The Cloud is Changing the Auto Industry

We’ve all heard the phrase “get your head out of the clouds,” but, now, the cloud is where everything is! Most online infrastructure and the tech that consumers interact with on a daily basis involve the cloud. The automotive industry is also becoming more cloud-based, using global hyperscalers such as Google Cloud, Microsoft Azure, and Amazon Web Services. This service impacts everything in the automotive industry from how we interact with our vehicles to how engineers crunch their data and even how manufacturers create the cars. 

These third-party specialists make it possible for data to be extracted securely and efficiently from coworkers and teams across the globe. Traditional infrastructure using on-site servers and VPNs is incredibly expensive. The cloud saves manufacturers (and dealers) both time and money. The convenience could be the ultimate business tool, which could lead to the path of success as the industry moves into the future.

As consumers continue to embrace cloud-based technology, it will be important for the auto industry to do so as well. More and more vehicles will be connected to the cloud to remind drivers about maintenance, make them aware of battery levels in electric vehicles and even remind people where they parked. Plus, the cloud will be vital in the development and advancement of autonomous vehicles. 

Microsoft Azure and Volkswagen teamed up to develop Automotive Cloud, which works in the background, ensuring a smooth experience for the consumer. The idea here is to eventually have all cars using cloud-based applications to increase customer satisfaction. People expect every device to be connected, and why should their cars be any different?

Some newer cars have infotainment systems built in with some apps available, but most buyers still opt to use their Apple CarPlay or Android Auto, allowing a fully integrated experience between their vehicles and their phone’s connectivity. Apple CarPlay has become a “must-have feature” when choosing a vehicle, influencing the buying decision, though most vehicles made after 2017 have this option. But will there come a day when the car can do everything a consumer wants all by itself, no phone required? Maybe.

The cloud really does touch every level of the industry. Parts suppliers use it to increase efficiency and part quality through machine learning. Manufacturers use the cloud internally and for serving their customers (customer service, sales, marketing). Dealers use the cloud to engage their local markets and do targeting research like pre-qualifications. And then ultimately consumers are reaping both infotainment and safety benefits of this technology in their vehicles on a daily basis.

The cloud is “limitless,” at least that’s what they say. As automotive technology grows, hyperscalers provide a large playing-field where the industry can expand. And as consumers’ technological appetites grow, automakers will need to take advantage of all the cloud has to offer.