Computer on Wheels The importance of electronics in mobility is rapidly increasing
A study by Roland Berger predicts that the cost of electronic components per vehicle will more than double by 2025. The main driver is growing electromobility; automation and autonomy are other factors.
Cars today are already partially computers on wheels; in the future, this will increase rapidly. Autonomous driving, connectivity, and electric drives are the technologies of the future that cannot be implemented without electronic components. The importance of electronic components and software in the vehicle is continuously increasing and poses significant new challenges for the automotive and supplier industry. The entire value chain is subject to substantial changes, according to the core statement of the Roland Berger study "Computer on Wheels / Disruption in Automotive Electronics and Semiconductors."
"The triumphant advance of the software-controlled car is leading to dramatic changes along the entire value chain," says Falk Meissner, Partner at Roland Berger and co-author of the study. "All players in the industry are affected: While OEMs, for example, will have to spend considerable resources on module integration in the future, semiconductor manufacturers are increasingly becoming software providers as well.
Costs for electronic components rising dramatically
The experts forecast an increase in the cost-share of electronic components in vehicles from currently around 16 percent to around 35 percent by 2025. The financial percentage of electronic components in a premium car is now around US$ 3145 and is expected to be more than twice as high by 2025 at around US$ 7030.
The cost increase is mainly due to the electrification of the powertrain, which accounts for a large part of the rising costs. In the further development of automation up to autonomy, prices are rising primarily due to the significantly increased demand for computing power and sensor technology.
Partnership and Cooperation as key strategies
For the most part, companies cannot develop and manufacture each component on their own, as they have done up to now. Partnerships and cooperation with competitions and companies from other industries will be a decisive factor for success in the future. To be able to act in a future-proof manner, vehicle manufacturers and suppliers must redefine their position in the value-added chain and then select adequate partners for cooperation. "Only then can manufacturers and suppliers decide which know-how in the fields of electronics, semiconductors, and software they need to build up and which cooperation will bring advantages."
Link to the Roland Berger study: Computer on Wheels