At CES, legacy automakers scramble to keep up in AI arms race
By Abhirup Roy and Joseph White
LAS VEGAS (Reuters) — As artificial intelligence becomes the new horsepower for car buyers, established automakers are redoubling efforts to match the digital features that set Tesla (NASDAQ:TSLA), BYD (SZ:002594) and other new rivals apart, industry executives and analysts said at the CES technology show in Las Vegas.
More than a decade after Tesla debuted cars with software that could be upgraded over the air like a smartphone, established automakers are still running behind in efforts to develop what the industry calls «software-defined vehicles,» industry executives said this week.
Not so long ago, automakers boasted about horsepower and towing capabilities in their cars and pickups, but in the fast-changing world of technology that now dominates the auto industry, software-driven enhancements are prominent in consumers' minds.
The transition to software-dominated cars is challenging. Vehicles require higher standards for durability and safety than a phone. ChatGPT and other new AI systems are error-prone, and changing at a far more rapid pace than automakers' traditional product cycles.
Digital technology companies often test technology on customers before it is ready for sale. For automakers, that has not been the norm so far.
Mercedes-Benz (OTC:MBGAF) has launched a «beta program» to test how ChatGPT artificial-intelligence technology can help drivers have more natural dialogue with the vehicle's infotainment systems.
«In the past, Mercedes was never thinking about doing a beta program,» Mercedes software chief Magnus Oestberg said in an interview at CES. «But we have got to figure out how a large language model is actually going to be beneficial.»
Allowing Mercedes customers to
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