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Where we share the insights, questions, and observations that shape our approach.
Not only the self-driving vehicles: 9 use cases of AI in transportation
Accidents, traffic congestion, lack of parking lots and poor state of roads. These are the 4 Horsemen of the Road Apocalypse that on occasion haunt cities around the globe. Have they come to settle in the largest agglomerations for good? Can AI in transportation combat them and make mobility smoother, more comfortable, and safer? Practical solutions introduced by the biggest transport companies from all over the world show that it is possible. And we do not have to wait for fully self-driving cars to use the advantages of AI. The changes are happening right before our eyes.
In 1900, the number of vehicles in the USA - the only country that produced cars at the time - reached 4192 vehicles. Today, the number of motor cars is estimated to be around 600 million, and with the current growth in production, this number is expected to double in the next 30 years. Our cities are congested, polluted and in many places getting around in a car during rush hour borders on the miraculous. Not to mention the real endurance test that drivers' nerves are put to.
Government agencies and shipping companies must explore solutions that reduce the number of vehicles in cities and equip urban infrastructure and cars with tools that effectively offset the side effects of technological globalization. The Internet of Things and artificial intelligence are coming to the rescue to facilitate a new class of intelligent transportation systems (ITS), not only for automotive but also for rail, marine, and aircraft transportation.
By analyzing massive amounts of data from vehicles and connecting the road infrastructure into a seamless network of information exchange , many aspects of transportation can be successfully addressed. The benefits of using AI in this market area are not only for cities and drivers but also for transport companies, pedestrians, and the environment. The whole transport ecosystem benefits from it, not just one of its constituent parts. We should all care about the development of these technologies and the broadest possible use of them in transport.
Thanks to the above-mentioned technologies, new trends are developing, such as micro-mobility, shared mobility or, especially in the Netherlands and Scandinavia, the idea of mobility-as-a-service (MaaS), which encourages drivers to give up their own vehicle and exchange it for one in which transport is provided as a service.
Benefits of introducing AI in transportation
According to Market Data Forecast, the global transportation AI market will be worth around $3.87 billion by 2026 and is estimated to grow at a CAGR of 15.8% between 2021 and 2026. And it's no wonder that more and more businesses are embracing these solutions. The benefits of using AI technology in transportation are truly far-reaching and, indeed, their future is looking bright. With the development of data analytics and more modern sensors gathering information, new and innovative applications are bound to emerge.

Today, key benefits of using AI in transportation include:
- increasing transportation safety;
- detecting market trends;
- relieving traffic congestion;
- reducing greenhouse gas emissions, air pollution, and noise;
- improved transportation design and management;
- better management of urban space and reclaiming specific urban areas for residents;
- analyzing travel needs and pedestrian behavior.
9 use cases of AI in transportation
When talking about using AI in transportation, self-driving cars are the most often mentioned examples that stir the imagination. Although such solutions have already been tested on the city streets (e.g. Waymo and Cruise in California) and occasionally we hear news about reaching by the manufacturer the highest (5th) level of automation, we are still a little away from the dissemination of vehicles that do not need any attention of the driver.
The main challenges faced by autonomous driving remain unchanged. First, detection of objects on the road and their categorization, and second, making the right decisions by the neural network, decision tree, or, in most cases, complicated hybrid model.
In 95% of cases, the neural network controlling the vehicles is already behaving correctly and making the best possible decisions. But there is still a marginal 5%, and this level is the most difficult to achieve at the moment. It simply takes time and more data to "train" a neural network. With the dropping price of LIDARs [light detection and ranging sensors], high resolutions camera, and the computing power of the GPUs [graphic processing units] increasing, it is only a matter of the next few years before this barrier is overcome - first in limited controlled areas (e.g. factories and harbors), the form of autonomized truck transport, and then using city vehicles.
Meanwhile, there are already more than a dozen advanced technologies on the road today that are taking advantage of the AI ‘’goodies’’ and changing the way we control vehicle flow, driver safety, and driving behavior. Let's take a closer look at them.
1.Traffic detection & traffic signs
If traffic regulations were boiled down to one simple rule that even a few-year-old child could understand, red and green lights would definitely be second to none. Meanwhile, there are hundreds of road accidents each year related to running the red light and not stopping the vehicle at the right moment. Many factors contribute to this, such as driver fatigue, inclement weather, misuse of cell phones while driving, or simply rushing and time pressure.
People make mistakes and always will, these cannot be avoided. However, we have started to teach the machine to recognize traffic lights and eradicate such mistakes (the first attempts were made by BMW and Mercedes). With this technology, the braking system will react automatically when the driver tries to run a red light, and thus we can prevent disaster.
2. Pedestrian detection
The unpredictability of pedestrians and their different behavior on the road is one of the main factors holding back the mass introduction of autonomous cars. Thanks to computer vision, AI already recognizes trees, unusual objects, and pedestrians without much of a struggle, and can warn drivers of a human approaching the roadway. The problem arises when a pedestrian is carrying groceries, holding a dog on a lead, or is in a wheelchair. Their unusual shape increases the difficulty for the machine to properly identify a human. Although it must be admitted that by using various object detection functions - based on motion, textures, shapes, or gradients - it is practically 100% successful.
However, the pedestrian's intention still remains a great challenge. Will he or she step onto the road or not? Are they only walking by the side of the road, or do they intend to cross it? These elements are always ambiguous and a neural network is needed to predict them effectively. To this end, the human pose estimation method comes in handy. It is based on the dynamics of the human skeleton and is capable of predicting human intentions in real-time.
3.Traffic Flow Analysis
Noise, smog, clogged city arteries, stressed drivers, economic losses, greenhouse gas emissions - traffic congestion and vehicle crowding in cities give rise to numerous undesirable phenomena. AI can effectively help counteract all of them and make transportation much more efficient and convenient.
By relying on in-vehicle sensors, municipal CCTV cameras, and even drones to monitor vehicle flow, the algorithms can watch and keep track of the traffic both on highways and in the city. This allows them to warn drivers of potential congestion or accidents and direct the flow of vehicles in an efficient manner. It is also invariably useful for the town and urban planners involved in constructing new roads and improving the city's infrastructure. With prior traffic analysis and the vast amount of data available, AI can identify the best planning solutions and help reduce undesirable situations right at the planning stage.
4.Inspection of dangerous turns, traffic circles and bike lanes
On a macro scale AI can help us change the entire road network, and on a micro-scale- a single intersection or traffic circle that needs repair. The analysis of the material provided by intelligent algorithms can calculate the trajectory of vehicles entering the bend, analyze the risk of potential conflicts between vehicles - pedestrians - cyclists, the speed at which vehicles enter the bend, or the waiting time at the traffic lights. The analysis of all this invaluable information can help optimize a given road section, and improve the safety and convenience of transport.
5.Computer Vision-Powered Parking Management
Entering the city center by car and finding a parking lot is often a struggle. If we connect the city's parking lots into an efficient network of sensors that monitor available spaces, the length of time vehicles are parked, and the hours when vehicles are most heavily congested, this key aspect of traffic can be greatly enhanced. With maps embedded in vehicles, AI can facilitate finding free parking spots, alert you to potential parking overcrowding, and - something actually pretty common - allow you to find your car when you forget where you parked it.
Such solutions are particularly useful in places such as airports, sports stadiums or arenas, where traffic must be smooth, and a high volume of visitors may pose a threat to safety.
6. Automated license plate recognition
A useful application of AI and computer vision is car license plate recognition. This type of technology is often used when entering highways, tunnels, ferries, or restricted areas constrained by gates or barriers. AI helps verify whether a given vehicle is on the list of registrations that, due to the fee paid or the drivers' status, are allowed to access a given area.
License plate recognition by algorithms is also a well-proven tool in the hands of the police and security services, who in this way are able to pinpoint the route of a particular vehicle or verify the driver's alibi.
7. Road condition monitoring
Each year potholes cause $3,000,000,000 worth of damage to vehicles in the U.S. alone. Intelligent algorithms can warn drivers of surprises lurking on the roads and monitor the condition of the road surface, so they can notify the authorities in advance of potential spots that will soon need fixing. This is enabled by linking the camera to ADAS, which applies machine learning to gather real-time information from the road surface where it is moving.
In this way, the driver can be warned not only of roadway damage but also of wet surfaces, ice, potholes or dangerous road debris. All of this improves safety for travelers, prevents accidents, and saves money - both in terms of drivers' finances and city funds.
8. Automatic Traffic Incident Detection
Video surveillance has been with us on the roads for ages, but it wasn't until the system was supported by AI solutions that it became possible to detect traffic incidents more efficiently, respond faster and provide information to traffic users practically in real-time.
By linking cameras within an ITS system, using computer vision technology, and equipping vehicles with intelligent sensors, we can detect different types of accidents. Intelligent algorithms save lives, prevent serious accidents and warn road users of hazardous situations by recommending safer travel options.

The most commonly detected traffic incidents include:
- pedestrians or animals entering on the road;
- vehicles moving too fast or too slowly;
- vehicles blocking the passage;
- detection of debris on the road;
- identification of vehicles moving in the wrong direction
9. Driver Monitoring
Finally, there is a full category of artificial intelligence solutions that apply directly in the interior of the car and affect the drivers themselves (we covered this in more depth in this article ). Among them, three are particularly noteworthy:
- driver’s fatigue monitoring - by detecting the driver's face and estimating the position of the head, the system can detect drowsiness and emotions of the driver and thus prevent an accident.
- alerts when the driver gets distracted - for instance, when they reach for their cell phone, veer out of their lane, or turn around in the back seat to talk to fellow passengers.
- emergency assist systems - when the driver is not responsive and does not operate the vehicle, the car first tries to wake the driver by braking and pulling safety belts, and if it fails pulls over and calls emergency.
AI in transportation: setting the course for change
Given the speed at which computer processing power is changing and the number of sensors from which data is being collected , fully automated cars on city roads are likely to be a question of the nearest 5-10 years. Change is happening at an exponential rate and today's applications of AI in transportation are just the first glimpse of the possibilities offered by intelligent algorithms. Change is essential and inevitable, e.g. due to the challenges facing the global community when it comes to global warming.
An increasing number of people live in cities, own not one but two vehicles, and want to travel to work or do their shopping in comfort. Transport companies and city managers must join forces with IT companies to fully tap into the potential of AI and change transport to be more efficient, environmentally friendly and suited to the way we want to use our cities. This is the only way we can make transportation sustainable and remove obstacles on the way to a zero-carbon economy and smart cities. Otherwise, we may face a vision of the future in which scientists predict traffic congestion 10 times worse than we experience today.
Digital twin factory in the automotive industry - so the future is happening today
Retail stores and factories are being cloned for the virtual world, for familiarity and efficiency. Now it's time for automotive, which is more and more willing to use digital twin factory. This innovative technology perfectly bridges the real and virtual worlds. It is already happening now, for instance in BMW factories.
Digital twin and Industry 4.0
The fourth industrial revolution necessitates the use of advanced data-driven technologies. This includes digital twins. It's an idea that allows you to simulate products, services, and entire processes for creating more efficient and faster quality solutions. By using video, images, diagrams or other data for advanced 3D mapping, a new virtual reality is created.
This concept is becoming increasingly common in various market sectors, including automotive . Not only individual vehicle parts , but even entire factories are already being created in the digital space. The latter can be seen, for example, at BMW.
But it is also being used in many other sectors, not just the industry as such. For instance, tests are being carried out to use the technology for surgical treatment of patients with heart conditions - so digital twins would be used for the advanced replication and examination of internal organs. Besides, they would enable faster development of prototypes of even such machines as airplanes. Architects, by contrast, no longer have to rely solely on their imagination in such a scenario, but can use perfectly reproduced models of skyscrapers, accurate down to the nearest centimeter.
Digital twins enter factories now
Just imagine this scenario: the opening gate of a manufacturing plant. Coating a car door with paint. Workers, going from section to section, carrying out their jobs. Except that these are just very realistic simulations. And the workers are, in fact, only avatars. This is how the idea of the digital twin in the automotive industry can be summarized. It's creating a separate, comprehensively perceived manufacturing process.
The digital twin in the automotive industry includes a virtual replica of the entire car and its physical behavior, including software, electronics, mechanisms, etc. And it can additionally store all performance and sensor data in real-time, as well as configuration changes, service history, and warranty information.
Making the digital twin a reality at BMW
This trend is already becoming widespread. For example, at the German BMW factory. The virtual three-dimensional replica of the vehicle factory used by the company is a space reproduced down to the smallest detail, which can be accessed using a screen or VR goggles. Why " dabble" in such technology at all? To save money, at least, among other things. Non-physical, virtual resources allow you to test or improve assembly line parts without having to move or operate on heavy machinery.
Machine learning algorithms also help in managing robots. These, in a simulated version, can make various complex moves to make the process as streamlined as possible. And all this without wasting energy on time-consuming tests. Besides, this way robots learn new ways of working.
Advanced software also simulates,e.g., the behavior of workers: their paths of movement and actions. By doing so, an attempt is made to minimize possible ergonomic problems. Frank Bachmann, BMW's factory manager, says the time needed to plan the factory's operations has been reduced by at least 25 percent . Anyway, the changes are happening as we speak , because even before the individual parts of the drive systems for electric vehicles leave the BMW plant, the entire production process is already finalized in the virtual version of the Regensburg factory.
The aforementioned benefits are such a boon for BMW that the company intends to develop more of this type of technology. Their soon-to-be-introduced twin factory model is expected to be a replica of the factory in Hungary, and subsequently, this will apply to other factories around the world.
Innovation driven by synergistic collaboration
BMW is an automotive giant that promotes and uses the virtual technology of tomorrow not alone, but with the right support from technology companies that are responsible for the software implementation. In the case of the German automotive brand, the partner is the chip company, Nvidia. It uses its proprietary Omniverse system, which offers the possibility to simulate the entire production process, taking into account even such physical factors as gravity.
Clearly, everything is to be conducted in the framework of photorealistic detail. This complex virtual environment allows for the creation of diverse 3D models. It's also innovative in the sense that Omniverse's open file standard is compatible with numerous computer-aided design packages. Richard Kerris, general manager of Omniverse at Nvidia, refers to the project as "one of the most complex simulations ever made".
But the solutions do not close at Invidia, and automotive companies can also choose from other offers of technological implementations. And there is every indication that there will be more and more of these offerings. For example, in November 2021, Amazon unveiled the AWS IoT TwinMaker , a service that generates digital duplicates of real-world systems for business. An immersive 3D view of systems and operations enables optimizing efficiency, increasing production, and improving performance. So does the platform-as-a-service (PaaS) offering, Azure Digital Twins . It enables the creation of digitally based models of various environments such as buildings, factories, power grids, and even entire cities.
Use cases, in other words: how can the concept of digital twin be used in the automotive industry?
It may seem to some that creating digital twins in the automotive industry is unnecessary "gadgetry" or blind following of trends.
After all, why simulate the creation of a vehicle? Isn't it better to spend time, energy, and resources on improving what is already underway? Isn't it better to invest in the REAL production result? All of this is not so simple. Especially when you realize that this technology is not just about virtualizing the vehicle development stage. The idea behind digital twin factories focuses not so much on the development of the cars themselves, but on the entire broad ecosystem. It is about creating and sustaining, in a controlled environment, the entire production environment:
- logistics,
- employees,
- deployment of machinery,
- chain value.
Ding Zhao, a Carnegie Mellon University professor specializing in artificial intelligence and digital simulations, argues that simulations are crucial to the industry. This is the case for two reasons. First, it's about simulating dangerous situations. Under "normal" circumstances, this is often simply impossible. Just as impossible is running machines for millions of cycles each time, only to collect the necessary data for analysis.
The simulation, therefore, takes into account the entire environment of the production process. It is a comprehensive and all-encompassing view of the problem. A virtual answer to the question of real needs, and of real benefits. And these are numerous.
Prediction first
The digital twin gives people in charge of maintaining productivity in a factory an important "weapon" to fight against financial loss. It's called predictive maintenance. Predicting what's to come saves resources and allows us to better plan future production and sales activities.
This ranges from product testing, determining maintenance needs and line improvements, to turnover planning. For instance, different types of chassis can be tested in diverse weather conditions. In a virtual world, of course. What is more, such solutions can be tested right away by customers, who will thus immediately share their impressions of the product. So you get feedback even before the solution is released on the market.
OEMs can maintain a twin vehicle of each VIN and software number and can do updates wirelessly (SOTA) or temporarily enable or disable some features.
In the simulation, for example, you can also pay attention to functionalities that drivers rarely use. If something doesn't work, you can back out of the idea, even before it is implemented.
In addition, it is also possible to configure the infrastructure of factories so that employees can be trained remotely without physically installing the equipment. This opens up further possibilities for the internationalization of a brand. In this way, a manufacturing company in the U.S. can train a new team in Japan even before the plant in the Land of Cherry Blossoms is completed.
Improving manufacturing capabilities
The technology described here yields huge savings not only in terms of money but also in terms of time. In the traditional automotive industry, companies have to focus too long on verifying new features or designs. And all because they have to wait for the production process to be completed.
The digital twin clears this hurdle. You can easily test the impact of a new machine with new features and parameters for your production output. It's a fast, yet reliable way to verify the success and performance of an innovative project.
Effective data management
Virtual simulation technology allows for reliable data analysis , both present, and past. All data, e.g. regarding stoppages or configuration changes, are collected in real-time. So you can see exactly when machine stoppages are likely to occur. And not only that.
As a result, people in decision-making positions can plan uninterrupted production with minimal financial loss. And car dealers, having an insight into a vehicle's service history, know exactly what they are marketing.
Based on this, you can also better anticipate customers' demand and improve customer satisfaction when using the car.
Importantly, the data collected is integrated and unified across several sources simultaneously. It is not a problem to get insight into performance data, driver behavior data , and archived information on previous models.
Perfect finish
As you may be aware, the production of a new model may take even 5-6 years, therefore even a minor oversight may disturb the stability of a company, especially when it concerns the flagship and widely advertised model. For image and financial reasons, it is particularly significant today that the product is competitive, reliable and perfectly developed.
What is the conclusion? Even a small omission can impair the stability of a company, especially when it involves its flagship and widely advertised model. For image and financial reasons, what matters today is that the product is competitive, reliable and perfectly developed.
The digital twin, which allows design and simulation in a completely virtual environment, favors the creation of products perfect in every detail. High-performance rendering and visualization tools allow you to select from a wide variety of materials and textures. And nothing stands in the way of optimizing airflow or heat emission. Every detail will be planned.
Why use a digital twin?
There are many benefits when using a digital twin in automotive. A simulation of this type means:
- an optimal design of the production process already at the digital copy stage, rather than on a "living organism".
- saving time and money. By "getting ahead" of future production problems.
- a better estimate of production line extension costs
- an easier analysis of each stage of the production process for so-called "bottlenecks".
- faster, more interactive communication between vehicle designers, stakeholders and end customers.
- improved ergonomics at all workstations in the plant.
- the determination of product behavior throughout the life cycle. Thus facilitating R&D work.
- the ability to reuse proven models and quickly evaluate the impact of changes.
- an option to integrate all data between the previous vehicle generation and the current vehicle design in a digital model.
Clearly, this is one of the most cost-effective data-driven manufacturing concepts today.
Digital Twin factory. No longer science fiction
The concept of digital twins in the automotive industry is the future, not science fiction. Before long, every factory or building will have a digital counterpart, helping to better manage it.
The digital and real worlds will seamlessly intertwine. The convergence of physical and virtual versions offers the possibility of overcoming various challenges that are now commonplace in the automotive value chain.
The most powerful giants, with BMW at the forefront, know this. Everything indicates that soon every manufacturer in the industry will have to consider investing in such solutions at some stage and to some extent. Anyway, from the company's point of view, it is not a sacrifice, but a chance to develop against the competition. And an opportunity to achieve numerous measurable benefits.
Distributed quality assurance: How to manage QA teams around the world to cooperate successfully on a single project
Ensuring distributed quality assurance and managing a QA team is not always as straightforward as one may think it is. There is no way to predict the exact number of bugs being introduced into the code and therefore, there is no way to calculate the precise time when those issues are going to be fixed. The planning process is very fluid and very often the development team requires QA team’s attention and help to reproduce the issue. Such challenges arise even in the most usual team setups when there’s just one team. Then what about a project that is so big, that there are three QA teams working together on ensuring the quality and writing automation tests?
Distributed Quality Assurance
Scaling the project by introducing more teams arise many different kinds of challenges. Sometimes the teams work in different, just slightly overlapping time zones. Sometimes it is a different culture and language. Sometimes, if said teams are hired by different vendors, the processes may differ. Rarely, this is a combination of all of those factors.
We are going to take a look at precisely that situation. The project included multiple teams writing automated Selenium tests for a single, large-scale web project simultaneously. Testers were working from Europe, Asia, and the US. Due to customer policy – all the source code for automation tests had to be pushed to a single Git repository.
Initially, there was no cooperation process defined as other teams joining the project organically when parts of the application they were responsible for, were integrated into the system. At this point, nobody anticipated an inevitable disaster.
The realization came in when suddenly a new pull request came in. After six months of work, thousands of lines of the code, and multiple developers contributing - it was impossible to review such a big change and its impact on all other code – especially to foresee a possibility of invisible conflicts.
At this point, we knew that we must create a common process for all teams. We can’t just discard 6 months of development, but at the same time, we can’t merge it without thorough verification. One of the ideas was to split the work into multiple groups of branches – each team having their own set of development/integration/master, etc., but this contradicted the very idea of cooperation between the teams.
First, we’ve asked to split the huge PR into feature branches – possibly, one branch per test or one branch per feature being tested - and then merge them one by one. Going forward, all new tests should be added the same way, as relatively small pull requests instead of large chunks of code that are impossible to digest during the code review process.
It was necessary to remind the teams that in such a setting, being synced with the latest changes saves everyone a ton of work. The process that we’ve introduced made it mandatory to pull the latest code from the development branch at least once a day to make sure there are no new conflicts.
Then we’ve created separate pipelines for the other teams to test their changes, as even with small worktime overlap, it was still a blocker.
Additionally, the process requires at least two approvers from different teams to merge the changes into the development branch – this way teams do not only keep an eye on code quality but also make sure changes from other teams do not impact their work.
It may sound just like a few small steps, but overall, the implementation of the new approach took almost two months. This includes various meetings, agreements, presentations, and writing down the processes. On top of that, teams had to take care of integrating all PRs, big and small, into a new “version zero” codebase, which then was used as a fresh starting point.
The process was written down on a Confluence page accessible for all team members in all teams. It does not just include the rules initially accepted by the teams, but also coding standards, style guide, and links to the agile delivery process used for that particular project. Afterward, the result was presented to all teams and agreed to use from then on. And together we’ve decided to have a weekly sync just for the QA teams.
Key takeaways
The resulting process is working very well for us. It is a scaled-up version of the process we have used internally in our team, so the implementation went smooth and swift. The velocity of the automation tests development also improved over time, as less time was spent on fixing conflicts and going through PRs.
Of course, this process is not a one-size-fits-all solution and does not answer all the questions you might have if you want to implement a similar solution into your QA automation development. Their project includes shared code, such as libraries, which someone is obliged to maintain and take responsibility for. The technical debt reduction also has to be agreed upon and split evenly between the teams. All in all, if the development is based on a solid foundation like the described process, it’s easier to agree on smaller things on the go.
How to enable data-driven innovation for the mobility insurance
Digitalization has changed the way we shop, work, learn and take care of our health or travel. Cars are no longer used just to get from A to B. They are jam-packed with technology that connects us to the world, enhances safety, prevents breakdowns, and even provides entertainment. With the rise of the Internet of Things and artificial intelligence, a vehicle is no longer understood solely in terms of its performance and sleek design. It has become software on wheels, a gateway to new worlds - not just physical, but also virtual. And if the nature of insurance itself is changing, then the company offering insurance must keep up with these changes as well. Insurance needs digital innovation, as much as any other market area.
These days customers are looking for customization, personalization, and understanding their needs on an almost organic level. Data and advanced analytics allow us to effectively satisfy these needs. Thanks to them, it is possible to fine-tune the offer, not so much for a specific group, but for a particular person - their habits, daily schedule, interests, health restrictions, or aesthetic preferences. And in the case described by us - a person's driving style and commuting patterns .
If you think about it, the insurer has the perfect tool in their hands. If they can tap into the potential of the software-defined vehicle and equip it with the right applications, there will be nearly zero chance of inaccurate insurance risk estimates. Data doesn't lie and shows a factual, not imaginary picture of a driver's driving style and behavior on the road.
While in the traditional insurance model pricing is static and data is collected offline and not aligned with the driver's actual preferences, new technologies such as the cloud, the IoT, and AI allow for these limitations to be effectively lifted.
With them, an offering is created that competes in the marketplace, generates new revenue streams within the company, and builds customer loyalty.

Data-driven innovation - easier said than done. Or maybe not?
The transformation of a vehicle from a traditionally understood mechanical device into a "smartphone on four wheels," as Akio Toyoda once said about modern vehicles, takes time and will not happen overnight. But year by year it already happens, and as the new car models distributed by the big corporations show, this process is actually underway.
Read our article on the latest trends in the automotive industry
The so-called software-defined vehicle that we are developing with our clients at Grape Up is a vehicle that moves through an ecosystem of numerous variables, accessed by different players and technologies.
Clearly, one such provider can be - and should be - the insurer whose products have been tied to the automotive market invariably since 1897, when a certain Gilbert J. Loomis, a resident of Dayton, Ohio, first purchased an automotive liability insurance policy.
However, for insurance companies to play an integral role in the use of vehicle-generated data, the driver must receive a precisely functioning and secure service from which they will derive real benefits. Without building specific technical competencies and software-defined vehicle knowledge , the insurer cannot achieve these goals.

Only by creating this type of business unit from scratch in-house, or by partnering with software companies, will they be able to compete with insurtech startups like, e.g. Lemonade, which builds their businesses from the ground up based on AI and data analytics .
The right technology partner will take care of:
- data security;
- selection of cloud and IoT technologies;
- and will ensure the reliability and scalability of the proposed solutions.
During this time, the insurer can focus on what they do best - developing insurance competencies and tweaking their offers.
How to choose the right technology partner?
Just as customers are looking for insurance that accommodates their driving and lifestyle, an insurance company should select a technology partner that has more than just technical skills to offer. After all, changing the model in which a traditional insurance company operates does not boil down to creating a digital sales channel on the Internet and launching a modern website. We are talking about a completely different scale of operations requiring the insurance company to be embedded in a completely new, rapidly developing environment.
Therefore they need a partner who naturally navigates the software-defined vehicle ecosystem, understands its specifics, and has experience in working with the automotive industry. Besides, it should be someone knowledgeable about the specifics of the P&C insurance market and the challenges faced by the insurance client.

It is only at the intersection of these three areas: technology, automotive, and insurance, that competencies are built to effectively compete against modern insurtechs.
Like in the Japanese philosophy of ikigai, which explains how to find one's sense of purpose and give meaning to one's work, both companies can build valuable, useful solutions for users. They will bring satisfaction not only to customers but also to the insurance company, which will open a new revenue channel and meet the needs of the market.
How Porsche developed a digital twin to win the race for the virtual car concept
NASA used a precursor to these technologies to bring the Apollo 13 astronauts back to Earth. Lockheed Martin claims these types of solutions are one of six game-changing technologies in the defense industry. The opinion-forming Gartner includes them in its list of ten strategic technologies that can streamline corporate decision-making processes. When Porsche and Volkswagen Group reach for them, it’s a signal for the automotive industry to become interested in digital twin technology for good.
Although the concept of a digital twin had been developing in the space industry since the 1970s, it was not until the 1990s that it was first mentioned in the literature (the book entitled Mirror World, by David Gelernter). In industry, the technology was recognized even later, 30 years after the Apollo mission, when the authority in the field of PLM - Michael Grieves - disseminated it.
Today, the technology, which was officially named Digital Twin by NASA just over 10 years ago, is placed on the pinnacle of key solutions at the convergence of the virtual and real world. It works well wherever there is a high number of failures, work of coupled systems, and where the production process is long and burdened with numerous risks.
The automotive industry is one of these sectors, as demonstrated by the virtual car concept developed by Porsche for the new Taycan. What is a digital twin and what benefits does it bring?
- test prototypes for their functionality, durability and user expectations;
- predict defects and analyze possible design errors;
- save time and financial means;
- reduce design and production risks;
- improve monitoring capabilities of vehicle fleets;
- and best of all - it enables continuous product improvement, as it often collects data from not only one, but thousands of objects. This makes it learn faster and predict defects more precisely, as it is based on knowledge gathered from a vast number of sources.
In the case of cars, these could be sensors from dozens of systems spanning the entire vehicle lifecycle: from research and development to the manufacturing plant and OTA updates , to connected services .
„Chassis twin” - a virtual car concept developed by Porsche for TaycanThe „chassis twin” project has been in the process of development at Porsche for the past three years and then it was continued by the CARIAD company (the Volkswagen Group's vehicle software provider). The air suspension of the new Porsche Taycan was chosen as the main object.
Why the chassis and not the entire car? Because it is this part of the vehicle that is subjected to the most strain, especially on racetracks.
Porsche engineers used intelligent neural algorithms to centrally analyze the data, and in-car sensor data was collected not only from Porsche cars but also from Volkswagen Group vehicles. This increased the data pool by over 20 times. The "chassis twin" concept enables chassis loads to be detected, even if they are not noticeable inside the cabin, and notify the driver before faults appear, even when no suspicious sound or vibration has yet been noted by the driver or mechanic.
The data collected by the vehicles is sent via Porsche Connect to a central system in the cloud , where an algorithm calculates the relevant durability and vehicle operation thresholds for the whole fleet of vehicles to create a baseline. When these are possibly exceeded, the driver of a specific vehicle receives a notification via Porsche Communication Management (PCM), that the chassis may require inspection. Looped into the computational work, the algorithm recommends not only the type of service needed but also the scope of work to be carried out in the service center.
By removing a faulty or overloaded component early on, the driver will not only be able to avert potential malfunctions, but also keep the vehicle in better overall condition.
In the future, based on a vehicle's digital usage history, Porsche or a partner insurance broker can offer extended warranties and better services to the driver . The data can be classified, analyzed, and used not only for repairs to a specific vehicle but to predict life-cycle events for the entire product. This allows Porsche to create new services and features, and to test different scenarios for the development of a particular vehicle line. Thus, it saves the time and resources required to bring ill-conceived solutions into reality.
The other possible use case is that drivers themselves can use the data collected by the digital twin to negotiate with the prospective buyer. The buyer can view the vehicle's overall condition and chassis service history.
As for drivers' concerns about their own privacy, the manufacturer assures that it collects data anonymously and the system does not store any information that could identify the driver directly. The future of the concepts digitization of the automotive industry is gaining pace year after year. The digital twin concept may prove to be one of the key technologies that will push software-defined vehicles to new tracks and help companies create safer cars, provide new services and increase vehicle lifespan.
So far, half of the Taycan users have signed up for the Porsche pilot program, which collects data from the chassis of their sporty electric cars. In 2022, the program is to launch at a test level, and only sensor data directly from the mechatronic components will be evaluated. In the future, the concept is to reach its full potential, making it possible, among other things, to calculate the wear and tear of specific components without the need for physical measuring devices.
How will the "chassis twin" model developed by Porsche work out ? The future will tell. What is certain is that a return to the past is only possible in the movies. In 2022, Volkswagen is commencing an era in which a virtual equivalent will soon await the driver, in addition to their actual real vehicle.
How to simplify the process of building production-ready AI services and reduce the time for resource management in the automotive industry?
While the automotive industry is rapidly changing by adopting a software-first strategy, like in other sectors, automotive enterprises struggle with productionizing AI and ML R&D projects. Machine Learning and Data Science teams face numerous challenges, including determining the proper technology, automating workflows, managing computing resources, managing data, and building solutions meeting internal regulations. All these issues can complicate the project even before the kick-off.
So, how do we support AI teams to overcome typical challenges and enable ML engineers and Data Scientists to focus on creating and bringing artificial intelligence algorithms to production?
The implementation of a dedicated deployment platform is a solution that is well suited for the automotive industry . In particular, it allows you to:
- accelerate the productionization of AI and ML applications;
- provide an easy and quick project and user onboarding;
- simplify access to data and computing resources;
- ensure high scalability -even when the number of accounts far exceeds thousands of users.
To illustrate the process of working on the platform, let's have a look at a project that the Grape Up expert team had the opportunity to implement.
Building AI and ML deployment platform using proven cloud-native technologies - practical use case
Our client - a well-recognized sports car manufacturer - set us the goal of designing a reliable and extensible architecture capable of handling hundreds of customer accounts for the platform. Tools were to be selected for the project to ensure the scalability and flexibility of operations. The idea was to provide fast and efficient production of AI/ML software .
Along with building the platform architecture leveraging Terraform orchestrating Cloud Formation scripts, Grape Up ensured efficient migration of existing environments. The solution was integrated with Continuous Integration pipelines and the E2E tests set. To reap the benefits of high-quality performance in multiple regions worldwide, the platform was hosted on the AWS cloud.
Results?
An AI Deployment Platform was delivered , which was capable of managing a huge number of AI/ML projects and allowed for streamlined processes to create, test, and deploy artificial intelligence and machine learning models into production for Data Science teams.
Developers were guided through the company's deployment processes and supported with reusable blueprints that could be leveraged at the initial steps of the development.
The cloud-native toolkit that was created provided flexibility and agility, at the same time supporting innovation in the vendor's operations. After introducing improvements to the platform, the customer could reduce the code by 80%, while retaining high quality and testability.
All those solutions allowed AI software development teams to work more efficiently and reduce time-to-market for new products and services.
How OEMs can leverage subscription business model
The subscription business model outperforms the non-subscription business as we observe the shift from ownership towards usership. The success of services like Netflix for movies, Spotify for music, Microsoft Game Pass for video games quickly spreads outside from the entertainment industry. For industries based on the services, not on physical products, the shift from one-time or reoccurring payment to subscription-based service is easier.
Not-so-warm welcome for subscription model in automotive
It’s harder to justify monthly payments for the service if it enables the device or feature already present in the product you have already paid for. The huge backlash in media happened in a reaction to BMW’s announcement in 2020 that the company has been considering selling heated seats as a subscription-based feature.

Most of the criticism was associated with the fact that the overall price of the car was the same, and obviously, it was already equipped with the electric pad in the seat, while there was no additional software for handling the feature - it was just enabling and disabling the button. Some of the journalists even called that “simple-feature-as-a-service.” That resulted in nightmarish marketing for the idea and postponed the implementation of similar models by other OEMs, encouraging them to rethink the risk of making similar announcements.
Subscription business models become new normal
But in the last few years, a lot has changed. People get used to the subscription payment model appreciating its benefits. Also, more and more features in the car are based on the software , so it’s just easier to justify additional payment over the initial vehicle purchase. The overall reception of the idea shifted from mostly negative to neutral or positive.
At this point, customers understand that sometimes building-in hardware that is not activated can be cheaper than making hundreds of configuration versions. Also, the vehicle manufacturers start to learn how to better advertise the benefits of the subscription business model and how to better pick the features that fit this kind of model. It also enabled certain flexibility if this is a corporate vehicle, with basic default configuration, and the driver would like to add Apple CarPlay or enable additional convenience features, like opening the car with the smartphone.
How OEMs can successfully implement a subscription model
For OEMs planning to start with this business model, the moment for building a platform supporting subscription-based services is now. Not just the payment system, because the subscription business model is based on the idea that the feature can be enabled and disabled on the fly, basically making Connected Car a key requirement , while OTA makes it much more robust long-term .
It all starts with requirements. Let’s try first to distinguish typical types of feature purchase for a vehicle:
- Standard equipment (automatically activated in production phase)
- Runtime - associated with the driver or limited-time licenses
- Lifetime - associated with the vehicle, does not expire
- Purchased on an initial configuration in a dealership
- Purchased aftersales (either in dealership or online)
- Subscription - associated with driver or vehicle, can expire
- Automatic re-subscription (e.g., no end time)
- Manual re-subscription (e.g., end time after X months)
The other key aspect is offering differentiation between countries, regions, and continents. The same feature may be available as a subscription in the EU while only available as a one-time purchase in the USA.
To make the offer complete, the manufacturer may allow buying a custom offer specific to geographical location - for example, the additional package offered when the driver enters Nürburgring - 24 hours of additional racing time-tracking features.
Building a system for the new model
Our system has to handle all those use cases. To accomplish that, we need to build a solution in which the scheduler (sometimes called cron, from the name of Linux job scheduler) is the core component. It is responsible for triggering notifications or events at specific periods - for example, resubscription notification monthly, to trigger the payment, or license cancellation event after a configured period.

The scheduler itself is just a single, small part of the system. The other important piece is the database for storing the subscription status and the API backend for retrieving and updating the values. Consistency is crucial, as the feature getting disabled by mistake leads to a bad user experience.
The system has to be connected to the vehicle . In most cases, this is done asynchronously through queues like Kafka or RabbitMQ. This gives better stability and reliability than direct connections.
Lastly, we need to ensure that the feature is actually enabled or disabled in the vehicle. This means the vehicle has to receive the correct, unique license for that feature when it’s enabled, and revoke it when it is disabled (alternatively, the license can be automatically pushed every, for example, 30 days, with expiration time set to 33-35 days, to prevent feature loss when connectivity or payment problems occur.
To avoid building an additional retry mechanism into the licensing system itself, it’s better to update the feature state using Digital Twin. In this case, the digital representation of the vehicle is updated with the new license, and it is then responsible to synchronize itself with the vehicle when the internet connection to the car is available. This makes the system conformant to the single-responsibility principle, so the license system does not have to know or understand the vehicle connectivity.
That’s the basic architecture of our system for handling licenses and subscriptions of digital services. Obviously, that’s just the beginning. For OEMs, where the scale of digital business grows exponentially, the next important topic would be the reliability of the system. For that, scaling to meet the demand is important, as well as caching the current state of licenses to avoid complex queries.
Apart from that, this is enough to start with the feature activation and deactivation and handling subscriptions. Of course, it must be connected to mobile apps and online stores for purchases and to payment systems, but those are already used by most enterprises.
Is this really the future? It seems like we can’t avoid it anymore, especially with shared mobility growth, the ability to unlock temporarily additional features is tempting. Imagine grabbing a Ferrari for a weekend to take it to the track, enabling an additional 50HP and an advanced AI for measuring your times and proposing a better moment to break before the turn and accelerate afterward. And paying for only 2 days. This may make all the difference in convincing customers to the new subscription business models.
What trends will set the course of change in the automotive industry for 2022
The turn of the year is a perfect time for summaries, planning future activities, and market research. It is no different in the automotive industry, which is subject to dynamic changes. Their direction is obviously determined by software development. It seems that in the next few years this will be a crucial competence of each vehicle manufacturer. Maybe equally as important as producing the engine!
If you listen to CARIAD, Stellantis, Tesla, Audi, and others, you will learn that each and every one of these companies believes that the future of the automotive industry is software-centric . As the name says, if you want to achieve that, you have to learn how to build software and this may be a bumpy road for most of the OEM’s. How to align a legacy, waterfall approach of building cars with the lean, agile software development paradigms, or modern, disruptive cloud and AI technologies? CARIAD already seems to know, Stellantis says they have a plan, Porsche is at full speed, and Tesla was born that way. Exciting times. And it will only get more interesting!
Buzzword of the year: OTA or EV? Both!
If you are a car geek and digitalization fan, you probably know what were the hottest car premieres in 2021. But do you know what all these cars have in common?
- Audi e-Tron GT
- Ford Mustang Mach-E
- Mercedes EQS
- BMW iX
- Rivian R1T
- Lucid Air
All of them are electric – because electricity is here to stay! They are all smartphones on wheels because software is the new V8! And all of them take advantage of the hottest trend in connectivity: OTA (over-the-air updates), which means the possibility of adding new features through updates without visiting the dealership. Straight from the cloud. It, at the same time, builds a highway for the creation of new revenue streams and a completely new level of customer care provided by vehicle manufacturers.
It means all the predictions and all the trends we have seen in recent years are here to stay, but now all OEMs are on board, and the trends will play a much more significant role.
Let’s take a look at those that we think are worth highlighting as the automotive trends for 2022 and above.
What should we look for next year and above?

Change 1: Electrification is gaining power
There is no escape from electricity - mainly due to the challenges facing zero emissions. All data indicate that 2021 will end up as the year with the highest sales of these vehicles (EV and PHEV combined), reaching 6.4 million units worldwide [EV Volumes]. This would be a 98% increase compared to the previous year. It is likely that the EV sector will face changes in the next 10 years, comparable to what happened in the internal combustion engine vehicles during the first 100 years of development!
What influences (and will continue to influence) the increasing consumer interest in electrics? There are numerous factors. Let's list the most significant ones.
The spread of other EVs
Urban scooters, bicycles, and electric mopeds are no longer a surprise and are increasingly becoming the dominant mode of transport in congested city centers. With the spread of the shared mobility trend, which makes it easy to rent out vehicles for a flexible period of time, consumers are gaining confidence in them and begin to notice the advantages of this solution, which is reflected in their future purchasing decisions when it comes to new cars.
New legislation on EVs
The UK, France, Norway, and Germany are implementing laws to ban the sale of new petrol cars by 2025. California wants to reach this goal in 2035 and replace its entire fleet of diesel buses with electric ones as early as 2029. Changes in legislation inevitably trigger changes in vehicle production and affect other sectors. For instance, the construction industry, which will be obliged to equip buildings with sockets and an electrical grid that will allow the charging of electrics in their own homes, which is already done in the USA.
Increased range of EV
The range of electric vehicles has always been a challenge compared to petrol vehicles. The problem was not just the short life of the battery itself, but also the limited network of available chargers. With the development of new technologies for extracting minerals necessary for making batteries and ways of power storage, these factors will gradually become marginalized.
- Tesla announces it is phasing out the use of cobalt in its batteries to produce a $25,000 electric vehicle in three years - although it is already leading the way in new car sales in Europe.

- Lilac Solutions, a company supported by Bill Gates' Breakthrough Energy Ventures, is implementing technology that allows lithium to be extracted without draining groundwater.
- Alternatives to lithium-ion battery technology are emerging, such as the solid-state batteries being developed by Toyota.
- There are also growing claims that it is not batteries but supercapacitors that will power electric vehicles. Instead of storing energy in chemical form, like a battery, they hold it in an electric field. This makes them more durable and ensures a longer life cycle.
- In 2019, there were 175,000 public EV chargers in Europe. By 2025, it is estimated that this number will reach 1.3 million, and in 2030 it will already be 2.9 million [ EV volumes]. With the development of connected car technology, this will enable more charging points to be found efficiently and without hassle, and will substantially extend the possibility of a seamless journey.
Change 2: Seamless connectivity and on-board services
OK, 5G is the thing! In China all their biggest cities already have 5G coverage, now the USA and Europe must and will follow. 5G takes internet connectivity to another level . This is and will be a complete game-changer in several areas:
- V2X for building a mesh of connected vehicles, road infrastructure and third party devices.
- Autonomous driving applications with hybrid cloud and edge systems, requiring very low latency.
- Real-time telematics for tracking the status and location of vehicles almost in real-time, which will make driving safer and more comfortable, save time, reduce vehicle operating costs or allow the purchase of an insurance policy tailored to the driver's driving style.
You can read more on this topic here and here .
Change 3: Better UX/UI solutions and use of augmented reality
Cockpits of modern vehicles are filled with screens. Pushing all controls, buttons, and knobs to touchscreens decreases production costs and makes the vehicle look more premium. At the same time, customers report that the vehicle interfaces are increasingly harder to operate. Also, the old, slow, or stuttering infotainment makes the whole look & feel of the vehicle worse.
This forces manufacturers to put more effort into the UI/UX design, as well as improving other, safer ways to interact with vehicles. A great example of this are solutions already familiar to consumers in other market sectors - voice assistants and gesture recognition, as well as the most developing technology in this field, i.e. augmented reality.
The latter is increasingly used in vehicles in the form of a Heads-Up Display on the windshield. The following applications can be listed in the vehicles entering the market:
- Intelligent Terrain Mapping - which assists the driver whilst driving by displaying directions, a road map and information about upcoming landmarks.
- Automated Parking Assistance - which, by means of additional lines and indicators on the camera, can make parking or difficult maneuvers easier.
- Augmented Marketing - combining AG with sales and entertainment - not only in the form of offers displayed on the windshield, but also in the course of selling vehicles and advertising them, when you can feel the driving experience without having direct contact with the vehicle.
- Intuitive Road Safety - warning of dangerous driving, pedestrians in lanes, or drivers drifting into the other lane.
You can read more on this topic here
Change 4: Increased focus on cybersecurity and data privacy
The connected car operates in a V2X ecosystem consisting of data networks, road infrastructure, other vehicles, and third-party applications. In such an environment, the threat level of cyberattacks is at a very high level. Hence, in the coming years, those involved in the automotive industry must make the utmost efforts to protect not only consumers' sensitive data but also their lives and health.
That cyber attacks will occur is more than certain. The industry's task is to adapt current technology and regulations so that potential threats are minimized at the point a vehicle leaves the factory.
Cyber security should be at the heart of every SVD vehicle leaving the factory. Especially since we're not just talking about the sensors that will be programmed but entire production chains, which can also become potential targets for attack.
In order to prevent such activities, as of 2018, more than 80 organizations from around the world, have created the ISO/SAE 21434: "Road vehicles - Cybersecurity engineering" standard, which encompasses a set of guidelines for securing vehicle design, manufacturing, maintenance and decommissioning processes. These guidelines define cybersecurity processes for different phases of vehicle development, specifically:
- addressing and mitigating process vulnerabilities;
- identifying unsecured ECU (engine control unit) connection protocols;
- and unsecure aftermarket products and services.
The software industry, however, which supplies software to OEMs, must be prepared for the European Commission's regulations on AI-related rules . The regulations are expected to cover:
- the potential risks that artificial intelligence applications can create;
- requirements for AI systems for high-risk applications;
- specific responsibilities of artificial intelligence users and high-risk application providers;
- proposals for compliance evaluation before marketing the AI system;
- governance structure for AI applications at European and national level.
In the interim period, the regulation may be effective in the second half of 2022. The second half of 2024 is the earliest period of application of the regulation to AI application operators.
Change 5: Expanding software development capabilities
The transition from a vehicle company to a company dealing with software on four wheels is a complex and challenging process. Such a transformation inevitably awaits all automotive companies in the coming years. It is worth noting a few factors that are critical to the success of this endeavor.
- Companies need to build their internal software development structures, become attractive employers for software engineers and gain great partnerships in the software development world.
- Increased focus on reliable internet connectivity for all produced vehicles, as well as cloud connected car systems.
- Work on regulatory compliance in terms of GDPR, data collected from vehicles and cybersecurity.
- Constant growth of software development teams and departments, as well as new partnerships regarding software, cloud and AI.
Change - the only certain thing in the automotive industry
Changes related to the reduction of CO2, the development of the Internet of Things, or automation will affect most industries in the coming years. However, the automotive sector , where technological, social, ecological, and consumer trends meet, may become a litmus test for the upcoming developments.
Just as new technologies took the telecommunications or smart building industry by storm a few years ago, they will now begin to change the way we use vehicles. Can we set a date when we can say with a high degree of certainty: this year will be the year of the connected car ? Unlikely.
Just as the marketing specs failed, who claimed each year: that this year will definitely be the year of mobile.
These changes grow exponentially, remaining unnoticed for a long time, but suddenly we realize that they are already with us. We live in a world where they have already become commonplace and everyone benefits from them. Companies working at the intersection of the automotive industry should not let this moment slip by. There comes a time when the car will become our second phone.
Beyond Spotify and Netflix- the future of in-vehicle infotainment systems in connected cars
It cost a staggering $200 for that time. The antenna took up almost the entire roof of the car, the batteries barely fit under the front seat, and the huge speakers had to be fixed to the back of the seat backrest. The year was 1922, just over 20 years after the launch of the first mass-produced Oldsmobile Curved Dash car. Entertainment had just made its entrance into the car industry - Chevrolet introduced the first car radio. From then on it only got more exciting.
Nowadays, 100 years on from that event, we can no longer envisage a car without radio, music, or news. In fact, we can no longer imagine a car without entertainment in the broadest sense of the word. Because the radio - at least in its traditional form - is slowly becoming obsolete. It's being replaced by a "personal radio station" created by the driver - streaming music, favorite podcasts, audiobooks, and even video content.
Although we are still a far cry from the catchy phrase "a smartphone on wheels" , first uttered in 2011 by Akio Toyoda, the automotive industry is indeed heading in this direction. Cars are ceasing to be vehicles designed to take us from A to B. Like any other device connected to the Internet, they are becoming a gate to new worlds of entertainment, shopping, learning, or gaming.

When finishing shopping or listening to an audiobook on one device, we want to seamlessly continue the activity on a laptop or desktop computer. Whether we like it or not, the car is becoming another medium that will allow us to stay virtually connected all the time.
Akio Toyoda was wrong. A car is much more than a "smartphone" on wheels!
A potentially larger screen than a smartphone (not only the touchscreen in-vehicle infotainment system panel, but the windscreen too, which can also be used to display content), at least 4 seats that can be independently paired with the in-car entertainment system, and, ironically, much more mobility than mobile devices.
As we look at the development of V2X (vehicle-to-everything) technology, which will turn vehicles into the Internet of Things devices, the opportunities that lie ahead for the automotive industry in the entertainment field are hard to estimate.
One thing is certain. This process cannot be stopped. Every company in the automotive industry must be aware of the upcoming changes.
According to IHS Markit data, in 2014 only 53% of cars in the USA had a dashboard touch screen, while today this percentage has already reached 82%. These types of solutions can bring automotive companies entirely new revenue streams, and most importantly they will be less dependent on vehicle production cycles and with much higher margins.
The in-vehicle infotainment system market is estimated to be worth $78.9 billion by 2025. [Allied Market Research].
Quo Vadis in-vehicle infotainment systems?
In-vehicle voice assistants for infotainment control
Siri, Alexa, or Google Now are names that have become part of the consumer market and make life easier for most of us, allowing us to make phone calls, send messages or manage our own calendars. While sending voice commands to our phone or the speaker in our home or office is nothing new, communicating with our own car is still some kind of novelty.
And it is here while driving when we need to focus on the road and have our hands free, that voice technology can be of the most benefit and make driving more efficient and smooth. And of course, more fun.
Navigant Research (Guidehouse) predicts that by 2028, 90% of vehicles will be equipped with a voice assistant. Already today - looking at Voicebot.ai data - a large proportion of commands given by drivers are entertainment-related. Playing music, listening to podcasts, finding out about movies, ordering food, or making purchases directly from behind the wheel is becoming increasingly popular among drivers with enhanced IVI systems.

The main players in this section are certainly the manufacturers already known for their other platforms, namely Google and Apple, which are integrating their Android Auto and Carplay technologies in partnership with major OEMs. Hot on its heels is Amazon, which has not only begun collaborating to bring Alexa into Toyota, Ford, and BMW vehicles but also released an Amazon Echo device that any driver can install in their car themselves (as long as it meets the manufacturer's technical requirements).
Vehicle manufacturers, however, are no longer just waiting for the offers of the largest players in this market, but are developing their systems or working with smaller business partners to help them develop such solutions.
Korea's Hyundai has entered into an operation with Saltlux, a company specializing in semantic networks. Honda, Kia Motors, and Daimler are working with the SoundHound start-up. And Volkswagen has invested $180 million in the Chinese start-up Mobvoi.
Gesture-recognition
Voice command in the car is a trend that will continue to grow every year. Yet, there are situations in which gestures are much better than voice commands - for example when you are on a call or have a cold and don't want to strain your throat. Gestures are universal for every driver, while voice assistant applications are often still hampered by technological limitations, for example, due to the variety of accents or the system's adaptation to the driver's language.
As the system recognizes a gesture made with the palm of your hand, fingers, or even your head, you can stay focused on your driving and at the same time activate a specific function when you cannot use your voice command. Scrolling through songs on the radio, raising or lowering the temperature in the car, launching a text message application - all these actions can be configured using gestures. Instead of clicking and scrolling through a touchpad, which always entails taking your eyes off the road, gestures will allow you to boost safety and easily manage the entire system.
Virtual reality & Augmented reality
While currently the introduction of virtual reality in vehicles only makes sense for passengers who do not need to focus on driving, augmented reality technologies are already being successfully implemented in vehicles. Unlike VR, augmented reality does not distract drivers from reality and allows them to concentrate on driving. And they can even increase safety.
Although today this type of technology can only be found in the most innovative and prestigious IVI systems (one of the first cars in which this technology was used was Mercedes-Benz GLE 2020), we should expect this type of solution to develop in the near future, as it brings a whole new quality to in-car entertainment.
Their direct equivalent to the automotive field is the heads-up display system, which is an additional head-up display integrated into the vehicle's windscreen in addition to the IVI control panel. This screen can be used to display destination-related information, traffic warnings, or information about other vehicles on the road (so-called intelligent terrain mapping).
In the near future, these technologies may also be applied in entertainment itself - for instance in the form of augmented marketing. The windscreen will then display interesting offers and discounts from the restaurants, shops or shopping malls we have just passed. The displayed images will of course adapt to our driving speed, and we can decide for ourselves what kind of messages we wish to see.

On-demand in-car services
In-vehicle infotainment systems are the point of contact between different parties: customers, internet providers, companies producing vehicles, making entertainment, or electronic equipment (e.g. smartphones).
In most cases, drivers already have their favorite apps (Google and Apple being in the lead, of course) and use their favorite streaming services. Competing with platforms like Spotify, Netflix, Pandora or Slacker may not necessarily be the best strategy for automotive companies. It is much better to make use of the recognisability of brands that provide entertainment content and, based on this, extend it with a unique offer for their own clients. Opening up to partnerships with third-party platforms is the best way to address customer needs and create a stream of data that can be monetized .
One of the interesting market examples of this type are the efforts of the GM concern, which has created its own car application in the form of a marketplace, from which the driver can make purchases at Starbucks or Dunkin' Donuts, pay for the fuel at selected petrol stations, and book a hotel or a table at a restaurant.
We should expect that the trend of shopping straight from the car and making the most of the time we have on our commute to/from work while being stuck in traffic jams will not be limited to listening to music and podcasts only. With the development of the Internet of Things, drivers will also be able to control other devices within their "smart" network from their vehicles.
Samsung is already creating solutions that allow the driver to look into their own fridge and decide whether they need to go shopping, turn up the thermostat to prepare the perfect temperature for the return home, activate the alarm when going on holiday, or open the gate automatically.
Rear seat entertainment
Most modern IVI systems are not just an integrated head-unit, i.e. a touch panel on the vehicle dashboard for the driver, but more and more often, interactive panels dedicated to the passengers. These offer practically endless opportunities for entertainment. And we don't just mean the extensive range of streaming video services that can be subscribed to in the vehicle.
After all, the interactivity of the screens makes it possible to implement various applications and gamification elements in the car. These can take the form of quizzes, common picture drawing, shopping via third-party applications, or even karaoke singing, which can also engage the driver.
But what if the sound or type of music doesn't suit the driver, who wants to concentrate on driving? There are already solutions that direct the sound from different areas of the vehicle so that each passenger can listen to different music without wearing headphones.
This is how, for example, the Separated Sound Zone (SSZ) works in KIA cars. Based on multiple loudspeakers and the physical wave acoustics principles, the sounds do not overlap but instead reach their intended audience. Even if powerful beats dominate in the back seat, you can still relax while listening to calmer music in the driver's seat.
In-vehicle infotainment enters a new era
In-car entertainment has a long history. Ever since mobile devices became part of our lives, it is nothing new to connect a smartphone to a Bluetooth radio or for passengers to watch videos on their own smartphones/tablets. The only difference was that, until recently, in-vehicle infotainment was just an accessory, an element that makes a difference and highlights a brand. Today it is a factor on which customers often rely when buying a new vehicle.
In-vehicle infotainment is increasingly rarely limited to a touch screen panel on the dashboard. Right before our eyes, it is growing to be omnipresent and taking precedence over other vehicle functions. Brands that miss this moment and, like Blockbuster in the video content market or Nokia in the mobile market, may find themselves in a completely new reality. A reality in which totally different companies will be on top of the bunch.
Should UI testing and API testing go together?
If you have ever worked on writing UI automation tests, you probably came to the point when your test suite is so extensive that it takes a long time to run all the cases. And if the suite keeps on expanding, the situation won't look better. Applications are growing and the number of tests will constantly increase. Luckily, there is a solution to speed up test runs. In this article, we present the advantages of using some help in the form of API testing in the UI test suite, focusing on the aspect of test execution time.
How can API Requests help you?
- Tests will be easier to maintain - UI is constantly changing when API requests are persistent (for the most part)
- You will get immediate tests result from the business logic side
- You can find bugs and solve problems faster and in a more effective way
- You will see a significant improvement in the test execution time
If there are some unwanted issues in the application, we want to be able to discover them as fast as possible. That’s why test execution time is significant in the development cycle. Before we focus on the API requests, first let’s take a small step back and take a look at the test from the UI side only.
Customer path
UI testing is literally the path that the customer is taking through the app, and it is crucial to write automation tests for these workflows. Sometimes we need to repeat the same steps in many feature files (especially if we are taking care of data independence ) and it is not necessary to go over them again on UI side in each test.
Imagine that as a customer you can configure your car through the app. You can start with choosing a basic model and then add some extra equipment for your vehicle. Let’s take a look at this example written in Gherkin:

It is basic functionality, so we went through this workflow step by step on the UI side. In this test, we have many components that need to be fully loaded - pages, buttons, modals, and dropdowns. Every action takes some time - loading individual elements and clicking on them. It takes 51.63s. in total to run this scenario in PyCharm:

API enters the stage
Let’s now consider another case. What if customers change their minds about the color of the vehicle or they want to add or delete extra equipment? We need to be able to edit the order. Let's create an additional test for this workflow.
If we want to edit the vehicle, first we need to have one. We can start the Edit car test by creating a new vehicle using all the steps from the previous feature file, but we can also use API help here. Replacing repeatable steps with API requests will allow us to focus on the new functionality on the UI side. Let’s look at the Gherkin file for editing a car:

In the first scenario of this feature, we are creating a car (via API) and in the second one editing the vehicle (through UI). In scenario “Create test car via API” we created the same car as in the previous feature “Create a car with additional equipment” , where everything was done on the UI side. If we look at the result now, we can see that the whole test (creating and editing a car) took less than 17 seconds:

Part for creating a vehicle by API took 11.107 seconds. To run these steps on the UI side we needed more than 50 seconds. To be precise we’ve just saved 40.513 seconds in one test! Imagine that we have another 10 or more tests that need that functionality - it can be a big time saver.
A request for help
Key for benefit from API in UI test suite is to use popular Python library called Requests – it allows us to easily send HTTP requests. Basic POST requests can take the following form:

We have to start with importing the ‘requests’ module. Then we are declaring the URL of the request and data we want to send (provided as a dictionary). The next step is to make an HTTP request where we are passing our parameters (url is required, json – optional - it’s a JSON object which will be sent to the mentioned URL). In the end, we are returning the response from the server.
In our car application, this example will be a little expanded. What exactly is hidden behind lines of code responsible for creating a vehicle via API requests? I will focus on the first step of this scenario: 'Car “<car> from the model “<model>” and lacquer color “<color>” is created via API request’ . If we look deeper, we can see step implementation:

And then if we go further to the car_is_created_via_api function, we can analyze requests sent to API:

In car_is_created_via_api method, we are calling function _create_car which is responsible for requesting API. We are also passing parameters: car, model, and color. They will be used in the body of our request.
As in the basic example, in _create_car function we are declaring URL (our car API) and body. Then we are making a POST request and in the final step, we are returning the response.
After getting the response from the server, at the end of the car_is_created_function , we want to use assertion to check if we got the correct status code. Getting code 201 means that everything went as we hoped. Another result will tell us that something is wrong and we will be able to quickly (hopefully) find the gap in the code.
Good Team
We went together through the advantages of using API help in the UI automation tests suite and a comparison of two approaches to testing. We also focused on speeding up tests suite execution time using Python library Requests . We believe that after reading this article you can see that API requests can be great companions and you are encouraged to start using this concept in your test automation projects.
Focus on the driver - data monetization at software-defined vehicle cannot exist without understanding customer needs
When talking about data monetization in the automotive industry, we tend to focus on technology, safety, sensors, or cloud solutions. However, all these elements fade when confronted with the ultimate element - the driver of the vehicle. Without taking into account their needs and expectations, there can be no question of generating revenue. Any vehicle data monetization strategy must be mindful of this.
We can fine-tune the system, we can find exceptional partners to implement the software in the vehicle, but without a deep understanding of the vehicle user, no one will benefit from the solutions developed. Our organization will put a considerable amount of effort into building the team and implementing the technology, but the new vehicle features will not be used by the driver.
For this to happen, we need two factors: a value proposition of the brand- which explains clearly and transparently what the user will get out of it, and a coherent action strategy based on a market-back methodology that stems from specific market needs and allow us to develop services that are desired by the customer.
What benefits do customers most often look for in a software-defined vehicle?
Remember that just because people want to use a service, it doesn't mean that they will pay for it. What matters here is not just the benefit, but also the way it is presented, the user experience, and the pricing model. Only the combination of all these elements determines the success of the service. First of all, it is worth focusing on the benefits themselves and only then selecting the right technology to match them.

What are users willing to actually pay for and what are they willing to share only? Many studies indicate that the main factor motivating consumers to share data is gamification and rivalry - this aspect has not changed for years, as we can see for example in social media or e.g. "free" applications, which from time to time appear on the market, gather millions of interested users and vanish in no time. However, when it comes to paying for such "services", users are not so willing to use them.
In vehicles, it looks slightly different. Capgemini's research shows that the connected car services that are most popular with consumers are those related to the "core" functionality of vehicles, such as:
- safety,
- driving comfort,
- time saving
- reduction of vehicle operating costs.
Among them, however, the services that are most willingly paid for are:
- hazard warning,
- collision warning,
- theft detection systems / vehicle finder.

Of course, just because entertainment or gamification isn't on the list doesn't mean that automotive companies should avoid them. It's also a way to distinguish and find their own individual voice that corresponds to the broad brand strategy and allows them to stand out in the market. It's about the way they are served, presented to the consumer, and showing that they can actually derive real benefit from them.
It also works the opposite way. Simply creating a "hazard warning" service in a connected car does not immediately guarantee success. It still needs to be packaged properly, run smoothly, and be provided with a payment model that suits the consumer.
Examples of customized connected car services
In-vehicle ads based on navigation and user experience
Is it possible that a driver will like the ads that will be displayed in the car? If we adopt the message to their needs and preferences, in all likelihood, it is. For example, if we often go to McDonald’s, the navigation system can mark such places on our route. We have our favorite clothing brand, right? We will certainly react differently to a sale offer in a shopping mall we just happen to be driving past. The context of shopping and the consumer’s needs are decisive, and the software-defined vehicle is perfectly suited to ensuring that the advertising message is 100% tailored to the driver.
Contextual payments
Removing barriers to shopping and being able to buy everything everywhere is a popular trend in modern commerce. In a vehicle where the driver is focused on the road and has their hands full, such a service makes even more sense. With the development of voice assistants, drivers will be able to pay this way not only for fuel or tolls but also for purchases beyond typical vehicle-related payments. Voice shopping on the way back home from work, instead of looking for a parking space in front of the mall and returning in traffic jams in the evening? Why not?
Sharing information about driver behaviour
Sharing data about the way we drive may not appeal to everyone. But if in return for sharing this information, a company gives us a huge discount on our car insurance or a super attractive leasing offer, then things may take a totally different turn. In cooperation with an insurance company or a bank, such services become a specific bargaining chip the OEM can play with when dealing with the driver.
Manufacturer's connected car applications
Saving money on car maintenance and taking care of the overall condition of the car is a benefit that most drivers will appreciate. A practical and thoughtful manufacturer app that warns of potential breakdowns, component replacements, or servicing will allow the user to enjoy a well-functioning vehicle for longer and sell it at a higher profit. In this way, the OEM gets the driver used to have the vehicle repaired at an authorized service center, and the user, due to the loyalty shown to the brand, can expect future discounts and lucrative offers.
Practical use of telemetry
Sharing telemetry data may seem profitable only to OEMs - after all, as they draw better conclusions based on the collected information and save on R&D processes. However, it is important for companies to make vehicle users aware of the benefits of such services, as well. After all, driving style data can be used to suggest solutions that improve road safety, work on fuel efficiency or reduce overall vehicle operating costs. In each of these cases, the winner is the driver. Example? When a vehicle frequently skids and triggers the ESP/TC system, the system can suggest that the driver should get better tyres (by a specific brand, of course).
Unlocking extra features on the subscription model
Paying for heated seats, just to use them for three months a year, may not be worthwhile for everyone. Well-known to us from streaming portals, the subscription model definitely meets the users’ needs. The customers themselves choose which functionalities they want to pay for and over what period of time. The OEM only has to take care of the right vehicle software that will enable that. And, of course, be careful not to alienate those customers who see this as "yet another" way to squeeze additional payments out of them. That’s how manufacturers can provide both functionalities directly related to the vehicle itself - e.g. better lights or engine boost - as well as those associated with in-car entertainment providers such as Spotify or Apple CarPlay.
What can be done to make the user more eager to pay for data monetization services?
A well-thought-out user experience is essential
In today's digital world, UX and mobile-friendly approaches decide whether a service is viable. If the product is presented in an unclear and incomprehensible way, and it is difficult for the user to find the desired options - they will not use it. The size and color of buttons, the messages displayed, the stability of the application - all of the above is of paramount importance and determine the popularity of the product. Keeping in mind the latest trends, mapping the market, and adapting to consumer trends is necessary to offer the vehicle user service of the quality known to them from e-commerce or their own AppStore.
UX itself is not only a practical tool that helps better track consumer behavior and how they use the service, but also a constant theme to promote and boost brand interest. Does Apple really need to upgrade iOS every year and does Instagram have to offer users a new feed layout every quarter? The answer is obvious. It's simply profitable for the brand.
Start with anonymized data
When creating a strategy for in-vehicle data monetization efforts, it's a good idea to start by developing services that don't require the sharing of personal data. A lower "pain threshold" will make it quicker for the user to learn the benefits of the system and how convenient or useful the service can be. Thus, it will be easier to convince people to use products that require more openness to data sharing. And this may be the next step in the implementation of technological solutions.
Focus on heavy-vehicle users
People who spend most of their day in the car or drive long and demanding routes happily embrace any technical innovations designed to make driving easier and safer for them. It is this group that should be targeted at the beginning of developing your own data monetization model.
Minimizing risks and accurately selecting the group will not solve all challenges, but it will increase the chance of success and help gain a new, loyal group of consumers who will help transfer the technology to other users.
Last, but not least: a flexible payment model
Convenience should accompany the user at every stage of the use of a new service. Not only when it is most beneficial to the user, but also when it is easiest for the user to give it up: whilst paying for the next billing period.
It is worth taking care of the flexibility of the payment model (e.g. one-off payment, freemium model, annual or monthly settlement), adjusting it to the user's needs and not hindering payments.
The smoother and more tailored to the user's needs the whole process of interacting with the service is - from understanding the need to using it to making payments - the greater the chance that the stream of data flowing from a given vehicle will not dry up after a short period of use (read: being frustrated using an underdeveloped product for the first time).
Let's remember that data monetization can succeed provided that it really understands the user, is fair and transparent to them and focuses on user experience. If we didn't have time to get to know the customer's needs, why should they waste their time on services they don't understand and don't need?
What is automotive software and why does it matter?
Connected Car , Software Development and Autonomous Driving are the three most repeated words in the automotive industry. It’s hard not to notice that all three are basically different use cases heavily dependent on different kinds of software: cloud, AI, edge computing, or internal applications. Analysts, investors, management, and even regular employees of OEMs seem to believe and agree that software is the future of the automotive industry. But why?

Automotive software - how did we get there?
To understand the origins of this trend, let’s briefly look at the last 20 years of automotive history. On the market, where 99% of vehicles were based on combustion engines, a new entrant appeared. Tesla Motors Inc. A company with no background in building cars, named to pay tribute to the well-known electrical engineer, Nikola Tesla. A year later, famous entrepreneur, Elon Musk, decided to invest in this dream of building electric vehicles for the masses.
Fast forward to 2012 and we have the world premiere of the Tesla Model S. The Electric Vehicle, being the biggest disruption in the automotive industry in years, immediately receiving several automotive awards, including Car of The Year. Designed and developed by a company with 10 years of experience on the market and literally, a single vehicle developed earlier (the original Tesla Roadster). This showed that there is a big, unoccupied market for electric vehicles.
Just a year later, the Tesla Autopilot was introduced, and the whole world joined the hype for autonomous driving.
Why did Tesla get so popular?
It was not just because the market desperately needed an electric vehicle. Since the beginning, Tesla has been designing its cars to be software-centric. Big on-board CPUs from Nvidia support, not just Autopilot but also a multitude of applications and services available in the largest (at the time at least) central screen of a road car.
And the software has been updated very often using Over-The-Air upgrades, giving the customers the feeling that the software was always fresh and the producer quickly reacted to feedback with new changes. Effectively, making the software a major selling point.
Electrification
Apart from the software-defined vehicle focus, electrification started as a solution to reduce the CO2 footprint of the industry. Both BEV and PHEV vehicles development was caused partially by new legislation and sustainability requirements, and partially of course by the success of Tesla. The EVs offering is increasing year by year, and most of the brands announced the potential timeline of reducing the combustion engines offering to 0 models.
The industry today
It seems like all of the large OEMs treated Tesla as their very own R&D department and allowed the company to conduct the world’s biggest ever market study. Tesla was able to prove that people actually care for the CO2 emission and want to drive electric cars and also showed that software in a vehicle may be more appealing to end-users than the sound of V8.
On the other hand, we compared Tesla to an R&D department because their cars are not always built with top quality and software sometimes have glitches – all in all, it’s a tremendous idea, but not an ideal car. VW Group, Toyota, or Stellantis could never afford to make such mistakes.
Software defined-vehicles became a real future trend, not when Tesla S was first shown to the world. That happened when all of the world’s top OEMs decided that enough is enough, the experiment was over and the time to “productionize” Tesla’s “concept” had come.
And here we are today, a few days after Stellantis Software Day, an investor meeting purely focused on the Software-Defined Vehicles and their new platform, STLA (pronounced `Stella`). A few months after Mercedes-Benz announced that they are hiring developers to work on their own Operating System, MB.OS, as part of a greater “Digital First” brand strategy. A year after the CARIAD by Volkswagen Group was fully defined to provide unified software platforms for all vehicles in the group, called ODP (One Digital Platform) or VW.OS and VW.AC (VW Automotive Cloud).
Everyone is fully committed. But what exactly is the automotive industry committed to? Let’s dissect the latest event, Stellantis Software Day, to see the core topics they want to focus on in the next few years.
- Disconnecting hardware and software lifecycle.
- Broadening the scope of software in the vehicle.
- OTA software updates for adding new features.
- Using software to create a unique offering for all brands in the group.
- Connected Car data monetization .
- Software to support EV and sustainability.
#SWDAY21Stellantis | Carlos Tavares, CEO: "We are transforming #Stellantis into a #tech #mobility company. We owe it to our customers. We owe it to our Brands. We owe it to the principle on which #Stellantis was founded". pic.twitter.com/iMYHSLpMwL — Stellantis (@Stellantis) December 7, 2021
Those are predicted to generate ~€20B in incremental annual revenues by 2030. That, of course, partially answers the “why?” question, but is there more to it?
Coming back to why
If we summarize the situation, we see that electrification and disruption forced the industry to change. The side effect of electrification is making the previous key differentiator - powertrain - much less important. With electric vehicles, the engines are not the key. Most of them are very similar and technology focuses more on batteries. This makes the different models similar, especially in terms of acceleration and horsepower.
So, where is the differentiator? Where do companies look for unique selling points for their brands, and how do they separate the offering of different models when the platform is almost exactly the same?
https://twitter.com/Herbert_Diess/status/1469218343068614657
As you might have already guessed - that is the software. Of course, it’s not just electrification, the other key aspect is also digitalization of our lives, but the disruption already happened and the industry tries to follow.
The people fueling the future of automotive software
Certainly, when everyone decides at the same time to do a similar shift, it can get complicated rapidly. From the resourcing perspective, in the market with such a shortage of skilled software engineers, when everyone tries to quickly build their software competencies, it cannot come without problems. Hiring an experienced software developer is hard, and it gets harder if a company is fully focused on vehicle manufacturing, with a limited budget for IT and IT recruitment departments. The problems with building teams can result in delays in project start or extending their timeline.
This is where partnerships with companies like Grape Up come into play. Partnering with a software development company with strong experience in the automotive industry can help mitigate those issues - having skilled engineers available to help frame the project, architect, develop, and productionize significantly reduces the risk of shifting towards software development, and in the meantime also allows to train internal staff by working together, hands-on, on the actual projects.
The end
We are an endangered species, you and me. We fans of speed, we devotees of power, we lovers of performance and beauty, and mechanical soul. We dare not speak of cams or cranks or double wishbones. We fear for our love of roaring V8s and the smell of burnt rubber. We're told to think of the economy, the environment, and not excitement and enjoyment. In an age of hybrid-this and automatic-that, we are the odd ones out. Yet there is hope. There is a haven. A place that celebrates speed, grip, gears, and fun. And it's all here for you to explore.
Jeremy Clarkson
Kubernetes supports Windows workloads - the time to get rid of skeletons in your closet has come
Enterprises know that the future of their software is in the cloud. Despite keeping that in mind, many tech leaders delay the process of transforming their core legacy systems. How will the situation change with Kubernetes supporting Windows workloads? Can we assume that companies will leverage the Kubernetes upgrade to accelerate their journey towards the cloud?
How can this article help you?
- You can see what Kubernetes supporting Windows workloads provides for enterprises.
- We remind you why going to the cloud is crucial for your business excellence.
- You can get to know the main reason stopping enterprises from transforming their legacy systems.
- We describe the main risks that come with delaying the transition towards the cloud.
- You learn how to leverage Kubernetes supporting Windows workloads.
Technical debt is an unpleasant legacy you often come into money while taking charges of critical systems or enterprise software older than you. Laying under the cache layer and various interfaces, legacy systems encourage you to forget them. And you are good with it - you have enough tasks to perform and things to manage on a daily basis. Sprint after sprint, your team deals with developing applications and particular features to meet increasing customer demand and sophisticated needs. Initiating a tremendous venture, which may transform into opening Pandora's box, it's not exactly what you want to add to your checklist.
The bad news is that if you're willing to be successful at your job, the clock is ticking. The problem with legacy systems is that you don't know when they break down, causing disaster. You will justify yourself, but the impact on your work will be nightmarish. What you know for sure, legacy systems under applications built by your talented teams hinder further development and make your job harder than it already is.
Whatever you are going to go for it all or don't want to throw yourself in at the deep end - Kubernetes supporting Windows workloads is the news you needed. See how it can accelerate your transition towards the cloud.
What's the deal with Kubernetes supporting Windows workloads
Kubernetes was designed to run Linux containers. Such an approach complicated the transition towards the cloud for enterprises with Windows Server legacy systems. And while over 70% of the global server market is Windows-based (according to Statista), we can see why so many legacy apps are in the closets. If you work at a large enterprise, the chances that you have a few of them hidden carefully are very high.
How supporting Windows workloads by Kubernetes is changing the game? In the - not so much - olden days, Windows-based applications were immovable - they needed to be run on Windows, required Windows server, and access to numerous related databases and libraries. Such a demanding environment encouraged enterprises to wait for better days. And now they have come. Kubernetes, with production support for scheduling Windows containers on Windows nodes in the platform cluster, allows for running these Windows applications, enabling enterprises to modernize and move their apps to the cloud.
It’s believed that with this release, Kubernetes provides enterprises with the opportunity to accelerate their DevOps and cloud transformation . In case you missed 1 mln publications about cloud advantages, we will write up the main points.
Why do enterprises move their legacy applications to the cloud
As promised above, let’s keep it short:
- Scalability - the cloud allows you to easily manage your IT resources, data storage capacity, computing power, and networking (in both ways) without downtimes or other disruptions. Such flexibility supports business growth, product/service development, and better cost management.
- Security - the right set of strategies and policies allow enterprises to build and manage secure cloud environments. Decentralization and support for your cloud stack provide solutions to common challenges in maintaining on-premise infrastructure.
- Maintenance - using cloud services delivered by trusted providers, you don't have to maintain many things on your own, just leveraging available services.
- Accessibility - the pandemic showed us how crucial is remote access to our IT resources, and the cloud provides your remote or distributed teams with easy access regardless of your team members' localization - that is priceless.
- Reliability - cloud providers ensure easier and cheaper data backups, disaster recovery, and business continuity as they use the economy at scale.
- Performance - as the cloud service market is blooming and service providers are competing about increasing revenues, the quality and performance of cloud infrastructure are top-notch.
- Cost-effectiveness - with cloud computing, your enterprise can cut off numerous spendings from your books - including infrastructure, electricity, and IT experts responsible for managing resources.
- Agility - forget about capacity planning while your computing provisioning can be done within a few clicks leveraging self-service.
Sounds convincing? If everything is obvious, why are there still so many legacy apps?
Why do enterprises delay with moving apps to the cloud
Legacy systems are long-time friends with procrastination. If you are long enough in this business, you have definitely heard a few of these excuses:
- We cannot do it now. We have too many things on the list. A better day will come.
- It’s risky. It’s critically risky. Why do you even ask? Do you want to see the world burning?
- Ok, let’s do it! But wait….who knows how to do it?
- We can cover it with our UI or cache layer, and nobody will ever notice.
- It’s our core system. You touch it, everything will go bad.
- Why change it if it works well?
- It’s a too huge project for me to decide and take responsibility for the never-ending process.
These are some examples from the top of the iceberg. Diving into the process of moving legacy apps to the cloud , you can stumble upon numerous points convincing you to stay out of them. But can it last forever? What if the “zero hour” strikes?
Playing a risky game: what can happen if you don’t migrate to the cloud
Many of our business challenges wouldn’t have existed if we, at some point, tackled the underestimated issues. The excuses highlighted above can convince you to leave things as they are. But what if your real problems are just ahead of you? Let’s name some threats that may occur at enterprises that delay transition towards the cloud.
- Maintaining legacy systems becomes more expensive with time as your company has to pay for computing power supporting these solutions.
- Your enterprise may face a huge challenge to find experts understanding your legacy systems. The longer you postpone the process, the harder it will be to look for people working with frameworks and tools that are outdated.
- By allowing for increasing your technical debt, your enterprise acts against your willingness for innovation. Your legacy systems suppress the development of new products and services, undermining your competitive advantage.
- You can face a challenge to provide services to your customers because of downtimes and distractions caused by inefficient systems.
- Technology develops fast. Legacy systems stop you from participating in the movement and may generate new issues in the future, especially in the time you will need to be flexible.
- Most established enterprises work on highly regulated markets and have to meet challenging conditions. One of our business partners had to rebuild one of its core systems because of new regulations regarding data management. Such a situation can lead to enormous costs.
- There appears a serious security threat as legacy systems are prone to attacks, and without upgrades, your system may become insecure.
The list above can be expanded to many additional issues. But instead of describing challenges, let’s discuss how they can be addressed using Kubernetes .
How to leverage Kubernetes supporting Windows workloads
There is a ton of code written on Windows. With the Kubernetes update, you don’t have to think about rebuilding your applications from scratch, so myriads of working hours spent by your team are secured. Most of the code can be moved to the Kubernetes container and there developed. It’s safer and cheaper.
Kubernetes supporting Windows workloads gives you time to navigate your journey to the cloud properly. First of all, it ends the discussion for all those excuses mentioned above. The moment is now. Secondly, you can now utilize an evolutionary approach by developing and upgrading your systems instead of building them from ground zero. Furthermore, with your key legacy systems moved to the cloud, you can accelerate the overall transformation at your enterprise towards an agile, DevOps-oriented organization open to innovation and developing highly competitive software.
What should be your next move?
By supporting Windows workloads, Kubernetes makes the life of many tech teams easier. But it would be too easy if everything worked by itself. Configuration of the Kubernetes cluster to utilize Windows workloads is demanding and time-consuming. Instead of doing it on your own, you can leverage the ready-to-use solution provided by Grape Up. Cloudboostr , our Kubernetes stack, enables you to move your Windows-based apps to the cloud. Consult our expert on how to do it properly!
How to monetize vehicle data thanks to in-car technologies - the biggest challenges and control points of the process - Part 1
Brook. Not a stream yet, though. But in the foreseeable future, it is going to be a proper river. What are we talking about? Data obtained from vehicles. Experts estimate that data inflow is likely to rise from approximately 33 zettabytes (this is how much we obtained in 2018) to 175 zettabytes in 2052. For OEMs and companies from the broadly-defined automotive industry, this means one thing. Endless monetization possibilities. Providing that they face the challenges connected with data capture, filtering and storage, and become familiar with the in-vehicle technologies enabling that.
The potential is enormous. However, the Capgemini report shows that there is still a long way ahead before reaching its full potential. Today, as many as 44% of OEM customers do not yet avail of any online service in their cars, and still, connecting to the network is just the starting point because without the Internet there is no option of monetizing data. And even if the vehicle is already connected to the network, only every second driver declares frequent use of this type of service.

Anyway, the condition of the Internet is a challenge in itself. Today, in modern vehicles, there are around 100 points from which information can be downloaded (in the future it is estimated that there will be up to 10,000 of them!)
Before we get to know the technologies that enable it (about which we will write in the second part of the article), let's have a look at the challenges and checkpoints that must be considered when creating a data monetization strategy for a software-defined vehicle.
5 things to bear in mind if you want to monetize vehicle data
1. Developing the customer value proposition
This is where it all begins- from creating a sales offer and an environment in which drivers will believe you have something unique and valuable for them. Without trade, no technology will guarantee your success. Customers will simply not want to share data.
Think about the unique offer you want to present to them and develop a clear data management policy. As a result, it should be followed by the selection of appropriate technologies, and then their implementation in vehicles.
Obtaining data to offer the driver safety or a good sense of direction differs from getting information related to entertainment or directing the customer to a sale in a nearby shopping mall.
It would be perfect if the developed customer value proposition was consistent with your brand's DNA and features that have always been associated with it. This would make it easier to convince users, remain in line with your business assumptions, and stand out from the competition. Focus on technology application, not on technology just to be used.
2. Consider matching technology with the data for which users are most likely to "pay"
Speaking of users’ preferences, even today, at the stage when the technologies of obtaining data from vehicles are not fully-fledged yet, it can be seen that for some services customers are willing to give up some of their privacy, while they are largely opposed or reluctant towards others.
Capgemini's research shows that the group with the greatest potential includes services related to safety and facilitating driving:
- hazard warning;
- collision warning;
- theft detection system;
- e-call;
- interactive language assistance.
On the other hand, the greatest objection among users is aroused by services related to broadly -defined shopping:
- In-car delivery;
- in car e-commerce.
Keep this in mind when choosing technology to help you monetize your data.
3. Data collector strategy
The data in the vehicle is acquired by means of special sensors and then sent to collectors, which are supposed to gather this data and enable it to be transferred to the cloud. To effectively filter this data and derive maximum benefit from it, you need reliable technology to facilitate it. Due to the huge amount of data and the interaction between various sensors, the universal data collector is the best solution, as it collects all information obtained from sensors in the car.
In order to fully use its potential, during the implementation phase of this technology, it is crucial to ensure close work of the engineering team with people responsible for digital data management (see the next section). Close cooperation of both teams will help to obtain more interesting data and implement new services more efficiently.
4. Provider of IoT data platform
Collecting data from vehicles is impossible without an IoT platform connected to cloud solutions dedicated to the automotive industry - this is where data is sent and analyzed to be later collected by the vehicle sensors.
Regardless of which platform you choose (the most popular solutions on the market today are: Microsoft Azure, Amazon AWS, and Otonomo, operating in the SaaS system), 5 features that such a platform should have are of paramount importance to enable the efficient flow of information.
You can read more about it in our article on this issue .
5. Data enrichment
While this article focuses on technologies directly related to obtaining data from the vehicle, it should not be overlooked that the software-defined vehicle operates in a wider ecosystem. Monetization of data from vehicles will not be possible without technologies related to infrastructure (e.g. smart-road infrastructure, V2X communication , or high-speed data towers), as well as coordination of back-end processes for which entities such as policymaker, cybersecurity specialist, technical regulator, road infrastructure operator or billing/tolling player are accountable.
To create more valuable and attractive services, a coherent policy is necessary, as it will enrich the data stream from third parties and the user themselves, and will improve cooperation between elements of the ecosystem.
Checkpoints inside the car
In-car technologies are not the only gateway for data that companies can obtain from drivers (another entry point may be, for instance, the driver's smartphone or road infrastructure). However, they are the ones over which OEMs and manufacturers have the greatest control, technically at least.
Before we directly describe the technologies in the vehicle allowing that data to be obtained, let's focus on the checkpoints that are crucial for the capture of information, its quality, and value for building services.
In the software-defined vehicle ecosystem, we can identify three such areas, a kind of bottleneck on which the flow of data depends. These are:
- Vehicle interior and infrastructure.
- Connection to cloud.
- Data cloud.
Let's have a look at the first area, which is practically entirely the responsibility of the automotive company and is directly related to the equipment in the vehicle.
We can list the following groups of such checkpoints which require closer attention when building a data monetization strategy.
1. Gateway to the customer
Key points due to the start of data gathering and the user's experience - their willingness to share data, and thus increasing the value of the gathered data for the manufacturer.
- HMI (i.e. a set of technologies enabling the driver to activate the vehicle and begin collecting data, e.g. touch screens, visual sensors, voice commands, etc. - certainly a topic for a separate article)
- Data gateway (port, mobile data connection, USB port, radio connection)
- Customer ID
2. Points that build loyalty and the need to buy
That is, the contact points with the offer that allow you to easily download new applications, pay bills and influence the user's willingness to renew the service. The more transparent, engaging, and easy-to-use, the more likely the user is to continue their subscription.
- App store / ecosystem
- Billing platform
- In-vehicle infotainment (IVI)
- Apps/ content
3. Key points for data security, data analysis and usability
- CPU/ control unit
- Car sensors / actuators
Software-defined vehicles do not run in a vacuum
When creating a data monetization strategy for a software-defined vehicle, one should always bear in mind the wide ecosystem in which such a vehicle operates. It is not enough to equip it with the technology itself and wait for the flow of data that will turn into specific value for the enterprise . In such a complex and extensive ecosystem, nothing happens by itself. There is no room for improvisation, omitting checkpoints, and presenting half-baked offers. Yes, the technology that downloads data from the vehicle is crucial, but it won't work unless we bear in mind the broader data management context that reaches beyond collecting and analyzing it.
How to monetize vehicle data thanks to in-car technologies - what’s inside a Software-Defined Vehicle - Part 2
The collection of data and its subsequent monetization wouldn’t be possible without the ‘’attachment points" in the form of technologies already used in vehicles and controlled parts and systems. It's also common knowledge that car data monetization is based on three main sets of factors, covering quite different areas. These are automotive technologies, infrastructure technologies, and back-end processes. In this article, we are going to reverse-engineer in-car technologies.
There is no harvest without seeds. In relation to vehicles, these "seeds" are all the elements and systems that make data collection possible at all.

The proper design is the key when we talk about the effective use of information from the vehicle and from the users directly. Let's have a closer look at these crucial technologies.
8 technologies necessary to retrieve data from a vehicle

1. Technical sensors
For OEMs and suppliers , sensors are the foundation on which they can build knowledge about the vehicle's performance and possible breakdowns. Due to that, they are able to see how their products endure the operation.
With these resources, it is much easier to determine the cause of a particular fault. The biggest challenge? The type of setting and frequency of data collection and integration of results into R&D processes. These issues are yet to be discussed.
2. High-performance processing
Real-time processing and communication are pivotal in unlocking the data potential in the vehicle.
However, it is necessary to define, from the very outset, which specific processing elements are to take place in the vehicle and which in the cloud. Whether the hardware is upgradeable is also an important variable.
3. Interface (HMI) and customer ID
HMI is a bridge between a human and a machine. Any technology, tools, and devices allowing human beings to "communicate" with vehicles - request the operation, change the setting or read for example the current status of the engine.
User experience is the key. Making sure the vehicle operations are as intuitive as possible is the end goal of every interior and UI designer. Adding augmented reality, advanced HUD, gesture operations, or fancy ambient lights makes the driver feel at home, capable of quickly changing the vehicle settings, and always aware of the current situation and hazards.
4. Software platforms
They support various vehicle applications and high-speed data transmission protocols. In the context of monetization, two aspects are of paramount importance: the reliability of the over-the-air software updates and for which of what consumers will be able to pay.
5. Communication
The connection between the vehicle, sensors, internet, and onboard devices is essential. Network gateways include Wi-Fi, Bluetooth, RFID, as well as a high-speed 4G / 5G modem gateway. The latter is the greatest challenge.
The problem that needs to be dealt with is mainly the stability and cost of the aforementioned connection. As the vehicle moves, it can reach locations with low- or even no- mobile internet coverage. This results in interrupted connections, operation retries, or unavailability of services.
6. On-board data storage
It is a local hardware repository for data generated by the vehicle. It must be clear what data is stored on the cloud and who has access to it (e.g. insurers). It is equally important to reassure customers that their information is protected from unauthorized access from outside.
7. Location and navigation technologies
Monetization also depends on location data. The biggest players of software-defined vehicles must decide how to locate a vehicle (GPS) and decide which specific navigation information should be collected and which map's "technical archetype" to adopt.
8. Environmental sensors
It is not only what happens under the vehicle bonnet that matters, but also what influences it. Therefore, environmental factors provide valuable data. They detect parameters related to e.g. road conditions, weather, etc. They also focus on nearby vehicles and people as well as on the cockpit interior: passengers, transported goods, and the driver.
As for the latter, environmental sensors monitor its physiological condition. Based on fingerprint readers, cameras, and microphones, the technology determines, for example, the driver’s sobriety or the degree of fatigue. It is also possible to control vital signs such as heart rate and blood pressure.
To what extent is such data monetized? It all depends on how willing the customer is to share bio information about themselves and their passengers.
Categories of data collected in the vehicle
Which elements, systems, and subsystems are responsible for collecting valuable data that can be monetized in the automotive industry ? It's time to look at the specific spots in the vehicle that show the greatest potential for data aggregation.

- Front collision sensor
Information about the seriousness of the accident / collision and where it occurred.
- Doors and windows
The condition of the convertible roof, sunroof, doors, windows, bonnet and boot, spoilers and service lap.
- Driver identification
Identifying the person in charge and setting preferential settings for them.
- Drivers health
Pulse, data for diabetics, measuring stress levels.
- Trip parameters
Parameters such as mileage, acceleration / deceleration, remaining range, ECO or SPORT mode activation time, average distance, driving style rating, average fuel consumption, braking intensity and gear behaviour are taken into account.
- Electric vehicle
Battery status and voltage, charging profile and status, power consumption, recovered energy measurement.
- Engine
Ignition status, oil and engine temperature data when we are talking about gasoline/ diesel engine.
- Fuel
Tank capacity and remaining range.
- General data about the vehicle
Information from the display, outside temperature value, VIN number, environment temperature, air conditioning temperature, network connectivity, teleservices availability, vehicle orientation and position.
- Lights
The condition of the headlights and indicators.
- Liquids
Coolant and oil temperature, coolant and oil levels, brake fluid parameters.
- Navigation and positioning
GPS speed, navigation destination, vehicle location (latitude and longitude), time and distance remaining to reach the destination, vehicle alignment, vehicle movement status, most visited places to suggest destinations of travel.
- Security
Technical condition of the seat belts and their fastening, information about airbags.
- Service and maintenance
Date of the next brake fluid inspection and change, time threshold for the main test and exhaust fumes test, ‘check engine’ information.
- Smartphone
Pairing with smartphones, driver behavioural patterns.
- Warning systems
ESP (Electronic Stability Program), ADAS (Advanced Driver Assistance Systems). Data on automatic eCall, battery protection. Messages from sensors (parking, distance, speed).
- Wheels
Tire pressure status, brake pads.
Challenges related to technical possibilities
People responsible for the development and implementation of modern solutions face various challenges. How well they handle them determines the success of monetization.
When analyzing individual systems, you need to take into account such aspects as:
- the frequency of data collection,
- the possibility of updating,
- the improvement of sensors that allow collecting personal data
- maintaining the stability of connections,
- identifying entities that have access to collected data.



