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Are software defined vehicles the future of transportation?

Technology is integrated in every aspect of our modern lives. After waking up to the soft chime of a smartphone alarm, you check your email, glance at the weather forecast and pre-order your morning coffee–all within the first five minutes of your day. 

Now, imagine if this same level of convenience extended to transportation. Checking the health and battery status of your vehicle would be as easy as checking your personal fitness app. Even better, your vehicle could receive updates overnight, enhancing performance and adding new features as you sleep.

This scenario doesn’t have to be far-fetched. It’s a current reality for many Original Equipment Manufacturers (OEMs) that are modernizing their fleets and embracing the simplicity of necessity of making their vehicles powered by technology. Software-defined vehicles are the future, and here’s how vehicle makers can get there now: 

What is a software defined vehicle?

According to a report from Deloitte, the software defined vehicles transformation will be “an inexorable trend driving the development of the automotive industry over the next 5-10 years.” And with a projected market size of 249.8 billion by 2032, it’s clear that there’s value in innovating–but what is a software defined vehicle in the first place?

A software defined vehicle (SDV) looks and functions similar to a traditional vehicle, but with the added capability to continuously enhance features and performance through over-the-air (OTA) software updates. 

A good way to visualize this difference is to compare a textbook with an e-reader. Traditional vehicles are like textbooks; functional but limited to what was originally printed. Software defined vehicles are more like e-readers; versatile, upgradable, and connected to an endless stream of new content.

That’s not to say that software is now more important than a vehicle’s physical components. On the contrary, sophisticated hardware serves as the essential conduit for software to perform its functions. SDVs are equipped with IoT (Internet of Things) devices, sensors and communication modules that enable real-time data exchange between the vehicle, its driver and external systems.

Why should OEMs make software defined vehicles?

In a 2021 industry deep dive published by BCG, the ‘software defined dream car’ is described as a “customer-centric vehicle that can be personalized and updated just like a smartphone.” By making software central to vehicle design, manufacturers can produce vehicles that are not just transport but integrated tech experiences.

Of course, this is great for the modern consumer who expects everything to be fast, smart, and connected–but it’s also good for Original Equipment Manufacturers (OEMs). 

Here’s why:

  1. Competitive advantage: As the market shifts towards electrification and technology powered by AI, those who adapt quickly will lead the industry.

  2. Longer vehicle lifespans: Regular software updates keep vehicles up-to-date with the latest features and improvements, increasing their lifespan while retaining resale value. Being able to protect your vehicles from damage and theft will preserve the value of your vehicle and business – not to mention significantly reduce insurance premiums for those renting or reselling your assets.  


  3. Extended operating model: Software brings new ways for OEMs to generate revenue. Think of remotely operated rental systems, maintenance services and new features that can be sold on an ongoing, recurring basis long after the vehicle leaves the assembly line.


  4. User behavior insights: Aggregated data collected from software defined vehicles gives OEMs and their distributors new insights into user behavior while maintaining compliant with data privacy regulations.


  5. Product innovation: Access to a wealth of data collected from vehicles and user apps drives innovation, guiding the development of next-generation vehicles and technologies.

Software solutions for OEMs of all sizes 

For many vehicle manufacturers, keeping up with consumer expectations can be daunting. The giants of the automotive industry have vast resources and deep pockets to pour into developing full-stack internal architecture, but small- and mid-sized OEMs often don’t have that luxury.

This is where Joyride comes in. Our unique hardware-software solution helps manufacturers integrate advanced software into their vehicles without the need for massive R&D or capital investment. 

The best part? The Joyride software suite is hardware-agnostic; meaning vehicles of any size, make or model can offer cutting-edge features and stay competitive in a tech-driven market.

Get to know Joyride in 90 seconds

The Joyride Advantage

  1. Connectivity and Control: Joyride-powered vehicles are equipped with IoT devices that allow for real-time tracking, remote diagnostics and over-the-air updates. This connectivity ensures that manufacturers, distributors and end-users have constant access to important data and control options.

  2. User Experience: Joyride’s platform supports features such as keyless entry, battery monitoring and ID verification. Imagine a world where users can unlock their vehicle with their smartphones, share a key digitally, track their trips and adjust vehicle settings–all from your branded app.

  3. Efficiency and Sustainability: Software defined vehicles can help optimize performance and maintenance schedules, reducing downtime and improving efficiency for rental fleets using your vehicles.

  4. Innovative Brand Image: Adopting digital strategies resonates with digital native generations (Millennials, Gen Z) and attracts their purchasing power. From post-sales services to distributor-operated rental fleets–it’s all possible.

Time to bring your vehicles to life

In today’s tech-savvy society, consumers expect everything to be fast, smart and connected, why should vehicles be any different? 

Whether you’re looking to retrofit an existing classic vehicle model, or build the cargo or consumer vehicle of the future, integrating  custom IoT solutions can help keep your brand at the forefront of innovation

The future of transportation is within reach for every vehicle manufacturer. Contact us to learn more about Joyride’s connectivity solutions for vehicle OEMs.

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