Looking ahead: The Future of Auto Industry

In an era defined by constant change, the automotive industry has experienced significant disruptions. If we look back to 2023, it is clear that electric vehicles (EVs) took center stage, with more and more consumers opting for eco-friendly options on the road. In fact, currently, the industry is regarded as the most important economic sector in terms of revenue, with India ranking third globally, as per Invest India.

But now the question arises: what does the future hold for the automotive industry?

So, to find the answer, let's look at some expert insights and predictions for the future of electric vehicles and the automotive industry as a whole.

Expert opinions about the future of the automotive industry in India

Sameer Aggrawal, Founder and CEO, Revfin, said, “The Indian automotive sector is set for a transformative shift, with projections indicating that it will reach $300 billion by 2026. The electric vehicle (EV) market, currently at a 5% share of total vehicle sales, is poised for explosive growth, potentially surpassing 40% by 2030. This rapid expansion is driven by the increasing demand for sustainable mobility, fleet mobility as a primary driver of EV adoption, and the need for significant infrastructure development, including the establishment of 444,000 public charging stations. The shift towards EVs will not only redefine the transportation landscape but also contribute significantly to reducing carbon emissions and advancing energy efficiency.”

“As a key player in this evolution, Revfin is committed to facilitating the financial accessibility required for this transition. Our innovative solutions are designed to support the growth of the EV sector, ensuring that infrastructure and adoption challenges—especially in fleet mobility—are effectively addressed. By aligning with the government's ambitious targets and driving advancements in EV financing, we are contributing to a future where sustainable transportation is not just a goal but a reality," added the CEO.

“The future of the automotive industry is rapidly evolving with digitalization at its core, said Saket Newaskar, Director & Head of Transformation, Expleo. In fact, software-defined cars, where user experience and seamless ecosystem integration will be prioritized and become well-established. Further, the push towards autonomous driving, electric vehicles, and connected mobility solutions highlights a significant move towards sustainable and innovative transportation. As automakers adapt to these changes, they embrace digital tools to streamline operations, reduce costs, and improve overall performance. This digital revolution is about upgrading technology and redefining the entire automotive ecosystem to meet future demands and challenges.”

Prashant Sinha, Co-Founder & Chief Executive Officer, BiUP Technologies, remarked, "With the change in buying behavior and patterns of new-age buyers, it is crucial for brands to adopt and implement cutting-edge technologies like AI, ML, and XR tech to enhance customer experience and product experience, ultimately leading to business impact. Nowadays, buyers are well-informed, researched, and smart before they reach out to brands. Thus, brands need to create an omnichannel approach backed by data and intelligence.

“AI plays an important part in the customer purchasing journey and post-purchase experience. Consequently, training LLM models on customer buying behavior and evolving trends is essential for OEMs to enhance business performance, planning, and engagement. Throughout the buying journey, XR tech is vital for product visualization and customization, supported by a data analytics engine. The entire customer journey—from pre-sales to sales and post-sales—needs to be immersive, intuitive, and intelligent,” he added.

Sameer Parab, Senior Manager, Growth Advisory, Aranca, commented, “India's automotive sector is set for substantial growth, driven by government initiatives and advancements in alternative fuel vehicles by leading OEMs. With policies and incentives promoting the adoption of electric and hybrid vehicles, companies like Tata, MG, and Mahindra are at the forefront of this transformation. However, to sustain this momentum, the development of robust charging infrastructure and battery production facilities is essential as EV penetration continues to rise.”

Pavan Puri, Founder and Managing Director, Greencore Electronics, said, "The future of the automotive industry is characterized by rapid innovation and the widespread adoption of digital technologies. As vehicles evolve to become more connected, autonomous, and environmentally sustainable, the demand for advanced electronic solutions will grow exponentially.”

“We at Greencore are reinforcing our commitment to pushing the boundaries of what is possible in automotive technology. Key areas that we are focusing on include the development of entertainment and navigation systems, driver assistance technologies, and telematic control units. These innovations are essential for Original Equipment Manufacturers (OEMs) to stay competitive in a market that is being reshaped by consumer expectations and technological advancements. As the industry continues to evolve, the focus remains on reliable and sustainable solutions, which are critical factors in the ongoing transformation of mobility.”

Nitin Kapoor, Managing Director of SAERA Electric Auto Limited, stated, “With the technological advancement and rise of electric vehicles, the automotive industry is certainly witnessing the change and being shaped for a better tomorrow. The advancement represents a commitment to create a sustainable environment where connectivity, autonomy, and green practices are treated as basic norms.”

“As we shift from traditional car ownership to innovative mobility services such as Mobility as a Service (MaaS), it showcases the way we are transforming transportation systems across the globe. The rise of electric vehicles is crucial considering today’s climatic conditions; however, it is only one aspect of a broader movement that also involves integrating vehicles into smart city ecosystems, reducing carbon footprints, and adopting circular economies. Certainly, the future of the automotive industry is dynamic with the blend of innovation, environmental responsibility, and cutting-edge technology, driving us towards a cleaner, smarter, and more connected future.”

Transformation Never Stops, Neither Do We!

Undeniably, the automotive industry is shifting gears. So, whether it’s the rise of electric vehicles, the development of self-driving cars, or the exploration of new materials and designs, there’s no doubt that the automotive industry is set to undergo major changes in the years ahead. Thus, with new technologies and trends on the horizon, the future of the auto industry appears to be both exciting and optimistic."