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Japan Aims to Sell 12 Million Next-Gen 'Software-Defined Vehicles' by 2030

Japan aims to sell 12 million next-gen SDVs by 2030. Collaboration among automakers like Toyota, Nissan, and Honda is crucial. SDVs rely on software updates to enhance vehicle functionality.

This national strategy will involve collaboration among the country's auto giants, including Toyota Motor, Nissan Motor, and Honda Motor.

The Ministry of Economy, Trade and Industry unveiled a draft of its digital transformation strategy for the auto industry, with SDVs being one of the three key pillars. The strategy also focuses on new means of transportation, such as driverless taxis, and the utilisation of vehicle data.

The primary emphasis will be on the development of SDVs, which rely on software rather than traditional hardware components like engines and parts. This means that even a car without self-driving capabilities can be upgraded through a simple software update.

To achieve this ambitious goal, Japan plans to strengthen its production capabilities to secure a 30% share of the global SDV market. The automakers will collaborate on technological advancements in areas such as generative artificial intelligence and semiconductors.

To support the development and expansion of the market, Japan is encouraging automakers to collaborate in seven key areas where unique proprietary technologies are unlikely to be developed. These areas include chips, application programming interfaces, virtual simulation, generative AI for automated inspections, cybersecurity measures, high-precision 3D maps for autonomous driving, and technology for measuring distances between vehicles and objects or pedestrians.

In addition to technological advancements, the government recognises the importance of highly skilled workers in this field. Plans are underway to launch a new framework for human resource development, seeking assistance from major domestic manufacturers, startups, and industries outside the automotive sector to train engineers.

The government's long-term plan also includes increasing SDV sales to 19 million units by 2035, further solidifying Japan's position as a leader in the global automotive industry.

  • Japan aims to sell 12 million next-gen SDVs by 2030

  • Collaboration among automakers like Toyota, Nissan, and Honda is crucial

  • SDVs rely on software updates to enhance vehicle functionality


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