The last year has presented major challenges in the automotive industry with chip shortages, big changes to how people work and commute and economic hurdles.
Despite some ongoing concerns and challenges, current automotive trends look to continue building momentum as 2023 progresses. By all measures, it’s shaping up to be a banner year.
Five automotive trends stand out industry-wide that will shape how people use and engage with vehicles and technology.
From advancements in electrification and self-driving to automotive HMI services, expect these areas to evolve and expand in 2023.
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Record self-driving technology adoption
Few carmakers have launched self-driving technology to date, and it’s reserved for the premium models in their stables.
Through 2023, integration and adoption of self-driving features are expected to increase among not just luxury models but mainstream brands as well.
The autonomous market in the US is forecasted to grow from $4 billion in 2021 to $186 billion in 2030, so exponential automotive digital transformation through this year is likely.
Not only do these features simplify the driving experience, but autonomous tech is touted as a way to avoid accidents due to human error.
Greater shift to electrification
Through 2022, EV sales volume is estimated to have increased by 57% over 2021 sales figures. As the industry marches toward a ban on ICE vehicles, the market share of EVs will continue to grow.
More than 40 EV models are slated to debut in the coming year, many of which are expected to be high-volume models, and a majority are in segments like crossovers and SUVs that buyers gravitate toward.
Increasingly digital interiors
Among automotive trends, 2023 is a year that will be defined by advancements in HMI. Carmakers are feverishly working to evolve the cockpit experience for drivers and passengers.
Features like larger digital dashboards and vertically-oriented touchscreen infotainment systems will mimic the smartphone that users already carry in their pockets.
Aspects like interior lighting, surround-view cameras, and ways to interact including haptics and voice will transform what the in-vehicle experience looks like.
Focus on AI and AR technology
OEMs and Tier 1 and 2 developers are forging synergetic relationships with automotive consulting services to take interactive technology to the next level.
Machine learning growth through 2022 is set to accelerate in 2023 and is one of the most prevalent future automotive trends to watch. AI solutions will be used for V2X communication on the 5G network, autonomous delivery vehicle systems, ADAS systems, and improvements in voice recognition.
Also, AI will further integrate the driver’s experience with their smart home and their community.
Augmented reality is also an area of explosive growth for automotive digital solutions through 2023 with more prevalence in head-up displays particularly, and developments that make the full windshield an AR screen.
Developments in multimodal mobility
Lastly, multimodal transportation is set for a massive step forward in the coming year. First- and last-mile solutions, especially in terms of electrified personal transportation like e-scooters and e-bikes, have been forecasted to grow around 15% annually through the decade.
These solutions benefit smart cities and all other urban areas by reducing traffic volume, thereby minimizing air pollution and noise pollution, and shortening commute times.
Automotive digital services like Star Consultancy are developing apps that streamline the experience for users between different modes
The automotive sector has experienced monumental growth and development in the past 20 years, and none more so than major changes from the past few years.
2023 is expected to be an exciting, fast-paced year in the auto industry with growth in the digital environment and UX areas especially.