target audience: TECH SUPPLIER Publication date: Dec 2023 - Document type: Market Perspective - Doc Document number: # US51360723
Cloud-Native Development, Predictive and Generative AI, and Role of IT Service Providers in Software-Defined Vehicle
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Abstract
This IDC Market Perspective elaborates on the ongoing transformation in software-defined vehicle architecture and highlights upon the changes in automotive product development and life-cycle management with cloud and AI technology. This in turn is creating a new space in the value chain for tech vendors and IT engineering service providers to play a pivotal role in bridging the existing gap between auto OEMs and conventional tier 1 suppliers. With upcoming new opportunity, IDC shares some insights on what are the immediate requirements and future propositions that tech vendors and engineering service providers need to focus on to increase their participation and gain in the SDV space.
"With SDVs, the emphasis on enhanced value creation for auto OEMs through strategic partnerships for both innovation and product life-cycle management has opened channels for the emergence of tier 0.5 suppliers, bridging the existing gap between auto OEM and conventional tier 1 vendors." — Sandeep Mukunda, research manager, IDC's Digital Automotive and Transportation Strategies program