share with EVs specifically is even greater, manufacturing 58% of the world’s electric vehicles.
- NVIDIA’s DRIVE Thor, for instance, offers up to 2000 TOPS of AI inference performance.
- Norwegian startup Chargerly designs vehicle-to-building (V2B) solutions that integrate EVs with building energy systems to improve resilience, efficiency, and sustainability.
- The startup develops protocols for drone charging networks, drone flight planning, and open mobility.
Discover trends, forecasts, and global developments shaping the future of mobility. These systems will become increasingly sophisticated, moving toward semi-autonomous driving capabilities and improving the overall driving experience. Companies like Toyota and Hyundai are investing in hydrogen fuel cell technology.
By the end of that decade, it’s predicted that over 30% of the cars on the road will be EVs. The massive rotation in the global vehicle fleet is predicted to take place in the 2030s. Bloomberg New Energy Finance expects EVs to account for 10% of all new car sales by 2025 and 58% by 2040. After a disappointing 2019 in terms of EV sales, 2020 sales surpassed expectations, growing over 40% year-over-year. EV sales grew from less than 1% of total vehicle sales a decade ago to more than 4% today. Rapid technological and environmental innovations have forced incumbents to adapt to new challenges.