Japanese automakers team up on software development; aim to compete with US, China in SDV market
October 21, 2024
TOKYO – Three major Japanese automobile manufacturers, Toyota Motor Corp., Honda Motor Co. and Nissan Motor Co., have reached an agreement to promote collaboration on developing in-car software, The Yomiuri Shimbun has learned. They will consider standardizing specifications for functions of car computers such as window opening and wiper movement.
Suzuki Motor Corp. will work with major chip manufacturers and communications enterprises to develop software for autonomous driving and map information within fiscal 2024. Japanese companies are accelerating such collaboration to compete against leading U.S. and Chinese manufacturers in automotive technologies.
Executives of the automakers and officials of the Economy, Trade and Industry Ministry plan to explain the policy on Thursday at the Japan Mobility Show (formerly the Tokyo Motor Show) at the Makuhari Messe in Chiba City.
The three automakers will standardize the basic platform for an application programming interface (API), which serves as the link between the software and other systems, allowing a variety of software from the three automakers to be installed. This makes it easier for other software firms to participate in development and is expected to strengthen Japan’s competitiveness.
The ministry urges the development of Software Defined Vehicles (SDVs), which are next-generation cars that can add new functions and enhance abilities by updating software via the internet. In order to boost the development of SDVs, the ministry will launch what it calls the Mobility DX Platform with major automobile manufacturers. The software collaboration is one of the projects of this platform. Toyota, Honda and Nissan also eye cooperating in the self-driving technology field in the future.
The ministry also will strengthen the development of human resources. It will add SDVs to guidelines on the development of human resources in digital fields and nurture talented personnel who are well-versed in automotive software by providing courses. Collaborations with educational institutions such as universities will be promoted as well.
The United States and China have taken the lead in the SDV field. U.S. electric vehicle giant Tesla Inc. was the first company to launch SDVs, which enable the company to earn money even after selling the cars. China has boosted the development of leading-edge technologies by standardizing API in its automobile industry since 2021.
The Japanese government is intensifying its sense of urgency regarding this situation. It created a strategy on automotive digitalization in May. Japan aims to secure a 30% share of the global SDV sales market, urging collaboration among domestic companies to achieve this goal. For next-generation vehicles, such as SDVs, the superiority of software directly correlates with competitiveness, prompting a unified effort between the public and private sectors to regain ground.
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