Digitalization in the Automotive Industry

Digitalization in the Automotive Industry


[Music] thanks for joining this afternoon panel session and I’m gonna keep it short I’ll give you a quick kind of an intro into the topic on you know Dana for infrastructure in the automotive industry and now I’ll ask our illustris panelists to come on stage and we’re gonna have a VIP vibrant discussion we also have the capability for you to ask questions and we’re gonna play those and then we’re gonna go into an interactive session at the end for the last 15 minutes so I hope for you as a developer at this we our developer conference here it’s gonna be interesting and stimulating to see what happens in the automotive industry if I can get my slides up there could give you a little lines here we go let’s go back clicked so quick intro myself I’m the chief platform officer at here technologies here technologies is a company that historically was basically the inventor of electronic maps in the car about 25 years back today this world has massively changed the static map as we know it has completely change become a very dynamic environment where the car is always connected where the map is potentially self-healing where content comes in on the fly and where the map becomes kind of a living digital object that is a journey that we as a company have been taking and you see a couple statistics here down here we are present in about 200 countries we cover about 100 million cars right now across the world and to actually achieve one of that we’re already today in a world of very very heavy data crunching just to give you a little bit of an idea we have also these cars that run around that map the streets and try to you know create the best user experience map experience for for our consumers and just that in itself is something where you create about 700,000 data points per second right where you create 28 terabytes of data on per day base all these cars 28 terabytes okay that means you have to take those data get them to data center process these data and extract and you know points of interests street level navigation etc all of that so it is a world the world of cars the world of mobility is a world of very very heavy data crunching and of course all of this you know is used in in the in the map context for example of course to to move humans from A to B and all of us who use this in urban environments we all know that you know the level of sophistication and the level of demand that we put to these systems is augmenting everyday in the old days it was here now take me from A to B today it’s can you please include urban transport can you please include for example car sharing so I might want to use a car sharing and then use an urban transport and then by the way I’m also looking for latest point of interests latest club bar restaurant shop or whatever that has just open maybe yesterday and I want to have in the context of my nap so humans we humans drive this topic the cars by themselves drive the topic in various shapes and forms because of course you want to see in other words the next petrol station oh by the way can now see the price tag on that petrol station so I’ll take that one or maybe I take the next one because I have a promotion and then eventually we’re moving into a world with a map and any kind of mobility service is gonna have a whole different level of sophistication right now today if you’re outside in Vienna you don’t see a lot of drones flying around but that’s basically only a matter of time because you know regulatory the FAA is of the world are getting or working together with the industries industry is pushing hard security is of course of utmost importance but down the road in a couple years we’ll see these drones flying around the delivering goods basically putting us into a new world of mobility and if you think for a second and this is just kind of like a schematic representation here if you think about what’s happening there you have to kind of also use the airspace and map the airspace and also especially map the air-to-ground transfer now we’re a drone comes deliver something or has to recharge as an Eevee charging station and goals finds the charging station and then is ready to go and you know carry goods across an urban environment or maybe not even an urban environment long distance travel for you know medical devices or medical medical medicine etc that needs to be managed and you’re talking about a highly automated world that’s not human flying these drones not human orchestrating on all that this will be a wall that is basically run in a very very autonomous fashion so all of that demands for in a very heavy data processing in the context of location in the context of exactly knowing where am I where am I going and what are the circumstances around me what terms and conditions around me what’s the weather what am i allowed to do what am I not allowed to do you know in terms of regulatory etc so huge cooperation here also between cities every city meanwhile calls itself smart city and the industry at large and then you need to handle of course all kinds of situations and this is just recently what happens sometimes in Berlin when when the weather goes it gets a bit nuts and crazy the challenge is if you look at urban environments large cities in whether it’s in Asia or also in Europe or in the United States you see that due to the density density of traffic density of travel in general situations escalate very very fast situations whether it’s traffic jam etc so the demand for you know highly sophisticated location-based solutions that allowed to handle these kind of situations is very very important just give you a little bit of an idea if you look at this movie here it shows all these spots this is from our data that we collect from our car sensor so from we get them from cars into the cloud it’s just a raw information that shows you know how the cars are moving across an urban environment in the Berlin air and of course every one of these blue spots that comes up has a richness of data that we then use to process traffic to process for example weather conditions to process for example in an urban environment also you know parking spots that allow to then for example say there’s a parking spot around the corner and if you wanna park is but now you know if the probability is ninety percent that if you just drive across just across the street and take a left there will be a parking spot for you all right so car sensor data or sender data in general coming from cars and or devices of that nature allow and will give opportunity to create enormous new business solutions just to give you a couple example of things that we have been doing recently working with our especially our shareholders here give you an idea on what you can do with some of these car sensor data this is something that is going live in the in the next one and one and a half years and what’s happening here is we use sensor data to actually augment the quality of the driver experience take one like hazard warning like slippery road for example most of the cars today when the temperature drops below three degree Celsius it goes like ding and then it has like it you know maybe the street will be a little you know slippery for you which is a very generic statement might be true might not be true if you look at what the car sensor data can give to you in terms of you know will spinning etc you can calculate getting those data into the cloud you can calculate very precisely for the cars that for example on the road behind what is gonna happen down the road and you can bring a statement that says a watch out ahead of you 100 200 500 meters ahead of you there is slippery road and already put potentially the car in the right state and give an alert to the drivers or the driver exactly knows wow there’s danger ahead and not you know some generic danger look at road sign recognition we some of the cars today have these little cameras and then you see the dashboard you know that road that speed just went to 30 kilometres an hour or back to 50 or 100 120 that is kind of nice to have and it helps you to kind of adjust the speed but what do you do in when you have autonomous driving and you have a construction site on a high where there is a moving construction site we as humans you know we look at the horizon there’s something coming up and I’m gonna you know get you know slow down a little bit and then see what what that is and then you recognizes the construction site is kind of maybe moving on the left lane an autonomous car if it does not know about that it’s gonna keep on speeding at the same speed and then it’s gonna recognize there’s something going on and potentially take a strong break and potentially generate an accident so propagating these information to the cloud and the car without even seeing this knowing already oh oh there is a construction side behind the next curve and I’m going to just take already you know take it a little bit slower slow down adjust my speed will allow for human centric behavior of autonomous cars so this is not just all these cenotes are not just meant for the current cars and for the current driver experience where people are still completely in charge but also for you know the next level of cars that he we will see just a set of sensor data that you can look at that are relevant for for example business scenarios in the autonomous space that you can use to for example if you look at the windshield wipers it gives you an idea on what kind of weather conditions where there aren’t on stage one or whether they’re going very fast gives an idea how much rain is coming down there and if you have this was a good statistical level you get basically weather for free terms conditions weather terms and conditions almost for free at least on the ground if you couple that with the temperature with the humidity you have you know a very good very precise representation of whether the bump when you look at the suspension system of a car that gives you basically Road roughness for free I mean most of the cities have cars that specialize cars expensive cars that run the streets up and down once in a while and measure whether there are potholes and what the road roughness is and cars would basically generate those data almost for free of course you have to kind of process them and all of that but it’s it’s inherent in a car that it gives you all this high quality data another aspect that comes into play when you talk about data in the context of cars and especially in autonomous cars you need a whole different representation of the environment it’s not enough to know oh there is a lane which you need you need to know exactly how wide is this Lane is there may be some construction on the side that limits how high you know is it when you are running a truck etcetera so you have to have a very precise Lane level description of the environment and only then can you have a car running into that alley and then do the dynamic adjustment was the computers that are underneath the seat and that is something that that is also happening puts lots of challenges for developers because it’ll there’s a lot of AI involved to actually recognize out of imagery what the streets look like there’s a lot of very heavy data processing against in and a terabyte space and then ideally and I’m gonna close on that piece of information here ideally you want to have a self-healing map so you go out you measure once but then the car gives so much richness of the collective car setup gives so much richness to the map that it starts self-healing so cars recognize all there’s a change the map tells me we’re like a fifty kilometers an hour as a speed limitation but the car sees it’s thirty plays it back we start doing some statistics if we get that signal ten times might be that it has gone from fifty to thirty and then we inform all the other cars in that region that you know speed limit has changed so you ask yourself is this map than a human centric map or a human build map know it’s gonna be an completely autonomously created map and that’s again you know huge challenge to software development because of course you have to kind of put all these systems in whether it’s AI systems for recognizing you know imagery whether it’s large you know systems that allow for you know triple nine availability because if those systems go down and autonomous cars are dependent on those systems you might have a huge challenge to actually keep your system going and keep your customers going I’m gonna close on a little video here we use this video to actually kind of summarize a little bit you know how an urban environment might look like in a couple of years this is built on some imagery around Dubai Dubai is a place that is very very advanced and testing out a lot of you know data centric and digitization scenarios in the context of smart city in the context of cars in the context of public transport and this video kind of summarizes a little bit you know what you can expect down the road in terms of scenario it’s a bit futuristic but it covers some of the key scenarios so with that I’d like to close down on my little intro keynote thank you very much for that and I’d like to and I’d like to ask the panel to come on stage first foremost in no specific order but Klaus hope CIO of BMW welcome welter Keisel the CEO of Kaiser systems and michelle austyn vp engineering automated driving a bosch [Applause] so the idea was that the panelists kick it off with a what we call impulse statement so they kind of like you know bring to stage their ideas around the context that we just kind of like have set up and then we go into a dynamic discussion as I said at the end we will also have the ability for Q&A so if I can ask stop to kick it off and then we go around and then we go into the panel discussion thank you thanks a lot it’s honored to me to me to us from BMW to stay here and to have here also a big contributor to this fair well the digitisation is one of the most driving propelling changes in the automotive industry and you mentioned it before on one side we have for sure when we talk about digitalization the change of the product and at BMW we divide more or less digitalization in three areas where this revolution or we can also say disruption is coming one disruption is the car the car you saw that at the last areas with autonomous driving the car will get and part of the internet will get an IP address will get another device more or less but a device whose head which has to be secured with all all kind of things in the future the second big area which will be a big revolution is industry for today when we talk about product development when we talk about production when we talk about sales after sales we will have information flow from product from productive eleven to after sales on one site but also the machines will have an interaction in between and combined with for example Bionic generative design combined with additive manufacturing we we are ahead of a beak I would change in this whole value chain the third big change and disruption is the customer itself there you will ask perhaps why yeah well today we have currently eight different channels customer channels we worldwide in every country in every area just take new car sales used car sales take the workshops take for example the car where you have connection to the customer take our digital services and so on and so forth financial services and we have to integrate these these channels and this will be a massive of work before us and focus on the customer because currently and it will be also in the future we have different players in these channels this is one dimension when we talk about digitalization the second dimension is digitalization will change our way to work and we call it at BMW we have to speed up and we have to get more flexible and then we are the real that’s the reason why we are here on the fair on the real Developers Conference we are migrating more and more to a tech company we are coming from a mobile mobility and service company and migrating to a mobility service and tech company and when I say we that’s also my colleague from the development area who is on board responsible for on variety systems then the colleague who is responsible for digital services and for autonomous driving so before our driving I have set up a program called 100% H I and we are setting up with the new technologies and searching developers and increasing more or less our staff dramatically to drive this company to a tech company Thank You class hello also from my side my name is about the Geisel I’m proud to sit here with you with you all here to see that the audience is pretty hundred percent full and I’m so proud to sit with you here together because we are a really young company our company was founded three years ago we are now close to hundred sixty people & kreisel have two divisions one division is the electric division here we built battery packs and mobile applications and the second division where I am the CEO is is making the ecosystem around the battery that means that the battery can communicates that the battery can build services and together the kreisel electric systems offers in a p2p for to one’s car suppliers also energy grid suppliers energy independent providers so everybody who wants run a business on energy and energy and state driven business model and why is this so important is because the renewable energy is not only green renewable energy have the big advantage if you can drive if you can make an energy logistic it means with the battery you are now supposed to make energy logistic and there is the car one major important thing also then you can store the energy and if you can store energy you can have every time everywhere energy because everywhere because the car is also getting electric and between this ecosystem we offer so we are the decor of the pot home technology in heart and software and we use software for example one example is if you have an electric car or if you and home battery or an industrial storage then your battery never is running hot the percent of cycles and if you run only a battery 60% or 70% you if you if your battery can call to other batteries they can offer probably services for different solutions that means that the the funny thing is on electricity the car and infrastructure is now electric that means if they connect connected together and it’s driven on renewable energy it’s it’s going ten or twenty times cheaper that’s the main thing and it’s green and and yes thank you I think more we will discuss it thank you okay yes welcome as well from my side great to be here and to be discussing with you about digitalization digital world of automotive industry I’m working at Bosch since more or less 20 years now almost all the time in systems engineering creating new products in the context of safety agility driver assistance and since 2011 I’m working in automated and autonomous driving technology I’m heading now the development team from Bosch which is in cooperation with Daimler in creating the the next automated autonomous taxi for urban applications I must say that step by step when starting with automated driving understood that autumn automated or even autonomous driving is not just another product that we are bringing into the car for me it’s the boost of the digital revolution of the car in the past we could create products which were like kind of stand-alone probably we were networking some piece of the chassis like the brake with some piece of the driver assistance like a camera or radar sensor we could create a quite nice of a product you would call it a CC or lane-keeping what was autonomous driving is doing with the car is a complete revolution first of all the car will be connected it’ll be a crucial part and integrated element of the internet of things it will be creating data tons of data because if we do autonomous driving we have up to 40 or even more sensors in the car will which will register all what is happening all around the car all the time and this is a huge value to have all this information about the world I think Peter pointed on that in this introduction keynote at the very same time we need lots of data you pointed on that as well if you want to drive safely and autonomously through the world you will be consuming data and this data has to be reliable it has to be safe and it has to be secure so the the car is an integral part of it secondly the vehicle will call the functionality of autonomous driving is so much dominated by software way more than any of the other products that we have ever done the control units that we are providing now for this new technology are 100 or even thousand times more powerful than the control units we had in the past so software becomes the dominating part of the whole system and that means at the end that as well the way how we develop our products needs to change we need other competencies we need other people and we need other styles of working and and and cooperating together it’s not the v-model the classical view model engineering anymore we are applying agile methods we applying state-of-the-art hopefully software engineering methods and and and these say old companies of the old industry have to learn all these new methods which is a really challenging but as well fascinating change and I would say last but not least it offers as well new cooperation mods so to sit down with an OEM and not work on the basis of you specify I execute as a tier one but we sit together in the very same room and find the best solution jointly together that shows us that the industry is moving into new cooperation models by this technology Thank You Mika okay so let’s now open up the panel discussion and the first kind of like topic we would like to kind of tackle here with you guys is if you look at the environment out of which for example the auto normals look at the cars etc and the autonomous cars going down the road are gonna be you know built the factories though the whole ecosystem that that is needed to actually to actually build and create that new world me coming from a background I’ve worked for almost 10 years and s AP and s AP of course as a company has been you know looking at all you know logistics and automating at that time and digitizing factories and supply chain and now ten years later I have the impression that we’re all we’re starting basically kind of all over because the demand for flexibility speed rapid reacting to customer needs is so high that we’re basically going to a new level of digitization across factories and and and businesses in general and so the question today to the audience would be to the panel here would be you know what is happening in the digital to supply chain how is it adapting to those more nimble scenarios how is you know the topic of smart factory how is that one adapting we should maybe always when we when we when we look at can we want to tackle this keep the developer in one eye you know that we say okay you know what does it mean for a developer who comes and works for one of these companies what are the challenges for him in such in this new environment so maybe I start with with you me hi yeah digital factories industry 4.0 is probably the point that you’re touching upon we are facing a very strong demand to more individualized products more on-time delivery of small batches of products which need to be highly flexible in in the industries since many years now Bosch is working on this industry 4.0 technology we not only develop this as a product we apply it our own very highly equipped companies and an factories that means that equiping machines with sensors creating all the the digital environment how to collect the data how to handle data into a cloud that is in crucial topics of wash we are working on our own industry cloud we are offering an industry platform which allows us not only our own factories and plants but as well d to our customers to create their own ecosystems what does that mean to the work of our engineers the competence of how to connect machinery to the internet how to collect the data evaluate the data handle the data that will be a very crucial working task for all our engineers which in the past problem we were building mainly machines and now they are working on some items which are connected to a cloud can I have a quick question what is the role of a data scientist in this context next to a developer data scientist is a as well a group of people that we are strongly fostering and building up because all the science or the value of this Internet of Things and production obviously is in in in the right way how to analyze the data so what we need is people who know how to take a look into data how to manage data and how to extract information out of data obviously as well how to be sure that the information you extract is correct and right you can do many things and analysis out of data which doesn’t mean that your results are correct so knowing what is the right thing to do is important and handling of data as well means know when a when can I delete data yes if not we will create tons of graves of data which will result in heavy investment of storage which you will never need anymore thank you you as a CIO or BMW what’s your challenge on digitization in the factory and smart factory itself as I said the industry industry Furtado is the whole value chain from development of cars to production end to the sales but also the connection to the services and when we talk about this especially on the supply chain area first we have to think about we need in future and we need today the overall IOT architecture basic tech not the basic technology which you see here on the fair like blockchain like big data especially artificial intelligence but also rich reality and augmented reality are crucial competences we need to build up more or less an architectural IT architecture to to to use the advantages of these IT which drives more or less the factory into the future now why do we need a for example artificial intelligence predictive analytics is one peak and crucial point in the in the production think about predictive analytics in the maintenance area so we predict when we need the maintenance from machines but we predict also what I said before when does a product has or part as a failure or not and so such things we want to integrate and when we go to a supply chain we talk not only about the first e for example s Porsche we talk also about the second third and fourth tier supplier and what we need together for example and we have where we have to work closer together blockchain technologies where we have a transparent three and also a trust over the whole value chain because if the first year is bringing not these paths was thirty and second year and then the first day and to us our production will failure and it’s so close link we need advanced these information to react very proper with our production and we now when I go to production well the product development product development will be integrated closer into the production as I said genitive Bionic design will be one big thing where you need artificial in where we need software engineers who understand more or less with artificial intelligence which parts could be how can we can can we support the engineers of the cars to build up better product so it’s more or less the whole value chain which will be affected with industry further though but as a young company are you basically a digital native when it comes to you know the hardware part of the the factory part mmm it’s a pretty good question I think you need all of this because we I think the future is very interesting because it will it will be cheaper and it will be greener so there is a win-win situation but on the end of the customer side I mean that’s from all developers they Nicole is who we will have the on the end of the day the cheapest driven kilometer because if you if you have now a really nice closed value chain between production and the services and it gets rats parent it will be very hard for all those car companies because that is a very big challenge because the question is only how many money depend with software and if software is a so big part right now it is the battery they pick part of money on a value but it will go down happy but but the software probably is going up and up and but if we can share a car and we can can run it on renewables it’s going cheaper sedated I think that’s very interesting and without digitalization it would be not possible and I think that everybody could drive a car a BMW without paying it so you only pay your beam VW on the gasoline station it could happen 20 years ago also so this is probably not you to share a car or to to rent a car on but it’s going into services and I think if you look to the internet what’s happened with the internet the Internet is for free you need data centers and data storage and then you have the services you pay for Netflix or driving a car but it’s the same on electricity you need cables you need wires it’s electricity it’s driven on renewables so that means if the PV system or wind turbine is have a break even it’s crap it’s it’s coming to zero energy costs and then you have the battery storages big ones and the small ones the decentralized ones but the value are the services and that means then you only pay for the services because right now you don’t pay the taxi driver and you pay him two years for the for the guests yes so you only pay 6 bucks by an app for driving and so this is probably we are only on the edge of technology with the battery and with the battery connection softer but to have to close this value and make it happen this is a really big thing opportunity what do you address from my side is our two big areas one is more or less the product itself and in the past it was easy we had Porsche and BMW and we built up a car and it runs and you need it right no internet connection or something like this what I totally where I totally agree to you is that the number of code lines in a car will go its expenditure above so it will software will drive miles currently also 80 percent of the innovations are coming from software in the car but what is also changing and that’s a revolution the car will get a part of the Internet and when I see it in an IT architecture it will be an IP address in this whole arty architecture and we have to integrate informations from the car into the backend and from the backend to the car from the to the next car and so on and so forth that means this connectivity and this exchange of data has with these methods we have and the technologies we have now we had we didn’t had it in five years ago or ten years ago what we have now will and they are totally agree to you will revolution more or less the whole mobility area and then what you addressed in the second part was the services there we will see which kind of mobility services will jump up with shared mobility and right right sharing and reach and sharing and all these kind of things there we will see what is coming up and this has to be developed Thanks one thing it’s interesting because if autonomous driving cars they drive with electricity and it becomes ten times cheaper we need ten times more cars because one kid is driving to the villian exercise and second to the football club and madara striving to lynch me Farrow to Vienna my grandfather is probably driving to the hospital and my car is alone driving for my we are two to two hours a day you will use it in the rest is in the garage and if we have like autonomous Texas they will be working hopefully 24/7 well not fully but we expect eighteen to twenty hours of operation time that means the the Renewable the Faceman you have to renew this car is way shorter than today’s usage of course which is by the way very very good because you will never finish to develop a car because as you experience new situations probably even tricky situations that you couldn’t handle then immediately the information gets back to the engineers and say okay there’s a situation you have to solve we have to update the software I think something for smartphone is pretty pretty normal but who was thinking about updating on a regular basis the software of a vehicle driving software vehicle in the past so we need to learn how to get this information back generate new safe software and then have a safe update into the car so you’re totally right but the only difference between a smartphone and the car is and you know it sometimes these operating systems the smartphone is crashing and you have no problem you make it out and switch it on switch it off switch it on and then all is good but a car when you are driving which is switch it off and on is a little bit tricky so what’s important with mobility that you have and this will different write a secure and what is that a safe mobility so we do not like to have control-alt-delete and a BMW is it Adam we don’t want to have Control Alt and delete in the BMW I mean human Security’s two main the main thing yes but the other thing is if you everybody remembers the apple the Apple update stuff with the battery so that the Apple iPhones because you said I phone as the smartphone is a different thing in a car but everybody who have all the iPhones or iPads knows that Apple is doing the software on the battery cycles yes so all the debt would be possible on the car so it depends you do it for your customers or against your customers that’s the thing you control directly it down to the production time I’d like to pick that I think it’s a good discussion to go to the next kind of group of topic second group which is about trends and and also the visibility of trends and I’d like to especially in light of what you just said just share a little story that I experienced two days ago I got a new car pretty sophisticated car have it know for like two weeks not gonna share the brand and I was in Berlin on one of the large hi this big four-lane streets and I experienced on the dashboard that there was I wanted to change something and it didn’t change so you could see there’s something that is stalled and I stopped at the red light the engine goes off automatic you know shutting down the engine at the red light and when the light when Green the car wouldn’t restart and then nothing will happen so it was completely blocked I started to go outside the car tried to close the car it would not react at all and so they have this nice button so I get connected to you know central call center make the long story short they gave me some kind of alt delete’ saying that doesn’t work meanwhile the traffic was piling up people were Horning and nervous and I got a little nervous after 15 minutes without me doing anything it goes and this car came back and the engine starts and I could drive making oyster reefs or this was a hundred percent the software problem 100% ok I then went when I didn’t arrive home I scroll to all the menus I found a button that says software reset I press that button then everything starts working and finally tomorrow I’m gonna bring it to the but the punchline is this is a huge piece driving software and it got caught in some kind of like whatever loop or memory leak I don’t know what and and that’s what happened right and so that is a starting point and then I would like to start with you and ask you in the light of what you what we experience when are we gonna see in our really autonomous cars driving especially in urban environments after this introduction probably very very careful in making a statement isn’t it well I think autonomous driving will will come step by step already as of today you can see that we have first so called level 2 functionalities which means that the car basically does the driving job for you but you considerably we considerably should pay attention to what the car is doing because still there’s no guarantee that it will restart we are currently working on the next generation especially for highway applications where we can really hand over the driving responsibilities to the vehicles you will see that coming pretty soon especially for traffic jams so we you can really sit down relaxed in the car we’ll do the driving the driving next step will be then say beginning of the next decade to have that on free driving on highways the urban autonomous driving is a similar technology yet a completely different branch because for the highway driving you’re in the range of 15 sensors roundabouts and still a doable amount of sensors if you do the fully autonomous driving you’re way beyond that 30 40 roundabouts senses that you might be needing so technology with higher price as well so that is a parallel development branch we would foresee that as well you can see several countries making announcement like not country sorry companies making announcement in that area beginning of next decade until middle of next decade to have introduction into the market and then we obviously will see how that will evolve over time so middle of next decade not only having the high-end vehicles doing this highway driving and towards the end of the decade more most probably having autonomous taxis in most major cities okay right in in that light of trends what would like a full electrification at the end look like you know if I look today for like electric plugs in the city there’s one around the corner there’s one maybe you know two miles away that is not something that scales if I would imagine that everybody has an electric vehicle so how will it look like in if we would go you know in a massive adoption of you know electrified mobility our vision is to electrify the world so this is probably a little bit close to this but you you have seen it on every everything if you see so many things are from beginning electric so a CNC machine for example is not driven by an fossil engine but so many engines are since they are here l electric and I think electricity is the only way to have less hardware to have more efficiency and it’s the only way to run it during renewable and with software you can run it with cheaper renewable as well and so I think if we make water or heat or cold so already a heat pump is electric then you have batteries everywhere around you because you have electric cars everywhere and then you have batteries everywhere also in commercial and industrial application because there is one example a pump water power plant so everybody knows a pump power water plant is on the hill costs 450 million euros 450 megawatts you can build this 150 megawatt plant power station with double efficiency for the half price right now and the main advantage is so you can build 300 megawatts for half price and the thing is the battery is going cheaper and cheaper and cheaper and the main advantage is you can use the pump power plant the big one decentralized in hundred or thousand or 10,000 small batteries and let them link them together to make one solution and so the this is the thing where elect to the electricity is the main energy or to drive also a question on that one so are we looking at a very very highly networked connected world to actually make this happen and in the sense sort of for developers it’s a challenge to actually connect all these walls and it’s a big challenge right now I think we don’t have to the so we need for 5g for examples we need to have much faster connections we need much more bigger data centers yes and but as long as written on renewables again it’s it’s it’s ok we can do this without the problem and so for for all developers and all software guys it always the question I think you told in the start who produced the efficient code in 3 of or years is because if you see what is artificial intelligence artificial intelligence in my mind is our artificial results with it with the scientists together so right now artificial results with the scientists are artificial intelligence but if we can divide this to one solution made on a computer then we produce much less coal I was a bad note now can communicate in the way I communicate as fast because you can tell us this probably the computer right now for autonomous cars needs I hear that 50 percent of the electricity to drive in the stadium right now yeah at least you can have scenarios where you are several kilowatts of power that you need for the for the for the computers in the car yes so it’s it’s considerably more that than we had in the past yeah Klaus in terms of trends there’s this famous statement that was made couple years ago that at one point in time I’m not gonna pay for the car I’m just gonna pay for the services like in other industries so what is it what’s what challenge does it posit to all the systems that support the business of an automotive I think the discussion what we have always what is the vision and get a picture of the vision and when does vision happen yeah so and in between Google health not we will have not black and white we will have great colors just take electricity or electron mobility for sure and I totally convinced and agree i T electro mobility will drive IT in the cars but when I see the current production worldwide of cars light cars is approximately 70 million worldwide 75 million worldwide and we have several countries where we do not have the electricity infrastructure to to push that so there we need combustion engine so that means we will have black and white not going to service services mobility services well this need for soon integration also between the pro Courbet repeat between the car itself and the internet and drive small as the connectivity but also there we have black gray gray world we have will have regions we are mobility services or shared services will not happen and because it’s not from business point of view difficult to make their proper business case but they are we law we have currently areas just take Berlin in your area Berlin where we have many car-sharing companies and very very successful and in these urban mobility regions these mobility service business models will be successful so and this is the difficulty for us to cover more or less all these different requirements low infrastructure high infrastructure urban country into one and divorce and build up the product for all these areas so it’s it’s raising complexity to some extra for me a question to a such a big company BMW where we look up and this motivate us is if you if a car drives autonomous and you share it probably I don’t have to use a big car a whole year for driving it two times a year yes so the thing is if the service ought to use an autonomous car with the brand I mean because I love brands yes so but the question is how many BMWs are driving in 15 years on our streets because we can drive with so much cheaper things I mean traffic the terrain bicycles and everything yes so it’s the demand going up or down or you you close this gap with with probably services or expensive or services what’s what’s for me clear is and I think that we all all in the room are totally agree that individual mobility will increase and you do not want to wait elsewhere for half an hour’s at the car is coming taking you and you have to go to the next station and wait once more an hour and an ends one individual mobility is increasing dramatically and I want to go fast from one point to the other point and this drives more or less all of us I think the question if we do have then 70 75 million cars worldwide or not I think this will show because when I see the last 10 years or just take 20 years ago a normal family in Europe had perhaps one car currently a family with three or four members and the kids are a little bit older they have three or four cars nobody thought about just 15 years ago that one family could have three or four cars why individual mobility is increasing dramatically and we will see what happens to your motive industry but also then to BMW even though it’s an interesting aspect of how many cars do you have and in the family my son will be twenty within a few weeks and he doesn’t even have an idea of acquiring a driver’s license he is not interested in that his concept of module is in this to cut area and even in the out square so you have to wait half an hour for the s-bahn there now in my in this age and we had discussion two weeks ago with students 2025 see when you are five kilometres from the a span and you have to drive with a bicycle and then after 8 o’clock in the evening you have no bad car then you know what your son is doing when he wants to go to Stuttgart to the disco right you are driving but no other autonomous Rhino or your initial times that he came by the autonomous car but the point is where I wanted to go you said the future is not black and white it is in gray I would even say sorry too to put it that way it’s it’s very colorful because mobility will have many many more aspects and and variants than we have it today so obviously and it’s disgustin we’re just having shows it obviously for my son there is an option of not having a driver’s license well as long as Teddy drives if it’s necessary yeah but people will have different ways of how how they move right and in the future imagine this world where you not only take your smartphone and check how you get from A to B but at the very same time you can just click on it and with some apps you’re pretty close to that already and say okay I want to get from A to B and you get a proposal which is the best mobility service you can take so you you you hop on the s-bahn you go to the station then you take the train you arrive here in Vienna and when you just step out of the of the train station there is already the autonomous taxi waiting for you because you booked it hours in advance and it takes you here to the Convention Center and since you already planned your schedule more or less when you go out there is your taxi taking you back to the train or to the airport there is so much more of potentials and ways of how can we move individually that we will change the complete way for the first thing if your son would live in Munich then he would have a BMW so he would have a driver’s license I can’t work for my daughter she’s 25 and she studied in University of Munich and she lived in swapping she said I do not want to graphic art now she has a driver license then she made a practicum or worked six months for said F at the lake of Constance and her her flat was in worst news books only ten kilometers between with an e-bike from bars no problem but late in times sometime it’s raining it’s constructed sometimes it’s raining and then she said well it’s really difficult to come from Mel’s book to freely this happen it was really with these commercial vehicles or Reapers pass it’s very difficult so she said well car is not to pet so I think the world is grey and there are regions where you will have no car in future because you have no garage or anything else and you will have regions where you are happy if you have now great it have to be green one one one question again for me would be important how many value have a brand on a car because if the digital platform whatever it is yes offers me the best and fastest and safest way coming from A to B is the question how important is the brand it would be really probably nobody can answer it but it’s a really really one question for all those digital guys outside to probably what is the value I think we will have a value in the brand the question is what is the DNA of a brand in the future while we finish up this round here and I’d like to first thank the panel thank you very much I would like to put your attention to the screen here and these are questions that are coming here from the audience so let’s pick up the first question because I think it’s a very nice profit if question it says how do you plan to catch up with Tesla Tesla almost has the autonomous car ready so maybe first I’m only providing you the technology so you have to know Mike’s project with your colleagues since interesting well take taking taking this project I think we’re targeting and if different topics so one thing is how to more and more give automated driving facilities to the usual let’s say privately owned or or used car the Tesla Model and I would say that it’s kind of that this technology which is advancing step by step as I said you already can see such kind of technologies on the market Tesla is one of the examples you know as well in a Tesla car you should pay attention to the what the car is doing and not leave it completely to the car what is going to be done so that’s a clearly level to function the next step and I see many om that way is the level 3 function as I said what we are doing when you reference to my current job is complete other field that’s not the private car that is a shared vehicle owned by a company providing mobility service and giving taxi services so a question how to catch up is not a question how to catch up with Tesla it is the question how he can you make as fast as possible a technology which provides you with this autonomy but and this is one of the key statements that we do make it safe we want to make sure that when you sit into our car you will be absolute good hands and that means there’s a lot more than just and I’m not not negligence off or work that’s just making the driving software there’s so much under the hood which is making a stable ee architecture making a stable sensors at making they will actuation said making a stable basis where you can put the functional software into this is one of the very very crucial points so how to catch up make a very solid basis and then have a solid basis ready to put a good software on it at the end of the day well maybe you can take the one about how can we avoid more or less double traffic if cars can move without persons in and to park outside of the city so though you know I think about you know if you have a lot of electric vehicles how do you akkanee basically manage that infrastructure without having you know the city crowded with all these potential cars that can be used I don’t know whether somebody has seen there were people pictures in the internet the other day about China about these gigantic piles of bicycles because there are so many companies providing you know this shared bicycles with the cities meanwhile when they are not properly managed to take them and they put him on a junkyard and it stomach gigantic pile so how do we avoid the situation with cars and especially in the electrified environment only it only can be solved to software but this is hard to to answer I mean I mean this is this is not only one question because it if a car drives autonomous cheaper because it drives faster then it will draw all autonomous cars with drive really fast that means if you make more valuable money on it you have to drive it always faster so they’ll be instated and then if you drive a car fast into your parking lane transfer its to be developed and to be seen all right how what constable well I mean there is there are many mathematic on it too to calculate cases which give us the answer I mean I don’t know now there’s the question comes in you spoke about moving to a tech company you said this what are the key requirements oh I would say well it’s a question how do you define software device with wheels vice versa well in the car just take our PLC’s in the car we have approximately in a 7 Series 90 computers 90 and when you see 90 computers and with autonomous driving and electromobility more computers are coming in dramatically so it’s more or less a theoretical discussion what is is it more software with wheels or wheels with we software what we see is and you’re all of us here on dependency that IT is getting more and more important always at the end of the day perhaps priority one in the car to get priority one a secure mobility safe mobility and to get these services into the car ok could a combination of blockchain and IOT help to achieve the perfect environment for driverless cars and if yes how the question is more like maybe maybe if we abstract it a little bit does blockchain play an active role today in you were when years we have several use cases this block chains in in the car environment just take use car for example what we have in some areas of the world the problems that the mileage number which you have in the causal apps in Europe is not the one what it should have and for example with blockchain you have a transparency and you have the troika trust how much much mileage or how many mileage the car really has and the customer is happy because this managed I pay for it is the right one so this is the first first use case but they are several also in the car must apply to batteries as well like aging of the battery and all of them exactly aging insurance thinks there are many things on it but the I think complicate this thing and it’s interested probably for the DevOps outside here is if a car had an fan accident how you can trust if the software is is original or is act because it’s the last second where a car was online and its crash and the question is what happens between the crash and the time where the black box is coming out of the car is this software original or not original I mean I mean this probably is one of the biggest things we have we have we solved these problems we try to solve this problem of the batteries well in the blockchain field to guarantee their rich originality to guarantee the PMS informations because these are very important to to guarantee the cycles but all the way on how we can be sure that it’s not Hecht and but this very hard thing if you make the architecture for it then you probably you need two black boxes or or what more so it is very important for the Commission at birth I hope the blockchain technology obviously we’re taking a look on what can you do with blockchain technology obviously to have secure and unmodified information available one of the very crucial things I said the car will be part of the IOT and one of the key essentials is to have for example very very valid information about the environment that is this High Definition maps or highly automated driving maps what you have so we do evaluate how can we generate information in order to update maps and and transmit this information in a secure way and the other way down how do we get authentic data from a cloud server down and be sure that comes really from the one I asked to send me the information and this information is not manipulated so obviously that has a certain potential it’s not the only potential that we do have we since since many years are working security technologies acquired in 2012 company e script in order to be more competent in communicating securely between control units so that’s one of the technologies others is hardware driven like each of them yeah I mean there’s blockchain technology exposed here in the in the show so which is you know a very software driven topic 1% so for next to the the electricity you need to actually for example you know calculate new coins which is you know another very very fascinating topic I think we can maybe close down here the clock is running out I think this was a very interesting discussion I hope that you as the audience had some kind of like interesting takeaways and thank you very much you


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