Tech Giants Set to Dominate Electric Car Market: Here's Why

The automotive industry is undergoing a seismic shift towards electric vehicles (EVs) and tech companies are poised to enter the market. With governments setting targets to phase out internal combustion engines and major automakers committing to all-electric line-ups, EV sales are predicted to reach 17 million by 2028. EVs are essentially computers on wheels, allowing tech companies like Tesla and Chinese carmakers like BYD to challenge traditional automakers. The focus on infotainment and software-defined vehicles has created opportunities for tech companies to create seamless ecosystems that integrate with smartphones. Xiaomi and Huawei are already making strides in the EV market, with Xiaomi launching its first electric car and Huawei providing its HarmonyOS to various automakers. The convergence of tech companies entering the automotive space and automotive start-ups dabbling in smartphone tech is reinforcing consumer confidence and paving the way for a smoother transition. Additionally, as the industry moves towards autonomous driving, in-car entertainment and connectivity become increasingly important, providing further opportunities for tech companies to enter the market.