As the automotive industry shifts its focus from hardware to software, South Korean companies are accelerating their drive towards Software-defined Vehicles (SDVs). SDVs are cars controlled and managed by software. Domestic car and parts manufacturers are actively developing solutions and preparing to showcase them on the global stage next year.
As of Dec. 17, the industry is transitioning towards a software-centric automotive sector. Global car and parts manufacturers are exploring business opportunities in various areas, including electric and electronic architecture, vehicle platforms, and fully autonomous vehicles.
Previously, competition was primarily based on hardware performance, such as the body and engine. However, future competition will likely be dominated by software-centric SDVs that enhance both vehicle infotainment and hardware performance.
Tesla has been at the forefront of the SDV transition, gaining attention for its integrated control of car components through software. Notably, Tesla has been improving vehicle performance and resolving unforeseen errors through Over-the-Air (OTA) software updates. Tesla’s software capabilities have allowed it to thrive even during the semiconductor supply shortage faced by the automotive industry.
Hyundai Motor Group is also accelerating its transition to electrification and SDVs. At the beginning of this year, Chairman Chung Eui-sun emphasized the need to “acquire the capacity to create a perfect SDV.” Hyundai plans to transform all its models into SDVs by 2025, providing customers with safe and comfortable mobility connected through software, along with innovative user experiences.
Consequently, within the next two years, all models sold globally by Hyundai will come standard with OTA, offering personalized services such as software updates and subscriptions. Hyundai aims to continuously innovate services by connecting and processing various data generated throughout the vehicle’s life cycle using a data platform. The group is expected to unveil its software-centric strategy at CES early next year.
LG Electronics, focusing on vehicle cybersecurity, believes security solutions will become increasingly important as more data is generated within vehicles. LG aims to present innovative cybersecurity management solutions at CES next year, targeting car manufacturers adapting to market changes. The Cyber Security Management System (CSMS) Cockpit Platform, developed with subsidiary Cybellum, will be showcased for the first time to clients. This platform, combining LG’s cybersecurity capabilities with Cybellum’s cloud-based cybersecurity analysis technology, will serve as a control center, preparing and responding to cybersecurity throughout the vehicle’s entire life cycle.
LG Innotek will also introduce software technologies at CES, controlling and managing the performance of electronic parts. Aligning with the SDV trend, LG Innotek plans to showcase solutions that include software technology for controlling and managing the performance of electronic parts based on real-time data collected during vehicle operation.
LG Innotek will also present key electronic components for autonomous vehicles, such as advanced driver-assistance systems (ADAS) camera modules, and LiDAR, featuring world-class optical technology.
Samsung is expected to present related solutions through its subsidiary Harman, specializing in automotive and audio systems. Earlier this year, Samsung Electronics unveiled the future mobility solution Ready Care, jointly developed with Harman at CES 2023. Ready Care is a solution that allows the vehicle to detect changes in the driver’s physical and emotional state and activate appropriate functions accordingly. It includes features like inattentive driving detection and stress-free route suggestions. The Ready Tune car audio technology was also introduced.
There is anticipation for what new mobility solutions Samsung and Harman will present at next year’s CES, as Samsung Electronics is expected to set up an automotive booth. Recently, Harman announced plans to acquire Roon, a company with competitive audio software and solutions, indicating the potential for new business strategies in the car audio sector and beyond.