Artificial intelligence (AI) has become a driving force in the automotive sector, revolutionizing the way companies innovate and improve their businesses. Recent patents highlight the diverse applications of AI in areas such as crop yield prediction, anomaly detection, machine learning model-based processing, and contextual enhancement of user service inquiries. Automotive companies are intensifying strategic AI investments, reflected in increased deals, while observing shifts in hiring patterns for AI roles within the industry’s competitive landscape. The impact of AI extends beyond the automotive sector, influencing various industries. GlobalData’s Artificial Intelligence (AI) Market report helps keep abreast of the latest trends in artificial intelligence, market opportunity forecast and the competitive landscape. Buy the report here.

This article presents a quarterly round-up of the latest trends in the automotive industry regarding AI. It provides an overview of recent developments in AI-related deals, talent acquisition, and patent filings within the automotive industry.

Diverse applications of artificial intelligence in automotive industry

Automotive companies are leveraging Artificial Intelligence (AI) technologies to innovate and improve their businesses. Recent patents reveal the applications of AI in various areas. One patent focuses on crop yield prediction at the field- and pixel-level, using high-elevation digital images and other data points to estimate crop yield. Another patent discusses machine learning for anomaly detection based on logon events, where unsupervised and supervised machine learning models are used to generate probability scores and contribution scores to identify anomalous logon event data. Additionally, a patent describes chain schedule management for machine learning model-based processing, utilizing scheduling algorithms to determine execution environments for machine learning requests. Lastly, a patent presents contextual enhancement of user service inquiries, refining service inquiries based on user context and generating predicted modifications. These patents provide automotive companies with valuable AI technologies and applications to enhance their operations and decision-making processes.

The industry experienced a 30% decline in the number of AI-related patent applications in Q3 2023 compared with the previous quarter. On an annual basis, the number of AI-related patent applications in the automotive industry witnessed a drop of 19% compared with Q3 2022.

Strategic deal trends in artificial intelligence in automotive industry

Automotive companies are not only focusing on innovation to enhance their patent portfolios but are also making strategic investments in AI. These investments aim to secure lucrative deals with partners and position themselves at the forefront of industry advancements. Some of the recent deals underscore the importance of AI in the automotive industry.

In Q3 2023, the number of AI-related deals in the automotive industry grew by 22% compared with Q3 2022. On a quarterly basis, there was 22% increase in the number of deals in Q3 2023 compared with the previous quarter.

Impact on hiring

In terms of new job posting, in Q3 2023, the automotive industry experienced a 6% drop compared with the previous quarter. On an annual basis, job postings also declined by 26%. Notably, computer and mathematical occupations, with a share of 25%, emerged as the top AI-related job roles within the automotive industry in Q3 2023, with new job postings drop by 4% quarter-on-quarter. Architecture and engineering occupations came in second with a share of 14% in Q3 2023, with new job postings rising by 8% over the previous quarter. The other prominent AI roles include management occupations with an 8% share in Q3 2023, and installation, maintenance, and repair occupations with a 5% share of new job postings.

Robert Bosch, Continental, Tesla, AB Volvo, and Valeo are among the top companies leading in AI hiring within the automotive industry.

Countries driving adoption of artificial intelligence in automotive industry

The US is the leading country in AI adoption within the automotive industry, boasting the highest number of AI-related patents, jobs, and deals. Meanwhile, Japan, China, South Korea and Germany also maintain significant positions in AI adoption within the automotive industry.

In summary, the automotive industry's integration of artificial intelligence (AI) highlights a strategic emphasis on patent acquisitions, investments, and talent acquisition, Despite a recent decline in AI-related patent applications, the sector's resilience is evident through an upswing in strategic deals and expanding partnerships, showcasing a persistent commitment to AI advancement within the industry.

To further understand GlobalData's analysis on artificial intelligence in the automotive industry, buy the report here.

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GlobalData, the leading provider of industry intelligence, provided the underlying data, research, and analysis used to produce this article.

GlobalData Patent Analytics tracks bibliographic data, legal events data, point in time patent ownerships, and backward and forward citations from global patenting offices. Textual analysis and official patent classifications are used to group patents into key thematic areas and link them to specific companies across the world’s largest industries.