The global shortage of semiconductors or chips in the aftermath of the Covid-19 led pandemic has eased as per a report by Crisil. A development that led most automakers to cut down production significantly and postpone the launch of new models or to put them to production through 2020, 2021, 2022 and a good part of 2023 has finally eased to iron out any supply chain disruptions that may be there. 

Expected to address and improve predictive demand forecast, the better availability of chips should enable better production schedules. By FY2025-26, Crisil analysts are of the opinion that demand-supply dynamics should be more balance with additional manufacturing capacities getting commissioned. 

With the chips possessing distinct electrical properties that make them the cornerstone of all electronic equipment and devices, it is the auto industry that has come to use them for a variety of functions as automobiles turn increasingly software driven. While the computer and communication equipment (C&C) segment consumes roughly 63 percent of the chips produced, the auto industry consumes roughly 13 percent of them. The other industrial segments consume about 12 percent. 

With new developments such as autonomous and EVs, the use of semiconductors in automobiles is only slated to rise. With passenger vehicles the recipient of most technological innovations ahead of other segments such as two-wheelers, three-wheelers and commercial vehicles, it should not come as a surprise that they consume about 1,500 chips on average – the highest among all automobile types. 

As more advanced electronic features are incorporated, the use for chips increases. The electric passenger vehicles, for example, use almost twice as many chips as internal combustion engine (ICE) passenger vehicles do. The improving supply and slowing demand for computers and mobile phones is therefore looked upon as a blessing in disguise for automobiles and their manufacturers. 

Anuj Sethi, Senior Director, CRISIL Ratings, mentioned, “The chip shortage faced by Indian passenger vehicle makers is easing, with current availability at 85-90 percent of total requirement. The production loss on account of the chip shortage, which had halved to about 300,000 PVs on-year in fiscal 2023, is estimated to have further declined to under 200,000 PVs by the end of September 2023.”

Most passenger vehicle manufacturers are currently operating at near optimal capacity utilisation due to stronger-than-anticipated demand. New orders to be serviced remains high at about 700,000 units at the end of September 2023. 

The easing of chip shortage should help automakers honour new orders with better prediction and faster production. Global automobile demand, severely impacted by the Covid-19 pandemic, made a strong recovery in the latter part of FY2021-22. It caught automobile manufacturers off guard as they had not placed substantial orders for chips. 

The surge in demand for personal computers, laptops and mobile phones, driven by work from home, virtual learning and remote healthcare services, led to a significant chip procurement challenge for the automakers. 

Geographically, the chip ecosystem is skewed, with western nations dominating chip architecture, design, manufacturing equipment, specialised materials and chemicals. Semiconductor fabs1 on the other hand are concentrated in eastern nations, such as Taiwan and South Korea.

Given the criticality of chips in the defense and aerospace industries, the United States and the European Union have offered incentives of about USD 100 billion for localisation of semiconductor fabs. As a result, many global players are slated to spend about USD 360 billion towards setting up new facilities, which would be operational by 2025 and 2026. 

In the Indian context, demand for chips will continue to increase over the medium term, driven by the gradual rise in EV adoption and growing demand for advanced feature-laden ICE vehicles.

Comments (0)

ADD COMMENT

Link Copied!

Artificial intelligence software developer Helm.ai has launched two foundation models, GenSim-3 and VidGen-3, establishing a native Full HD (1920x1080) resolution standard for generative simulation across a 6-camera, 360-degree surround-view suite.

The architecture delivers 5x the pixel density of industry benchmarks to assist automotive developers facing the limitation where physical collection of edge cases becomes logistically restrictive.

Traditional generative world models typically cap resolution at roughly 0.4 megapixels per camera. Helm.ai’s platform outputs a native 2 megapixels per camera, yielding a synchronised 12-megapixel synthetic canvas per timestep. This specification matches the hardware parameters of production-grade vehicle cameras to reduce the domain gap for SAE Level 2 through Level 4 autonomous vehicle development.

The platform functions as a virtual sensor twin by mathematically replicating physical constraints and hardware anomalies, including lens flares, sensor banding patterns, and exposure blinding. To accommodate different neural network training routines, the pipeline can be configured to a high-speed validation mode using a three-camera setup at 30 frames per second, or a spatial context mode generating a six-camera surround view at 5 frames per second.

Data generation is split into two operational pipelines. GenSim-3 focuses on data augmentation by modifying environmental parameters such as weather, lighting, and object surfaces across real-world video segments at native 2MP resolution. VidGen-3 focuses on data creation, synthesising driving sequences from scratch by simulating environments, agent behaviours, and traffic logic without baseline video to patch geographic data gaps.

Helm.ai achieved the 2MP standard using a cluster of a few hundred GPUs rather than the thousands typically required for sub-HD video generation. This framework reduces the GPU infrastructure footprint for vehicle manufacturers and provides a method for compressing autonomous driving software onto mass-market on-vehicle compute chips.

Vladislav Voroninski, CEO and Founder, Helm.ai, said, "We are moving the industry from standard 'AI video' to authentic, hardware-accurate sensor emulation. By leading with a Full HD (2MP) standard and a 12-megapixel total aggregate capability per timestep, we have solved the resolution bottleneck that has historically limited the utility of generative AI in safety-critical systems. By optimising our compute architecture, we are giving our partners a high-performance platform to validate their autonomous stacks using synthetic data that perfectly matches the fidelity of their actual production sensors."

Comments (0)

ADD COMMENT

Link Copied!

Global automotive technology supplier Marelli has marked the 30th anniversary of its flagship electronics manufacturing plant in Guangzhou. Established in 1996 as Marelli’s inaugural manufacturing investment in China, the facility has transformed from a baseline assembly outpost into a major smart manufacturing and hardware-software validation centre.

Over the past three decades, the facility has expanded from a single operational production line with approximately 100 technicians into a 30,000-square-meter automotive electronics campus.

Today, the facility employs nearly 1,000 people and runs 66 active production lines, manufacturing components for both localised Chinese vehicle programs and global vehicle architectures.

The campus houses an adjacent, fully integrated Engineering Center that holds more than 100 registered patents. The manufacturing framework integrates high-precision assembly lines, automated optical bonding modules and site-wide rooftop solar arrays designed to manage factory energy overheads and lower operational carbon density.

The Guangzhou plant functions as a strategic industrialisation hub focused on low-cost, scalable architectures suited for the industry transition toward connected, software-defined vehicles (SDVs). The facility specialises in several high-growth hardware and display segments like advanced display solutions based on Mini-LED and MicroLED technologies. Additional key platforms include electronic control units (ECUs) for body and seat systems, zone control units, as well as digital cockpits, digital instrument clusters, and 5G telematics systems.

Ravi Tallapragada, President of Marelli’s Electronics business unit, said, “Our Guangzhou plant is a cornerstone of Marelli’s Electronics business in China and a powerful example of how innovation and advanced manufacturing can drive sustainable growth. Over the past 30 years, the team has continuously evolved its capabilities, developing advanced technologies and scalable platforms that address the rapid transformation of the automotive industry, building on long-standing collaboration with customers and partners. I’m proud of our team in Guangzhou and confident that the plant will continue to play a key role in shaping Marelli’s future globally.”

Comments (0)

ADD COMMENT

Link Copied!

Bosch MC Battery Service Innovations, a 50:50 joint venture established by Bosch and Mitsubishi Corporation, has secured its first commercial customer for its ‘Battery-as-a-Service’ (BaaS) solution. The platform has officially gone live with the opening of an automated energy service hub in Chizhou, Anhui Province.

The new logistical hub is owned and operated by Shanghai Lingzhou Technology Co. The site acts as a high-volume transit point configured specifically for heavy-duty electric trucks, allowing operators to either swap out spent battery packs or utilise fast-charging bays within a few minutes. The Chizhou station currently processes more than 100 commercial electric trucks per day.

The commercial roll-out aligns with rapid fleet electrification trends in China, where New Energy Vehicles (NEVs) accounted for nearly 30 percent of all heavy-duty truck sales in 2025. Internal market projections from Bosch indicate that over 50 percent of new truck registrations in the country will be fully electric by 2030.

The joint venture's business model separates the acquisition cost of the vehicle chassis from the battery chemistry, mitigating a core hurdle for corporate logistics fleets: accounting for unpredictable battery degradation and its subsequent impact on total cost of ownership (TCO) and residual vehicle asset valuation.

The operational framework of the joint venture utilises a collaborative technical and commercial division between both partners. As per the understanding, Bosch will provide the core software stack for the platform. Real-time operating metrics – including local ambient temperature profiles, instantaneous current loads and historical charging frequencies – are beamed continuously to cloud servers. The algorithms evaluate the exact state of health (SoH) of individual packs, run predictive wear modelling to catch cell stress anomalies and dynamically manage fast-charging protocols to minimise thermal strain.

On the other hand, Mitsubishi manages localised market deployment, regulatory anchoring and downstream financial underwriting. The data harvested through the tracking platform is being funnelled into integrated aftermarket networks to build commercial products, including predictive hardware maintenance contracts, connected usage-based fleet insurance packages and secondary-life battery storage applications.

Thomas Pauer, President of the Bosch Power Solutions division, said, "With this service, Bosch and Mitsubishi Corporation can create real added value for fleets. Although the state of health can decline due to ageing and many charging cycles, our solution allows fleet operators to keep an eye on the battery condition of their vehicles – a decisive criterion for the everyday suitability and total cost of ownership of a fleet."

Qian Yang, General Manager of the joint venture’s local subsidiary in China, said, "Our service hits a local nerve: We support battery-electric vehicles in the fleet business. This holistic approach accelerates the electrification of fleets and optimises the entire battery lifecycle. The combined expertise of Mitsubishi and Bosch is a perfect match for our customers."

Comments (0)

ADD COMMENT

Link Copied!

L&T Electronic Products & Systems (LTEPS) has formed a strategic partnership with Israeli electric propulsion technology firm EVR Motors to co-develop, manufacture and distribute next-generation electric vehicle traction motors for the Indian market.

The collaboration will focus on industrialising traction motors optimised for regional conditions. The designs are engineered for high operational efficiency, compact physical packaging and a reduced reliance on rare-earth materials. The product line will cater to multiple transport segments, ranging from electric two-wheelers and three-wheelers to passenger cars and heavy commercial vehicles.

The traction motors will be manufactured at the LTEPS production facility in Coimbatore, Tamil Nadu. When paired with LTEPS's indigenously designed Motor Control Units (MCUs), the combined hardware will provide automotive original equipment manufacturers (OEMs) with a complete, integrated EV powertrain and drivetrain solution.

LTEPS is a business unit of Larsen & Toubro that specialises in the design, engineering and manufacturing of high-reliability electronic systems across the aerospace, defence, industrial and energy sectors.

EVR Motors specialises in proprietary electric motor topologies, utilising a patented Trapezoidal Stator radial flux architecture designed to reduce weight, size and material volume while maximizing power density.

Prashant Jain, Head of L&T Electronic Products & Systems, said, “This partnership reflects our commitment to developing indigenous, high‑performance solutions that support India’s clean mobility ambitions. By combining advanced motor innovation with indigenous motor control unit, we bridge the gap between cutting‑edge technology and real‑world deployment across India’s EV landscape.”

Opher Doron, CEO, EVR Motors, stated, “Our collaboration with LTEPS enables us to scale innovation responsibly – delivering traction motor solutions that are not only technologically superior, but also manufacturable, reliable and tailored for Indian mobility needs.”

Sajal Kishore, Managing Director, EVR India, added, “India’s electric mobility transformation requires system-level powertrain integration and deep localisation. The collaboration between EVR Motors and L&T will enable next-generation electric powertrain solutions across mobility segments.”

Comments (0)

ADD COMMENT

Link Copied!