In a new report, ‘The Future of eMachines – Make or Buy?’, UK-based test and development specialist Ricardo has presented an evaluation of the future of e-machine development and procurement. The company states that the aim of the report is to assist auto makers and their supply chain partners in deciding on the e-machine designs that will power future vehicles, and specifically, determine whether these need to be bespoke or can be off-the-shelf.
The company notes that the automotive industry is undergoing a significant transition in fields associated with connected, autonomous, shared ownership and electrified powertrain technologies. The report examines some of the drivers responsible for the push toward hybridization and electrification of vehicle powertrains. It also engages with one of the most pressing questions for the supply chain: how many players will be able to survive and compete during these significant changes in the industry?
Ricardo highlights that currently, the electric propulsion motors (e-machines) deployed in most current commercially available battery electric, plug-in hybrid and conventional hybrid vehicle products are of a bespoke design specific to the auto maker. However, if the sector moves toward off-the-shelf solutions, then it is highly likely that only a few players will be able to compete, as significant volumes will be necessary to offset development costs. There may still be a case for bespoke systems in certain market segments, however, in which more players may be able to survive on the lower volumes that will likely result.
The report analyses the current market in detail and aims to assist decision making for those companies wishing to engage with the market for future electrified powertrains and the e-machines that power them, and to navigate the evolution of this sector.