SDV puts software at the center

Software-defined vehicles (SDVs) place software-controlled functions at the center of car development. The approach is based on powerful computing hardware, a real-time operating system and a modular software architecture that is updated via over-the-air updates. Instead of many individual control units for clearly separated tasks, most functions in an SDV are intended to run through a powerful central computer. Audi technical chief Geoffrey Bouquot describes several layers for this: vehicle architecture and chassis, with battery technology added in electric cars, and above that a digital nervous system for the interfaces to sensors inside and outside the vehicle. This electrical/electronic architecture, or E/E platform, is intended to connect software modules with each other and make them more flexibly configurable.

For manufacturers, the shift means high investment in E/E platforms, central computing systems and cloud infrastructures. Volkswagen is relying on Rivian in the West and Xpeng from China in the East for its SDV architecture. At the same time, new business models are emerging because apps and complete driving functions can be unlocked and sold after purchase. General Motors CEO Mary Barra describes software as one of the company’s most important growth drivers; industry analysts expect software-based services around the car to generate billions in revenue in the coming years. For customers, the benefit lies in updatable vehicle functions and the basis for more complex assistance systems up to Level 4 autonomous driving. Risks are also cited, including data protection issues, software errors, security vulnerabilities, dependencies on online services and the concern that vehicles could be less mature at purchase because defects can later be fixed by update.