Software is now one of the main drivers of technological development in the automotive world as cars become much more than a means of transportation as the advance of autonomous driving turns them into complex machines that collect and process large amounts of data.
As this happens, comparisons with other markets and devices such as smartphones start to emerge.
As automakers develop self-driving vehicles, the move is leading to a change in the mindsets of most car companies. Partnerships, acquisitions, and venture investments are commonplace these days. The resulting software-based approach to car development has inevitably led to the use of terms such as "smartphone on wheels" or "rolling data centers."
This type of thinking is inevitable if automakers want to devise new business opportunities and ways of monetizing transportation beyond simply transportation and differentiate themselves from rivals.
It is estimated that the automotive-related software market will double in value to $469 billion over the next 10 years, research from McKinsey suggests. Roughly 90 percent of vehicle innovations during this period will involve software.
It is no surprise, therefore, that automakers and suppliers want to share in this windfall, and no one wants to be left behind.
But from a software storage perspective, comparing cars and smartphones may be misleading for many reasons.