Top 3 Automotive and Mobility Trends Shaping 2025

Its intelligent asset tracking defends vehicles against spoofing, ransomware, and remote control attempts. Also, EV charging infrastructure requires strong cybersecurity, as attackers target charging stations for data theft or service disruption. The startup also operates PartSmart, a real-time parts ordering platform that connects insurers, workshops, fleet owners, and suppliers. The platform enables visibility across the entire claims cycle and supports both OEM and aftermarket sourcing.

• Top car brands and dealerships are embracing VR as part of their dealership photography strategies to improve the customer experience.
• We evaluate our own startup data and complement these insights with external research, including industry reports, news articles, and market analyses.
• They shift the industry toward electrification, digitalization, and connected mobility.

Sustainability, regulations, and supply chain challenges in automotive manufacturing

Several leading OEMs have already announced plans to adopt the chipset for their automotive solutions, including BYD, Nuro, XPENG, Volvo and Zeekr. Contact us today to make critical data-driven decisions, prompting accelerated business expansion and breakthrough performance. With customers becoming more demanding, rules and regulations are becoming stricter, and competition is stronger and faster. Many enterprises are moving ahead to create autonomous vehicles with all the multi-faceted benefits. To meet these new requirements and realize this long-term vision, approaches are required to push against the status quo.

The automotive parts market continues to grow

From encrypted communications to intrusion detection systems, cybersecurity advancements will ensure consumer trust as vehicles become smarter and more networked. The rise of such technologies reflects consumer demand for vehicles that are not just transportation tools but extensions of their digital ecosystems. Connected cars enable real-time navigation updates, remote diagnostics, and seamless smartphone integration. They also support smart city initiatives by offering data for traffic management and logistics automation. Established in 2007, SG Analytics is a Great Place to Work® (GPTW) certified company with a team of over 1200 employees and a presence across the U.S.A., the UK, Switzerland, Poland, and India.

Toyota’s Legendary Hilux Is Going Electric

Sales of electric vehicles (EVs) are expected to grow, although governments may restructure their incentive programs. The automotive industry is transforming, fueled by evolving consumer demands, rapid technological advancements, and the urgency of addressing climate change. In 2025, the future of mobility will take a new shape in ways that promise smarter, more efficient, and more sustainable vehicles. Central to this evolution is the growing demand for electric vehicles and software-defined vehicles. British startup Cube Intelligence develops a blockchain-based security platform for autonomous vehicles. The startup’s technology utilizes hash codes to block malicious attacks or hacking attempts on autonomous cars and connected cars.

Best of 2025 How Generative AI Is Transforming Industry

Jaguar Land Rover’s REALCAR project established a closed-loop recycling system that reclaims over 50K tonnes of aluminum scrap. The project avoids more than 500K tonnes of CO2 emissions by reducing the need for primary aluminum. Another instance is that of Michelin, which made a road-approved car tire with 45% sustainable materials.

What are the latest automotive industry trends in 2024?

Additionally, CARNIQ Technologies supports the automotive sector with threat analysis, cybersecurity management, and secure system development. It also provides validation services that ensure resilience against potential risks. The rapid rollout of software-defined vehicles, vehicle-to-everything (V2X) networks, and electrification pushes automakers to secure digital systems as rigorously as physical components. Moreover, the startup’s marketplace connects professionals in a secure environment. It provides exclusive access to vehicles and optimizes purchase decisions based on supply and demand trends.

The Ford Mustang GTD Is the Best Muscle Car Ever

Vehicle cybersecurity drives one of the fastest-growing areas in the auto industry as connected vehicles multiply and cyber risks intensify. Analysts project the automotive cybersecurity market to increase from USD 5.24 billion in 2025 to approximately USD 18.88 billion by 2034, advancing at a CAGR of 15.3%. Geopolitical risks, regulatory frameworks, cost advantages, and compliance needs drive the auto industry toward supply chain resilience and nearshoring. Automakers reduce reliance on distant suppliers as trade tensions and conflicts expose the fragility of global networks. Also, advanced battery management systems improve safety, extend battery life, and optimize performance.

Q) What are the predictions for the automotive industry?

Countries and states that have committed to phasing out the sale of internal combustion engines. 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.

🔌 Trend 1: The Electric Revolution Accelerates – EVs Taking Charge

Indian startup Starkenn develops AI-powered ADAS to enhance vehicle safety and reduce road accidents. Its product suite includes a collision warning system, Starkenn Safe which uses radar to detect obstacles and alert drivers of potential collisions. The Starkenn Brake Safe, a collision mitigation system features automatic emergency braking in critical scenarios.

Artificial Intelligence and Smart Factory technologies are no longer aspirational but integral to modern automotive manufacturing. Stellantis, for instance, has demonstrated how AI can transform production efficiency. By incorporating AI tools, the company has reduced production costs while accelerating vehicle launch timelines. This approach enhances flexibility across its global operations, ensuring a rapid response to shifting market demands.

Project vs Program vs Portfolio Management: What’s the Difference?

The U.S. and China trade war has also influenced the search for alternative sourcing options. Labor costs are another factor in the rise of local sourcing, with countries such as Taiwan, Cambodia, and Laos providing a lower-cost labor alternative to China. 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.

Self-driving cars are considered safer since they can sense their environment and operate safely within it, eliminating factors such as human error and driver fatigue. In 2025, new registrations of electric vehicles – BEVs (battery electric vehicles) and PHEVs (plug-in hybrid electric vehicles) – are anticipated to reach a record 18.1 million – up from 16.3 million in 2024. However, growth EV adoption is predicted to slow, with year-on-year growth falling from 15% in 2024 to 11% in 2025. This continues a trend in the EV industry, which has been challenged by the high cost of vehicles and a lack of charging stations. They have downgraded their EV targets and scaled back production of fully electric vehicles, suggesting that the transition to EVs will take longer than previously expected.

The automotive industry stands at a thrilling crossroads, where innovation meets complexity and opportunity rides alongside challenge. The industry will continue to experience disruptions from geopolitical headwinds VIN lookup as travel safety gadget to regulatory and legislative developments, data security and economic challenges. Maximising the ROI to investors and stakeholders while remaining competitive will be priorities of the industry. The continued global expansion of various players will require a strategic focus on supply chain efficiencies and may bring transformation and consolidation in the industry. Figures from the last few years show that the EV adoption rate is still slow at a global level.

To understand AI’s impact on the automotive industry, it is important to consider the ongoing shifts across the automotive landscape, especially the transition toward software-defined vehicles. Modern vehicles have transitioned from distributed architecture to a centralized, high-performance computing model. This transformation has further streamlined the vehicle architecture, facilitating over-the-air software updates, more efficient management, and lowering overall complexity. EloyMessage broadcasts fixed or dynamic visual and audio messages directly into vehicles, reducing driver distraction with patented technology. EloySignals utilizes AI to optimize traffic flow, advising drivers on stopping or proceeding, and prioritizing emergency vehicles and vulnerable road users.

Your data matters Cookie policy About us Imprint Contact us Privacy Settings Advertising Specifications

Further, Chipv creates power control chips equipped with triple RISC-V cores, extensive on-chip memory, and robust hardware security modules. In the US, the CHIPS and Science Act allocates USD 52.7 billion in funding and offers a 25% investment tax credit. It provides grants, loans, and incentives to expand domestic fabs, semiconductor R&D, and the broader supply chain. It offers ready-to-use workflows across system, software, and project management processes. Its MotionSafe Privacy platform uses algorithms to monitor controller area network (CAN) traffic and detect anomalies. The platform also erases personally identifiable information (PII) from vehicle systems to maintain privacy.

Whilst these acts have been active for some years now, the landscape has not changed drastically. Until these efforts bear fruit, the industry will need to focus on mitigating risks and prioritising demand effectively. Whilst the U.S. may be bucking it, there is certainly a global trend towards a more sustainability-forward manufacturing scene.

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. 5G connectivity unlocks ultra-low latency communication, enabling real-time vehicle-to-everything (V2X) interactions. This enhances autonomous driving capabilities, traffic management, and safety features. It also supports over-the-air (OTA) updates with larger data payloads and faster speeds, improving software reliability and feature rollout.

Automotive Sourcing Models are Changing

This assists the drivers in keeping lanes, prevents collisions, and enables autonomous driving options. Moreover, the solution is customizable to any car model or specific OEM requirements. Additionally, smart virtual assistants are emerging as a key HMI feature, aiding drivers and passengers in interacting with vehicles and external services. The global Automotive Human Machine Interface market, valued at USD 70.41 billion in 2022, is expected to grow significantly, reflecting these advancements in automotive technology. Big data and advanced analytics play a crucial role in decision-making throughout a vehicle’s lifecycle. Vehicle-generated data facilitates predictive maintenance, fleet management, and accident response.

By leveraging tech and sustainable practices, the automotive sector can meet the challenges of tomorrow while delivering exceptional value to consumers. This digital transformation enhances scalability, a key driver in the competitive automotive sector. Companies like Huawei are allocating significant resources to developing EVs with cutting-edge ADAS and autonomous features. These technologies aim to reduce accidents and provide a safer driving experience. As we look ahead to 2025, these trends highlight the challenges and opportunities that manufacturers face.

• The European Commission will start talks in the New Year on the future of the industry in the region as sales of electric vehicles stall.
• Advanced Driver Assistance Systems (ADAS) and autonomous driving technologies continue to evolve, bringing unprecedented changes to vehicle safety and functionality.
• Henkel is using digital simulation tools to co-develop EV battery designs with automotive partners.
• The next decade will undoubtedly see dramatic changes in how we drive, how we share vehicles, and how we engage with the technology that powers our transportation systems.
• These budget-friendly models aim to stimulate adoption following a dip in EV sales.
• This number is expected to have risen in 2020 as dealers everywhere turned to digital channels.
• They also enable software updates, enhance entertainment, and facilitate smooth communication in connected and software-defined vehicles.
• Therefore, websites must be easily readable and accessible on mobile devices, with clear calls to action.
• With its focus on next-generation cells and expanded production capacity, Tesla is paving the way for a more efficient and sustainable global EV landscape.

Software-defined Vehicles (SDV): Market Set to Reach USD 3.3T by 2034

• Moreover, lightweight and bio-based materials are used to reduce vehicle weight and improve fuel efficiency, which aligns with sustainability goals.
• Driver assistance technology, in particular, can go as far as detecting driver fatigue by monitoring their eyes and taking measures to avoid car accidents.
• By 2035, approximately 16% of all new LV (light vehicle) sales in the US are predicted to consist of advanced automated vehicles (L3, L4, and L5).
• Exciting developments in energy storage and green hydrogen technologies promise to redefine production processes further.
• And Tesla had already decided to close all its stores in 2019, now selling all new cars online.
• UK-based startup Distributed Additive Manufacturing (DAM) offers 3D printing services including design, building, and finishing of parts.

The integration of renewable energy into automotive production took centre stage in 2024. This article sheds light on how OEMs are embracing solar, wind, and hydrogen power to achieve sustainability goals. From energy-efficient factories to green hydrogen applications, the examples showcased highlight the industry’s shift toward greener production methods. Battery technology has taken centre stage in the EV revolution, and this article provides a deep dive into the leading chemistries and formats that defined 2024.

India-based startup DriveTech-AI builds solutions centered around optimizing the vehicle testing process through smart solutions. Its suite of platforms and solutions allows automotive OEMs to accelerate testing data analysis and enhance automation and team collaboration. For example, its StellarAi data intelligence platform offers templates to quickly identify engineering variables, trends, and vulnerabilities. AI technologies like machine learning, deep learning, and computer vision are advancing robotic automation. They play pivotal roles in guiding self-driving cars, managing fleets, enhancing driver safety, and refining services such as vehicle inspections and insurance.