Software-Defined Vehicles – Introducing

Software-Defined vehicles in the past few years, uniform hardware of smartphones and computers gradually reached physical limits, pushing industrial transformation from hardware promotions to software growth. However, with increasingly compatible hardware and narrowed technical gap, the automotive industry is now likely to go through a similar growth procedure.

Locomotive commerce is different from smartphone and computer productions regarding hardware standardization and technology. As a result, the automotive industry is not ready to replicate the exact development design of the smartphone or computer.

The “software-defined vehicles” concept became gradually prevalent in the automotive industry. The two most amazing impacts of software-defined vehicles are: first, network functions decoupled from proprietary hardware appliances, enabling parallel physical and digital development of vehicles while software deciding differentiation; second, software becomes commercialized, maximizing the life cycle and value cycle of cars.

Some forward-looking OEMs have begun strategic change by enhancing their software capability. However, at the same time, some remain cautious about the software-oriented change due to various considerations, such as capital investment and difficulties with internal transformation. This report analyses the origin of “software-defined vehicles”, the driving forces, industry changes, modification, and new opportunities for the industry. It provides several feasible response models and transformation strategies based on the location and capabilities of the stakeholders on the industry chain.

 Understanding “Software-Defined Vehicles”

“Software-defined vehicles” apparently means that the quantity and value of software (including electronic hardware) in a vehicle exceeds that of the mechanical hardware; furthermore, it reflects the gradual transformation of automobiles from highly electromechanical terminals to intelligent, expandable mobile electronic terminals that continuously upgrade. To become such smart terminals, vehicles are pre-embedded with advanced hardware before standard operating procedures (SOP)—the functions and value will gradually activate and enhance via the OTA systems throughout the life cycle.

The gap among the Current and the future

The automotive hardware and software style does not suit software-defined vehicles. The electrical and electronic architecture has verified constraints in calculating power, drawbacks in communication efficiency, and runaway costs of a wiring harness. In addition, the traditional waterfall software development model has significant limits. Based on the above changes in technology planning, automobile R&D will shift from the traditional waterfall development to the agile development model in software-defined vehicles.

 Software-Defined Vehicles of Expect Drivers

Software Vehicle in many car drivers expects their vehicles to integrate into their digital lives fully. The customer’s car experience is primarily defined by hardware, and the software is now taking a more critical role in the past. This trend of software massively shapes the customer experience and, in some cases, even the hardware specification is referred to as the “software-defined vehicle”. In addition, new connectivity. Automation and personalization features increasingly implement with software in the future. This evolution affects development and operation and makes new business models and types of collaboration possible.

Software-defined Vehicle explains why it wants up to seven years to carry a feature inform in today’s vehicles. What full programmability will change in the future then how cars will improve while they are already in the field.

A New Type of Communication in Software-Defined Vehicle

A vehicle is in its best disorder when it leaves the factory. But in the future, the software will continuously optimize in the hardware limits. This means that the Vehicle can advance after departure from the factory. For example, through updates to the vehicle features, upgrades and improvements. Therefore, software solutions will become the key feature that vehicle manufacturers and fleet workers use in the future to set themselves apart. This paradigm shift was made likely in the first place by the departure of hardware and software.

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The Benefits of the Software-Defined Vehicle

In the future, new features activate individually according to the driver’s needs. Examples include temporary services, features, or apps. Therefore, software updates allow for contract and pricing models in which new features provide a service, subscription, or individual purchase.

The Vehicle can communicate with its setting, collect data in actual operation, and send it to the cloud. Using this data, features and services can continually enhance and re-uploaded to the Vehicle using over-the-air updates.

Like with a smartphone, drivers expect new features to be endlessly available for their vehicles. Trends such as e-mobility, automated driving, and mobility services are made possible by the software. This challenge also presents opportunities: The Vehicle’s value can maintain and increased throughout the entire life cycle with regular updates.

New Technology Platform for the Software-Defined Vehicle

In this way, Bosch ensures strong software integration across all vehicle domains. Jointly developed industry standards result in an optimized development process for all partners.

At the same time, charges and use of resources reduce through modular software components. With this software-centred development. Bosch is more efficiently defining how vehicle software will develop, test, and deliver in the future.

Everything Develops. Even Development

In the past, individual systems within the Vehicle could consider an approach involving separate domains. However, integrating them into one overall system was already a challenge. Dependencies, especially in-vehicle communication, had to consider, and the systems had to match to work closely. These classic vehicle architectures are now reaching their limits—the solution: the software-defined Vehicle.


In the wake of the software-oriented industrial change, the intelligent connected vehicles. As an example, from top to bottom, the industrial chain divides into the pure software layer, basic software layer, tool software, and electronic hardware stack. From the value chain view, the application and algorithm software and the software-intensive electronic hardware at both ends of the value chain have relatively high industrial added value, which is now the focus of OEMs. Parts enterprises, and technology companies.

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