News & Insights Latest Automotive Trends and Industry Updates

Countries and states that have committed to phasing out the sale of internal combustion engines. By the end of that decade, it’s predicted that over 30% of the cars on the road will be EVs. The massive rotation in the global vehicle fleet is predicted to take place in the 2030s. Bloomberg New Energy Finance expects EVs to account for 10% of all new car sales by 2025 and 58% by 2040. After a disappointing 2019 in terms of EV sales, 2020 sales surpassed expectations, growing over 40% year-over-year.

Reports from key manufacturing shows

• The market share with EVs specifically is even greater, manufacturing 58% of the world’s electric vehicles.
• Hungarian startup V2ROADS offers a range of products and services tailored to the V2X ecosystem.
• The number of autonomous trucks on the road was expected to increase from roughly 150 in 2020 to over 2000 in 2021.
• In addition, the initiative will leverage the data collected by adding Google’s AI capabilities to Ford vehicles.
• The World Health Organization links 1.35 million annual deaths to road accidents, creating urgency for autonomy.

Also, MotionSafe protects the auto industry by securing vehicle data, supporting supply chains, and ensuring a safe transition to connected mobility. South African startup Motomatix applies AI and custom software solutions to strengthen supply chain resilience in the automotive repair sector. Supply chain resilience and nearshoring strengthen operational stability, while vehicle cybersecurity ensures trust in connected ecosystems. Automotive semiconductors and sensor fusion enhance safety, efficiency, and intelligence. This approach ensures our reports provide reliable, actionable insights into the automobile innovation ecosystem while highlighting startups driving technological advancements in the industry. This process enables us to identify the most impactful and innovative trends in the automobile industry.

Self-Driving Vehicles.

In Europe, the new General Safety Regulation II (from July 2024) and related standards embed connectivity, advanced sensors, and cybersecurity requirements into safety compliance frameworks. This increases the regulatory push toward connected and safety-enhanced vehicles. General Intelligence strengthens the evolution of software-defined vehicles by aligning human-inspired learning with safety. It also advances autonomous driving by enabling adaptability across vehicle types and conditions. In addition, the unit supports multiple communication protocols, including CAN and FlexRay.

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SDVs are more efficient and safer and can be updated with the latest technologies through software, keeping them up to date in a constantly evolving industry. The big data market in automotive is growing, with a projected market size of USD 5.92 billion in 2024, expanding at a CAGR of 16.78% to reach USD 12.86 billion by 2029. Startups are developing big data solutions to help manufacturers and related industries streamline operations and maximize profits.

Xaba builds Industrial AI-driven Control Systems

• Waymo highlights this in its robotaxi fleet, which processes multimodal data to complete over 250K paid rides weekly with high reliability.
• By 2030, automotive industry trends 2030 will witness a significant shift towards electric and autonomous vehicles, driving sustainable growth in the car market.
• It also provides lane-change algorithms that ensure comfortable lateral movement and personalized passenger comfort profiles refined with each journey.
• The chip shortage is proving to be costly for the industry with many auto manufacturers shutting down plants due to low supply.
• In 2025, Uber and GM Cruise will partner, allowing users of the Uber ride-hailing platform to book fully self-driving vehicles from the app in selected US cities.
• The currently available infotainment systems can connect with smartphones, sensors, ADAS (advanced driver assistance systems) as well as other in-vehicle and external systems.
• Autonomous driving is a key innovation driver but remains in a development and regulatory phase.
• The startup employs the Perceived Quality Index to eliminate engineering bias by translating customer insights into measurable quality improvements.

For example, Mercedes-Benz is using Chat-GPT for intelligent virtual assistants within its vehicles. 94 percent of global automakers are using ARM-based technology for automotive applications, alongside the top 15 automotive semiconductor suppliers in the world adopting ARM technologies in their silicon. The automotive industry is being altered by the integration of Artificial Intelligence (AI), which is powering a new wave of smarter and more personalized innovations.

Connected, autonomous, shared, and electric (CASE) vehicle technologies remain a strong focus in automotive markets

This leaves the vast majority of companies concerned with their supply and wanting for more. With 2024 now firmly in the rearview mirror, let us dive into how those trends have developed into 2025 and what that means for middle-market organisations for the year ahead. In addition, it offers insurance-approved vehicle tracking systems with Thatcham S5 and S7 certification to meet insurer requirements and offers nationwide installation with priority police response.

Optimizing mobile experiences & personalization

The main issue holding back the popularity of these vehicles is a lack of hydrogen fueling stations. Instead, they get power from a fuel-cell stack that’s fed hydrogen and oxygen to create electricity through a chemical reaction. However, that number is smaller than it was in 2019 when more than 80% of people commuted by car.

Top Automotive Marketing Trends in 2025

Telematics adoption in logistics and transportation industries is driven by features such as real-time tracking, driver behavior analysis, and fuel consumption reduction. Join us today and access AMS’s wealth of global news, insights, intelligence and content, and to make valuable connections with your peers from across the automotive industry. Volkswagen is using digital twin technology at its Wolfsburg plant to simulate and optimise production processes for the Tayron SUV.

Explore the Top 10 Automotive Trends & Innovations in 2025

US-based startup Aviva Links builds in-vehicle connectivity solutions that include multi-gigabit Ethernet and ASA Motion Link (ASA-ML) semiconductor products for ADAS systems. Its technology transports ultra-high-bandwidth video and data from sensors to processors with ultra-low latency. For this, it uses advanced system-on-chips (SoCs) that integrate mixed-signal analog and digital signal processing (DSP) algorithms. The European Union’s Vehicle General Safety Regulation (GSR2), effective July 2024, mandates several ADAS features in new vehicles. The U.S. National Highway Traffic Safety Administration (NHTSA) plans to require automatic emergency braking (AEB) systems in all new light-duty vehicles by 2026.

Advancements in ADAS and Autonomous Technologies

The automotive industry leads in technological innovation that will reshape vehicle design, construction, and user experience in 2025. Emerging automotive industry trends include the increased adoption of electric vehicles (EVs), advanced semiconductors, and the growing focus on vehicle cybersecurity. The future trends in the automobile industry predict cross border car shopping tips a roller-coaster ride for players. In 2025, the automotive industry will face global headwinds such as the energy crisis, slower global demand, and ongoing supply-chain issues. Despite these challenges, global new-vehicle sales are projected to remain flat, with new-car sales increasing.

❓ FAQ: Your Burning Questions About Automotive Trends Answered

But, there are other various supply chain issues and factory closures that have led to low inventory, too. After demand started coming back, there simply wasn’t an adequate supply of chips, and the auto industry has been feeling the effects ever since. The parts industry is benefiting from the ever-increasing average age of vehicles on the road. The two purportedly plan to begin manufacturing an autonomous Apple electric car as of 2024. This kind of adoption should lead to much-improved 5G infrastructure, which could support vehicle connectivity. As 5G and the Internet of Things (IoT) continue their growth, vehicles are becoming more and more connected.

It uses AI-powered damage recognition, estimation, and work distribution to streamline repair processes. Also, its platform manages claims and mechanical breakdowns across vehicle models from manufacturers. Digital replicas and simulations allow manufacturers to test efficiency improvements before implementation. For example, BMW’s San Luis Potosí facility applies digital replicas to reconfigure layouts and minimize waste.

• The recently proposed 25% tariffs on imports from Mexico and Canada, while temporarily delayed, may also have a drastic impact on the global automotive supply chain.
• By focusing on digital transformation, the company aims to integrate predictive analytics and process automation, creating production systems that are adaptable and resilient.
• At the same time, BYD, Stellantis, and Volkswagen are focused on designing a stronger PHEV portfolio.
• It’s expected that the $800 billion trucking industry could benefit from a significant reduction in the 4900 trucking-related deaths that occur each year if only Level 3 or 4 autonomy would gain traction.
• Environmental consciousness is driving the automotive industry toward more sustainable and eco-friendly solutions.
• Initiatives and support from the Chinese government, such as pilot zones and regulatory frameworks, are further accelerating the process.
• This increases the regulatory push toward connected and safety-enhanced vehicles.
• Recent auto trends show that customers prefer to experience a car or dealership before purchasing.

Auto brands that stay on top of these trends and continue to innovate will be able to build a resilient business, that will help nurture a more electrified, connected, and sustainable future. With EV makers in China engaging in a price war due to declining demand, Chinese brands with strong hybrid presently are gaining popularity. A few hybrid models are priced below their EV and ICE counterparts, attracting Chinese consumers to hybrids, especially plug-in hybrid (PHEV) and extended-range hybrid (EREV) models. Further, its Craidlr ATX-G gateways are integral to the surface temperature & vibration monitoring solution, catering to diverse automotive testing needs. These gateways, combined with advanced transducers, facilitate real-time data collection. The Global Startup Heat Map below highlights the global distribution of the 4800+ exemplary startups & scaleups that we analyzed for this research.

• Leading companies such as Volkswagen, General Motors, and Volvo have committed to producing zero-emission vehicles and achieving carbon-neutral operations by mid-century.
• The platform includes geofencing, driver behavior monitoring, route mapping, and integrated or standalone camera options, accessible via a dashboard and mobile app.
• Sales of the most expensive cars are predicted to drive the most market growth through 2031.
• The transition to electric vehicles has moved beyond early adoption and is now something of a global imperative.
• It highlights high startup activity in Western Europe and the United States, followed by India.
• This could allow drivers to retain their jobs, but avoid the injuries and deaths that result from exhaustion.
• Explore the most important trade fairs and conferences to boost your business success.
• In the United States, the newly appointed administration has issued several executive orders that will likely have drastic impacts on both global and national automotive markets.

EV sales grew from less than 1% of total vehicle sales a decade ago to more than 4% today. Rapid technological and environmental innovations have forced incumbents to adapt to new challenges. The auto industry is one of the largest and most influential markets on the planet. Overall, Auto News suggests that analysts expect the chip shortage will result in a loss of 3 million in vehicle production in 2025.

Key Technology Trends in the Automotive Industry in 2025

This transition offers shorter lead times, reduced tariff exposure, and a stronger crisis response. It re-engineers proven EV technology and applies it to Land Rover Defenders, Range Rover Classics, and Series models from 1949 to 2016. It does so to preserve their heritage design and deliver zero-emission performance. The startup employs the Perceived Quality Index to eliminate engineering bias by translating customer insights into measurable quality improvements. Cost savings also play a role, as recycled aluminum or bioplastics often return their investment in just over a year. Investors support companies with strong sustainability commitments, channeling funding toward greener production.

The Volta Zero addresses sustainability by enabling zero tailpipe emissions, contributing to cleaner city environments. It incorporates an intuitive infotainment system for efficient power management while minimizing driver distractions. The control system includes safeguards like automatic overheating prevention, battery depletion protection, and real-time torque and speed calibration for optimal performance on challenging terrains. The Asia-Pacific region currently controls the majority of the market due to the strong uptake of electric cars (EVs) in countries like China, India, and Japan. The region’s substantial market share results from government incentives and the growth of the automobile industry.

🔌 Trend 1: The Electric Revolution Accelerates – EVs Taking Charge

Chatbots and messaging solutions are key technology trends in the automotive industry. These tools enable dealerships to handle inquiries efficiently, freeing time for other tasks. They also facilitate the management of maintenance and repair appointments, streamlining dealership operations. Voice search assistants also optimize their interface for advertisements and voice search queries. Therefore, you should focus on environmentally conscious manufacturing processes and eco-friendly cars like electric vehicles.