The automotive buzzword at CES 2025 in Las Vegas this year was “SDV.”
It’s a “software-defined vehicle,” where automakers have banked on AI integrations, complex autonomous driving, in-car displays, passenger comfort features, smart charging, and much more. BMW , Honda, Sony, Garmin, Harman, HERE Technologies, Nvidia and even Maserati were some of the corporations at the annual technology expo that showed what it means to have a software-driven delight (instead of the same old hardware).
As Chris Ahn, Deloitte’s head of connected cars and electrification in the U. S. , said in a phone interview from Las Vegas, the auto show portion of CES wasn’t so much about car shows as it was in the past, but rather about what cars can do. -now (not in some ambiguous future). ” It’s not so much that this generation is so far away,” he said. “We can have this in cars today. All this is in working condition.
But now, the challenge is to offer prices adapted to consumers to integrate new functions into cars, such as conversational AI or autonomous driving on the road. As Ahn pointed out, hardware and software are no longer separate.
“The computing force is ready,” he said; just take a look at CEO Jensen Huang’s statement about Nvidia on chips for the autonomous driving and driver-assistance technologies that corporations like Toyota are already developing. But with all this technology, they’re on the rise, and consumers are already hitting a “affordability wall. “
Deloitte’s 2025 Global Automotive Consumer Study released this month shows that 54% of US respondents (a total of 31,000 consumers in 30 countries were surveyed between October and November) plan to transfer the logo of their next vehicle in search of higher quality at a lower cost. Brand loyalty decreases as long as the expected complex features remain available.
Automakers are under pressure to make vehicles with high-tech capabilities: About 70% of American respondents want a connected car for less than $50,000.
Throughout this week at CES, other automakers and suppliers have shown what an SDV experience looks like with some of those complex features on display.
The car part maker known for its audio and visual products unveiled its Luna avatar for AI interactions. The AI system works with Harman’s QVUE smart windshield display. The Harman in-cabin experience is all about situational AI that picks up on context and real-time needs.
Known for its navigational tools, Garmin showcased its Unified Cabin concept to be used as a digital cockpit for all infotainment needs. The digital experience includes six screens with an ultra-wide front display for 3D augmented reality overlays, customized lighting, personal AI voice assistants, safety sensors and more.
While HERE is all about mapping, this year the tech company showed how AI can play a role in a connected car. With an AI assistant revealed to receive instructions (even for something as conversational as “locate a lunch spot near the coast”). “), from voice and connectivity to charging stations and for effective driving routes and autonomous driving modes, behind-the-scenes software will find its way into infotainment systems in the long term.
Large automakers such as BMW, Honda and the joint venture Honda and Sony have demonstrated how connected cars are an option for long-term models. BMW’s new infotainment formula for its Neue Klasse electric cars will be the panoramic iDrive, while Sony Honda Mobility has highlighted the computing power of its upcoming Afeela 1 EV for video streaming and AI assistance.
The upcoming Series 0 cars, named after Honda’s humanoid robot from 2000, will feature the ASIMO operating system.
Honda’s 0 Series SUV and sports sedan devoted a portion of its prototype reveal on its new ASIMO OS compute platform for AI capability for the upcoming EVs.
Maserati presented the MC20 Cielo at the show. It is a coupe with AI that competes on the circuit completely autonomously. In collaboration with Politecnico di Milano, a technology-focused university, the sports car is capable of reaching 177 mph with a robotic driver. Maserati said this is the fastest speed recorded through an AI-powered production vehicle without human intervention.
The Maserati MC20 Cielo at CES 2025.
CES 2025 wraps up Friday at the Las Vegas Convention Center.
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