Challenges for Automotive Industry In the Coming Years

Nowadays, automotive leaders have to make many crucial choices to meet the growing demands of drivers and remain competitive on the changing market. Which way is better: to become a leader in manufacturing electric vehicles with super expensive batteries or to create a cheaper internal combustion engine?

During the past few years, the market for cars has undergone significant changes. Residents of large cities no longer want to purchase a personal car, the Europeans as well as the Americans are gradually replacing conventional automobiles with hybrids and electric cars and, finally, many governments are tightening environmental requirements for engines.

Our web resource invertero.com invites you to consider the main challenges and business risks that the automotive industry is going to struggle with in the coming years.

Electric cars

Universal electrification is a quite old trend, however, this phenomenon became so widespread in the automobile industry only in recent years. Many leading car manufacturers consider this direction very promising, but Tesla is ahead of all at the moment. Companies that have seriously succeeded in manufacturing electric vehicles complain about the lack of production capacities. Sales of electric vehicles are substantially growing in many countries worldwide. China is the main driver of this growth and is expected to remain such in the nearest future.


Nowadays, automatic driving system is one of the main trends that almost all automakers actively develop. In fact, most new automobiles of the higher price segment can already move at a given speed, keep a certain distance to the vehicle ahead, drive within a lane and monitor traffic signs. Many automakers have presented the prototypes of cars that can drive independently. Many global corporations that are not related to the production of cars at all, participate in the development of autonomous driving systems. If this direction continues to develop that actively, it seems that in 10-15 years driving in manual mode on public roads will be considered a dangerous behavior.


Multimedia is another important challenge. This trend developed gradually, along with the improvement of information technologies. Nowadays, the synchronization between a car and a smartphone is of no surprise and cloud services have become common for every Internet user. Even the diagnostics of the car in on-line mode is not perceived as something exclusive. The development of autopilot systems is expected to provide a new impetus to expanding multimedia capabilities. Definitely, the driver and passengers will need to do something while the car moves independently on the road.

Limited resource

The service life of cars diminishes every year. Now marketing managers require the engineers to ensure that after 7-10 years of exploitation the car periodically begins to annoy the owner with the problems that are quite expensive to fix. This is done to prompt the owner to purchase a new vehicle. Generally, it is good for the industry and society as a whole. It is highly possible that in the future automakers will simply stop supporting obsolete vehicles. The similar thing happens now with smartphones and computers.

Automobile networks

When the automobile knows the speed, trajectories and parameters of other cars on the road and receives information from traffic lights, signs and even the road surface, the probability of an accident is very small indeed. To achieve this task, each separate automobile should be a part of a large network. Moreover, a constant data exchange between the vehicles should be possible and each car should be included in the ecosystem of smart roads. However, to make all this work effectively, a 5G connection is needed, which allows to exchange data with other objects within a radius of three hundred meters.


The globalization of the automotive industry has started long ago. Small companies unite in large corporations, exchange technologies and develop various solutions together. It is likely that after a few decades the number of automotive corporations can be counted on the fingers of one hand. Each corporation will offer several universal platforms. The variety of models will be achieved due to the design, the number of options and software.