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Daily Newsletter

09 August 2023

Daily Newsletter

09 August 2023

Italy plans auto comeback

Plan would involve unions, local authorities and automotive advocate ANFIA

Luke Martin August 08 2023

The Italian government plans to chart a course until 2030 in a bid to rejuvenate its national automotive industry, Reuters reported.

Industry minister Adolfo Urso reporedly said discussions were held with Stellantis on Tuesday “to set up a work programme by the end of September”.

Scheduled for completion later this year, the long term blueprint would involve unions, local authorities, and the automotive advocacy group ANFIA. 

The programme would revolve around an upswing in vehicle production within Italy, a commitment to R&D, streamlined labour costs, enhanced energy and logistical efficiency, green transition investments and an emphasis on workforce training.

The framework would be aimed at stimulating growth and innovation.

Last month, Stellantis CEO Carlos Tavares and Urso established a plan to reverse the declining Italian automotive sector. 

Tavares had set a target of manufacturing 1m vehicles a year in Italy but had emphasised government backing was needed.

AI is a key part of the digital revolution shaping the automotive sector

GlobalData estimates the total AI market will be worth $909 billion in 2030, having grown at a CAGR of 35% between 2022 and 2030. The automotive sector is undergoing a digital transformation fuelled by changing global supply-chain dynamics, tighter market competition, and rising inflation. AI is a key part of this digital revolution. Focus is directed toward driver assistance features for safety and hazard detection and greater automation of many vehicle processes and functions. Simultaneous localization and mapping (SLAM), facial recognition, and motion tracking will be vital for developing incockpit safety features such as early driver fatigue detection. For the most part, the automotive sector will not play a significant role in creating and developing generative AI hardware or platforms. Instead, it will be a key driver for innovations in machine learning platforms and associated IoT hardware for autonomous driving and ADAS. This will also help to drive advances and greater scale-up of adoption of these AI technologies in adjacent sectors such as travel and tourism and construction.

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