Aiming for the World’s Best Vehicle Systems through Collaboration

The era of “software-first” monozukuri is also arriving for vehicles. Until now, hardware has determined most of the performance and functionality of a vehicle. In the future, however, software will define the vehicle’s value (functionality and performance), and this value will continue to be updated even after the vehicle is purchased.

Specifically, in the past, it was not easy to enhance the functionality and value of a new vehicle after it was sold. As a result, OEMs and suppliers had to meticulously design software and hardware to maximize the vehicle’s value at the point of sale before delivering it to the market. The advent of the “Software Defined Vehicle (SDV)” triggered a major change in this conventional approach.

SDV is a vehicle that can update the software that controls the vehicle using a bidirectional communication function between the inside and outside of the vehicle, thereby increasing functionality and enhancing performance even after the vehicle is sold. By continuously updating the vehicle through software updates, users can continue to drive the same vehicle for a longer period of time.

With the advent of the SDV era, the development process will undergo significant changes. Beyond the applications pre-installed at the time of sale, software development must now account for the vast array of applications and additional services that may be installed in the future.

In addition, developing hardware capable of handling such software updates requires changes to conventional methods. For example, running software that exceeds the limits of the hardware and imposes a heavy processing load can cause the vehicle's gauges to freeze or restart while driving, leading to extremely dangerous driving conditions and potentially serious accidents.

It is essential to prevent such malfunctions in vehicles that are responsible for human lives. We need “proactive” development to prevent errors in both software and hardware, and to ensure that even if an error does occur, the system will continue to operate without problems.

• Related article: Cars Growing with Society, Moving to a New Chapter in Mobility

To achieve the advanced and large-scale mobility development required in the upcoming SDV era, DENSO has launched a new project. On June 13, 2024, DENSO announced a basic agreement for a comprehensive alliance with NTT DATA, a ‘giant’ in software development in Japan.

This basic agreement aims to deepen the strategic, human resource, and technological cooperation between NTT DATA and DENSO, contributing to the advancement of Japan's automotive industry and addressing social issues. By integrating and enhancing their advanced development methods and AI utilization achievements, the two companies strive to rapidly and efficiently develop and deliver increasingly large-scale and sophisticated in-vehicle software for the SDV era.

NTT DATA and DENSO have formed alliance in various fields over the years. In 2016, DENSO invested in NTT DATA MSE. In 2021, the two companies conducted a “Verification Test Using Vehicle and People Flow Data to Innovate the Mobility Experience”, and in 2022, they announced the start of building a cross-industry ecosystem for electric vehicle batteries.

Building on these developments, the current alliance will focus on the following four activities.

Regarding the background of these series of initiatives, Ryo Takashima, Project General Manager of the Design Dept.2, Software Engineering Division 1, DENSO, who is in charge of this alliance, commented as follows.

“In the short term, we aim to expand our team of software engineers and increase the number of projects we can manage simultaneously, while improving our development capabilities. NTT DATA excels in software development methodologies and transforming software into viable business solutions, and we hope to effectively integrate this expertise. In the mid- to long-term, we will leverage the strengths of both companies to realize the ideal architecture for SDV and tackle various social issues, such as logistics challenges and mobility for the elderly.” (Takashima)

What strengths of the two companies will be beneficial in the development of large-scale software in this alliance? Takashima says that DENSO has experience in integrating hardware and software, and its know-how will be put to good use.

“Currently, the integration of ECUs in vehicles is progressing, and DENSO is now taking on the ECU-related tasks that OEMs have originally handled. Given our track record of creating integrated ECUs in-house, we believe we can leverage our strengths when integrating ECUs from other vendors as well.” (Takashima)

NTT DATA possesses a variety of technologies that will be indispensable for the future mobility society, including server technology, AI technology, and cybersecurity. Naoyuki Suzuki, Deputy General Manager of DENSO Business Division at NTT DATA MSE, who has been leading this alliance, describes its strengths as follows.

“NTT DATA has a proven track record of managing Japan's core systems. In this role, we not only build systems but also enhance and customize functionalities in response to societal changes. Considering the spread of SDVs and the accompanying data analysis, I believe NTT DATA, with its operational know-how, can play a significant role.” (Suzuki)

Mr. Suzuki explains the significance of this alliance based on the strengths of the two companies as follows.

“In the future, various social issues are expected to arise. While some issues can be solved by vehicles alone, I feel that these are limited. Similarly, the issues that can be addressed solely by networks and cloud systems that gather data are also limited. Therefore, it is necessary for vehicles and network-cloud systems to collaborate in addressing these issues. This is why I believe it is meaningful for DENSO and NTT DATA, each with their own strengths in these fields, to collaborate.” (Suzuki)

This alliance is not limited to short-term software development but is also an initiative that looks ahead to long-term changes in the mobility society. In what can be called the “eve of automated driving,” Mr. Takashima speaks of his vision for the future of the mobility society as follows:

“When automated driving becomes widespread, I think the landscape surrounding mobility will change dramatically, but it will take some time for this to happen. Before that time, networked vehicles and vehicle-to vehicle communication should become commonplace. Additionally, with the advent of AI such as ChatGPT, the dream that many people have envisioned of “a vehicle that becomes your partner with its own will” has come much closer to reality. I believe that incorporating this kind of AI in the future will make it easier for drivers to use even complex functions” (Takashima)

Finally, Mr. Takashima and Mr. Suzuki each share their outlook and enthusiasm regarding the prospects after this alliance as follows.

“Through this comprehensive alliance, we hope to continue expanding our collaborations in the future. We feel that we are entering the next stage to take on even larger projects, and we strive to contribute to society.” (Takashima)

“We want to expand our collaborative efforts even further using the framework of this comprehensive alliance. Not only do we aim to broaden the range of products developed in collaboration, but we also seek to deepen our cooperation in business practices, corporate culture, and educational systems. Moving forward, we will strive under the slogan ‘Creating the World’s Best Vehicle Systems’.” (Suzuki)