Why Cloud Computing Is Unavoidable In The Automotive Industry

Why Cloud Computing Is Unavoidable In The Automotive Industry

It is no longer a mere premise that the prospects of integration of cloud computing are embraced by nearly all major industries, including the automobile industry. Cloud computing is bound to change this industry and the driving experience as we know it today. There are three main areas of the automobile industry that could experience the greatest impact of cloud computing.

Partnerships and integration

Consumer demographics are changing, with more attention being directed at technological integration of scalable systems that are affordable and easily adaptable. This has required mergers and partnerships between technology and automotive companies in order to form a manageable synergy for competitive and quality delivery.

There is also a worldwide trend of tighter government regulations on safety and energy efficiency that is adversely affecting this industryy. Balanced economies of scale require the automotive manufacturer to create partnerships with clean energy technologists to marry their functions. In such a setting, cloud computing becomes the all-essential minister, joining the two in a crucial partnership. Other areas include infotainment technology which, analysts predict, is expected to constitute 40 percent of total car value by 2025, up from the present 20 percent.

Manufacturer-dealer-customer chain

The automobile industry is currently ailing from dismal performance of sales globally, owed to the rise in steel and oil prices plus factors like environmental concerns. The challenges have compelled this industry to change tact and look for innovative ways to cut costs and deliver vehicles that will match consumer needs. This is where cloud computing is proving to be essential. A good example is the need for outsourcing external solutions that qualify their own infrastructural and personnel resources. These cloud-based outsourced services may include engineering or administrative solutions that are available through cloud computing platforms. Such services will help manufacturers stay afloat on a competitive level while accessing and holding full control privileges of the outsourced infrastructure.

For dealers, accessing faster services and applications through these cloud platforms will result in low maintenance and running costs. All these bring to the table the postulated need for cost elasticity and effectiveness in the manufacturing and supply chains. The cloud technology is therefore invaluable as the automotive industry seeks innovative ways to cut costs and deliver market-specific vehicles that will encourage consumers to start spending again on automobiles.

Auto infotainment

The present navigation and infotainment systems in cars will be significantly improved by cloud computing. These systems cover every area from vehicle tracking, GPS systems, to entertainment and Internet access on the go. The aspect of voice control is unavoidable in the car of the future, and the only deterrent at present is the fact that such systems need massive processors and software, a challenge that is aptly addressed by the use of cloud computing. All these will deliver remarkable experience for the driver and passengers. They will be able to effortlessly avoid traffic jams, browse the web, automatically pay for services like parking or toll fees etc.

There seem to be a unanimous agreement that cloud computing is unavoidably an integral part of the automobile industry.

By John Omwamba

About John

John posses over five years experience in professional writing; with special interests in business, technology and general media. Driven by passion and 'glowing' enthusiasm, he has covered topics cutting across diverse industries with key target audiences including corporates, marketing executives, researchers and global business leaders. John currently freelances for CloudTweaks as a frequent writer.

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