How will the automotive industry adapt in the future?

The automotive industry, like so many others, took a significant blow during the Covid-19 pandemic, but before the virus gripped the world, there was plenty to get excited about in the sector.

It appears that carmakers will have to be patient in their recovery, with new registrations still lagging significantly despite showrooms having reopened recently.

However, significant progress is being made with technology, ownership models, and more besides across the cars of today, and the years to come.

Warranty experts Warrantywise highlighted the following three areas that show how the motor industry is changing for the better.

The rise of EVs

The UK Government has set an “ambition” for at least 50% of new-car sales to be made up of electric vehicles in 10 years. Given just 0.5% of registrations were EVs in the final quarter of 2018, it is clear that there is significant work to be done.

However, measures are being put in place to promote EV ownership in an attempt to increase their presence on the roads.

Government grants have been introduced to soften the often larger initial outlay that comes with EV ownership, while financial support has also been offered to workplaces and councils that install more EV-charging stations.

The benefits of having more EVs on our roads are clear, with zero-carbon emissions helping to combat the climate crisis and preserving our planet for future generations.

Ownership a thing of the past?

The steep decline in recent registrations may see another growing trend come to the fore.

Car-sharing clubs allow you to pick up a set of wheels when you need them, before handing them back when you’re done.

Some models work as simple extensions of car-rental companies – you pick up a car or have one dropped off and keep it for an agreed period of time.

However, peer-to-peer systems are also an intriguing element. Car-owners who do not have a daily need to use their vehicle can rent it out over periods that suit them – think Airbnb for your motor!

The impacts are startling, several members of a car-sharing club in London cut the number of cars they owned – many even forgoing a car altogether – after trying a pay-as-you-drive approach.

Advances in-vehicle technology

Cars are part motor and part personal assistant nowadays, whether it’s controlling the various settings inside the cockpit, or taking care of the driving itself.

As Warrantywise states: “AI has enabled manufacturers to provide personalized driving experiences, with vehicles now capable of adjusting seat settings, mirror angles, temperature, and music every time a new driver enters the car. We’ve even heard rumors of AI technology programmed to alert drivers when they appear to be growing tired, and of course, the race is on to put an entirely autonomous vehicle on the roads in the very near future.”

Are you excited by the future of the automotive industry? With a greater focus on its environmental impact and producing vehicles that work just as hard for us, it seems the outlook is bright for the sector.