The concept of a software-defined vehicle (SDV) has become an industry buzzword that could spawn a US$1tr global market by 2030, according to MarketsandMarkets. However, the reality is fraught with complexity. Lacking even a common terminology to determine what exactly ‘software-defined’ means, automakers must also consider how different market contexts might alter any interpretation even further.
Javed Khan, President of Software and Advanced Safety and User Experience at Aptiv, tells Automotive World that local consumer preferences, OEMs’ individual sales goals, and regulatory restrictions make a homogenous SDV impractical. However, on a technological level, he proposes that the industry is considering the same basic problem: “How to adapt and evolve through software updates and enable new features, capabilities, and improvements throughout a vehicle’s lifecycle without extensive hardware modifications.”
The capacity for customisation without onerous complexity and advanced connectivity within a cost-effective and scalable architecture is the ‘holy grail’ SDV platform. But how can this be achieved, and what specific regional differences could make this flexibility imperative?
The need for customisation
On a global level, Khan reports high demand for in-vehicle features like seamless smartphone integration and streaming services, as well as autonomous driving and advanced driver assistance systems (ADAS). However, he states that there are some differences between markets based on regulatory environments, infrastructure, and customers’ willingness to pay for certain technologies.
In Europe, for example, stringent environmental regulations and consumer awareness of sustainability issues mean there is an emphasis on how software architecture can improve efficiency and reduce emissions. “In China, the strong presence of electric vehicles demands that SDVs provide advanced battery management and charging solutions.” Meanwhile, in developing markets, he states there is a focus on affordable yet high-tech solutions that cater to urban environments, such as real-time navigation in congested areas.
Building a presence in these markets can help automakers and suppliers understand what customers want. In India, for example, Aptiv announced US$45m of investment in August 2024 to expand its facilities in Chennai, focusing on next-gen cockpit control systems, sensor hardware, and electronic control units. “India stands out as one of the largest and fastest-growing automotive markets globally,” remarks Khan. “Indian customers are increasingly more discerning about safety features and infotainment content. These trends, as well as the increasing vehicle production, are driving the need for more local manufacturing.”
It should be noted that specific market preferences are not static. As products, SDVs will need to be iterated through continuous user feedback and machine learning-driven analysis. By coalescing around this flexible idea, Khan believes automakers and suppliers can build truly global platforms: “They can adjust content and features based on the preferences or needs of a particular region, thereby reducing the effort and costs to expand into new markets.”
Balancing cost with value
To enable customisation on a technological level, Aptiv is focusing on three key components: edge-to-cloud connectivity tools for efficient DevOps management, cloud-native software architectures that support containerisation and regular updates across the structure, and hardware architectures that provide flexibility in how compute resources are utilised across software functions throughout a vehicle’s lifecycle.
“Ensuring these elements work together without interoperability issues is a significant hurdle,” says Khan. OEMs inevitably have different priorities and software and hardware architectures in place. This requires Aptiv to employ strategic planning to customise products rapidly—the rapid pace of technological advancements and the need to comply with evolving regulatory standards globally adds a layer of ongoing complexity. There is also an economic aspect: “We must balance the cost of advanced technology with the value it provides to our customers and what the market is willing to pay.”
To address these challenges, Aptiv leverages its deep automotive and systems engineering expertise to design and deliver flexible and adaptable solutions. Khan claims that Aptiv’s product portfolio—encompassing toolsets, software and hardware, and bolstered by its 2022 acquisition of intelligent edge software solution company Wind River—is at the forefront modern technology. “For example, our Wind River Studio Developer and Studio Operator products address OEM challenges related to edge-to-cloud connectivity.” These tools provide a development environment for engineers and product managers to build, test, deliver, and operate software in the field.
We must balance the cost of advanced technology with the value it provides to our customers and what the market is willing to pay
Combined, the Aptiv-Wind River software applications, middleware, and operating systems facilitate the abstraction of software from hardware and unlock modularity in the software stack. “A tangible example of these technologies coming together is our Gen 6 ADAS platform,” explains Khan. “By aggregating and fusing a variety of sensor inputs augmented by artificial intelligence/machine learning capabilities, the platform creates a detailed environmental model to inform behavioural and motion planning.” Importantly, by keeping its platforms open, scalable and optimised at the system level, he states that Aptiv can enable a broader range of manufacturers to engage with and integrate advanced SDV technologies. “We can help smaller OEMs that would otherwise struggle to develop these capabilities internally.”
Harnessing synergies
Once SDVs leave the factory, the ability to upgrade features and functionalities quickly and in-step with market demand becomes critical. As such, Khan believes advanced connectivity like vehicle-to-everything (V2X) will be “deeply intertwined” with SDVs. By facilitating the collection and analysis of vast amounts of data from various sources, he states that the automotive industry can optimise vehicle performance, predict maintenance needs, and provide more personalised user experiences.
“The synergy between SDVs and V2X can support over-the-air updates, enabling continuous software enhancements without physical intervention, ensuring vehicles have the latest features, security patches, and performance improvements.” Furthermore, this enhanced connectivity will allow SDVs to receive advance warnings about potential road hazards or adverse weather conditions—a significant factor for increasingly safety-conscious markets. By leveraging V2X connectivity, Khan predicts that SDVs will reach their full potential, offering a more connected, autonomous, and intelligent mobility experience.
For its part, Aptiv continues to design solutions that can harness these advanced tech synergies and, perhaps, eventually deliver a new paradigm for global transportation. As automotive sales shift away from the performance capabilities of specific vehicles and towards the monetisation of digital services, the company aims to help OEMs provide sophisticated customisation that is still simple enough to be scaled cost-effectively. Khan highlights that Aptiv provided a turnkey ADAS system to an unnamed “emerging EV manufacturer” that would have been too expensive and taken too long for it to develop in-house. By making sure no automaker is left behind, he concludes that a broader range of SDV technologies will enter the market, the industry’s transformation will accelerate, and customers’ diverse needs in each region will be met.
