Presentation at the CII Automotive 4.0 Summit. The focus of OEMS must shift from "Engineering" to "Experiences"

1. Automotive
Industry
Transformation
R R Dasgupta
Chief Digital Advisor
Microsoft India
Automotive | Agri & Farm Equipment | Mobility
Automotive Industry 4.0 Summit
Westin Gurugram
29 September 2018

2. Own AV technology to provide mobility
services and preserve their market position
Invest in vehicle sharing and fleet
management services to prepare for a world
with fully autonomous vehicles
Own EV technology and avail charging
services to enable customer demand
Transform into mobility service providers
with a suite of integrated and intelligent
connected car services
The industry is being transformed by a combination of key technology and
business model trends:
As a result, automakers need to:
1. Connectivity
2. Autonomous
Driving
4. Electric
3. Vehicle Sharing
~100% of new cars projected to be connected,
up from ~25% today
~10-15% of new cars projected to be fully
autonomous
~32% of miles driven on new cars will be in
shared rides
~25% WW by 2025 and100% of passenger
vehicles in China and India will be electric by 2030
By 2030…
Sources: McKinsey; Accenture; Microsoft analysis
C onnectedA utonomousS hared mobilityE lectric
The Automotive Industry is at a Transformational Moment

3. Take out the driver, take out the internal
combustion engine, take out the dealers, take
out ownership…otherwise it’s business as usual.
Adam Jonas
Auto Industry Analyst, Morgan Stanley

4. What the Digital Consumer wants
4

5. A B R A N D A L L I A N C E D E L I V E R I N G
O P T I M I Z E D S O L U T I O N S F O R F U T U R E
M O B I L I T Y N E E D S
D R I V E R F O C U S E D
F U N T O D R I V E
P A S S E N G E R F O C U S E D
F U N T O R I D E

6. Personal AI Assistant
Productivity on the Go
Location Based Services & POI
Intelligent Voice Control
Live Voice Translation
Journey Planning
Vehicle Data/Telematics

7. Shifting from private car ownership to mobility-related
services
• New business models for additional revenue streams
• Integration of all mobility services on a single platform
• One single-point for the customer to access all mobility needs
Autonomous driving and urban mobility
• Autonomous cars as a key role to address urban mobility
challenge with commercialization of autonomous taxi fleets.
• Opportunity to monetize available time through services
• On-demand after-sales and services.
Seamless experience
• Harmonize experiences between «Home entertainment»,
«Mobile digital», «In car /Out car Entertainment»
• Create a new platform of activities by authoring new services
coming from digital content creators
Smart-mobility - market overview Key challenges for automakers

8. © 2015 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.
Components of the Digital chassis of of Automotive Brands
From Engineering to Experience
• OEM Digital Ecosystem
• Car Apps Integration
Digital
Foundation
• Telematics Integration
Experience Driven
Commerce• Commerce Integration for Services
• Digital Business Models
• Experience Store
Digital Asset
Management
• Global Asset production cost efficien
• Central control of brand / marketing asset
• Flexible asset organization
Journey Management
• Management of Mobility Journeys
• Predictive Networks & Telematics usage
Customer Intelligence
• B2C Contextual Interaction
• 360 view of the customer across Brands incl. In-Car /Voice Analytics

9. PRINCIPLES
Core Principals for
Connected Vehicle Solutions
MICROSOFT CONNECTED
VEHICLE SOLUTION
ACCELERATORS
Spanning in-car and cloud.
These pillars support common
use cases for connected car.
COMMON SERVICES
Azure PaaS Services +
Microsoft Productivity Suite
Microsoft brings top partners and
innovation to the solution
The OEM/Partner DEFINES
the customer experience
for their solution…
Customer Experience DATA & Privacy Partner Lead Approach
Additional Azure Services
Storage | Compute | Networking | Etc.
Azure IoT
Suite
Dynamics
365
Machine
Learning
& Analytics
Artificial
Intelligence
Mapping &
Location
Office 365
Skype
Intelligent
Personal
Assistant
Microsoft
Graph
Telematics and
Predictive Services
Connected
Advanced Driver
Assistance Systems
Productivity
and Digital Life
Advanced
Navigation
Customer Insights
and Engagement
The OEM/Partner
OWNS
the DATA…