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Automotive Industry – From Ground Zero to the Cloud

Blog: Capgemini CTO Blog

A recent report from Gartner pointed out, that by 2020 the world would witness a quarter billion connected vehicles enabled with new in-vehicle services and automated driving capabilities. Another report suggested that the global automotive tire industry alone, is expected to reach almost $250 billion by 2019. While we notice core demands such as green tires, battery charging longevity and growth in commercial and passenger vehicles sales, the automotive industry has turned aggressively towards the use of analytics & device-to-device communications. The Internet of Things (IoT) is taking center stage into the driving experience. With changing demographics, new business models, pricing pressure and regulatory & compliance pressure, the convergence to an elastic, configurable, scalable and consumption-based paying model of the Cloud is eminent.

Some of the world’s largest automotive and tire manufacturers are working together with Capgemini on gaining insights about the performance of their products in near-real time directly from sensors embedded directly during manufacturing. Using data analytics platforms, Capgemini is enabling companies to manage the enormous amounts of data from its cyber products. Sensors placed at different points collect data about conditions and performance that influence safety, control and vehicle dynamics. End-users have a more collaborative, social and personal touch courtesy a first-hand look onto their mobile phones via specific communication protocols.

Cloud is enabling manufactures to have a closer relationship directly with consumers. Helping understand different patterns and usage remotely. With the Cloud platform companies are creating smaller consoles and centers to reduce costs, lower risks, increase security and dramatically improve vehicular engineering. For example, with SAP, the Capgemini Center of Excellence is adding to the Connected Car Analytics (Vehicle Insights) on the SAP Leonardo platform – product performance dashboards and functions (vehicle protection and control; information about traffic, road conditions and parking; remote vehicle behavior and diagnostics; management of logistics and of industrial vehicle fleets; and automated emergency calls) to deliver efficient manufacturing and business processes. Another solution on Predictive Maintenance as part of the Fast Digital 4 Discreet Industries  is a ready to use solution built on SAP Leonardo, enriched with Capgemini assets (library of algorithms, prediction models, enhanced security) to deliver pilot project within weeks. The Cloud native apps let you adapt to customer needs in real-time. But we’re going further with the interesting combination of applications (SaaS), platforms (PaaS) and Infrastructure (IaaS) possibilities to clients.

The exponential increase in pace of customer demands and technology is driving the digital transformation in the automotive industry. The cloud is answering the needs of advanced data analytics and virtually unlimited computing power on demand for new business models and players. An Uber is forcing incumbents understand mobility-as-a-service and the concept of sharing economy. With Tesla on the prowl, every major player is working double hard not just to remain competitive but master the digital disruption, and adjust to the new business models. The present is a strong indicator towards a very different future. Just as we saw Cloud trounce on-premise enterprise software the last 10 years, the next 10, will see the automotive industry transform. Let’s shift gears to top gear and win this cloud Grand Prix!

To learn more about Capgemini’s work in the Automotive sector and specifically with SAP Leonardo, feel free to contact Lukas Birn, Nico GödelAlex Bulat or me, Aditya!


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