Software-Defined Vehicles Set To Reshape Auto Industry: Report

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New Delhi: Software-Defined Vehicles (SDVs) are rapidly transforming the automotive industry by shifting intelligence from hardware to software, a report said on Friday.

The study highlights how this evolution is enabling greater automation, personalisation, and innovation in vehicle design and performance, market intelligence firm 1Lattice said in its report. Unlike traditional vehicles built around fixed hardware systems, SDVs operate on modular, programmable platforms.

This allows manufacturers to remotely add new features, upgrade existing capabilities, and reduce reliance on physical recalls, all through over-the-air (OTA) software updates, the report stated. According to 1Lattice, the SDV transformation is being powered by innovations such as cloud connectivity, edge computing, and real-time data analytics.

These technologies are enabling dynamic user experiences, predictive maintenance, and greater operational efficiency. With embedded operating systems and advanced driver assistance systems (ADAS), vehicles are now capable of self-optimising based on user behaviour, road conditions, and emerging technologies, the report highlighted.

The study also charts the progression of automotive technology, from basic functional models to fully adaptive, software-led platforms integrated with 5G and intelligent automation. According to 1Lattice, SDVs redefine the future of mobility, providing strategic insights for automakers, tech providers, and investors looking to navigate this new era of connected, intelligent transportation.