Cars aren't smartphones

The digital transformation of the auto industry has hit a speed bump: Slower-than-expected electric vehicle adoption has delayed the rollout of intelligent, software-defined vehicles. Automakers are forecasting billions of dollars in recurring revenue from software and services that improve over time through constant updates. Automakers dream of being more like Apple, with an elegant operating system like iOS that enables the same digital experience across all their vehicles. Tesla and other EV startups already have such platforms, and they regularly send software updates to add features or improve performance. But they had an advantage: Their modern cars were designed from scratch. Legacy automakers are saddled with complex software networks cobbled together from more than 100 electronic control units that manage specific functions like braking or infotainment. Even minor software updates are a hassle with such a fragmented system. The software conundrum demonstrates why a car is not a smartphone and Detroit will never be like Apple.