Why 2026 could mark a turning point for software-defined vehicles
Dr. Martin LargeDr. MartinLarge
3 min
The SDV trends for 2026 point to a clear shift from vision to execution.Catsby_Art - stock.adobe.com
2026 will be a reality check for software-defined vehicles. Martin Schleicher, Eclipse SDV Ambassador, sees the industry at a turning point: success will no longer be defined by vision, but by the ability to deliver software reliably.
Software-defined vehicles are a
strategic turning point for the automotive industry. Yet 2026 could be
the year when it becomes clear which manufacturers are able to translate
ambitious SDV concepts into robust, scalable systems — and which struggle with
organisational and technical legacy structures.
In the LinkedIn post “Top SDV
trends for 2026: Insights from Eclipse SDV Ambassadors”, Filipe
Prezado, Eclipse SDV Working Group Ambassador, and
Martin Schleicher, Eclipse SDV Ambassador, outline what they see as the next
phase of SDV development: less vision, more delivery. We spoke to Martin
Schleicher to better understand what this shift means in practical terms
Martin Schleicher
Hybrid architectures instead of a radical reset
One of the key SDV trends for 2026 is the move towards zonal architectures. However,
Schleicher does not expect a disruptive break with existing systems. Instead,
hybrid zonal–central architectures are likely to dominate, combining central
compute units with gradually introduced zonal concepts.
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The main reason, he argues, lies in economic reality. “OEMs
are increasingly focused on costs, both development costs and unit costs,”
Schleicher explains. Fully new architectures are only viable if they deliver
clear economic benefits. In practice, most manufacturers will pursue an
evolutionary migration of existing electrical and electronic architectures —
optimised, adapted and extended with zonal elements, but not rebuilt from
scratch.
This reflects a pattern already visible in many SDV
programmes in 2025. Transformation must remain compatible with platform cycles,
variant logic and industrial scale. Architecture decisions are therefore driven
not only by technology, but also by business constraints.
Artificial intelligence delivers its biggest impact in
engineering
Key SDV Trends for 2026
Execution becomes the new benchmark: OEMs must prove they can roll out updates and new functions consistently and without disruption.
Hybrid architectures instead of radical resets: Zonal architectures will advance, but mostly through hybrid zonal–central approaches, driven by platform constraints and cost pressure.
AI creates its fastest impact in engineering: The biggest leverage is not in flashy in-vehicle features, but in software development, testing and validation, boosting productivity within months.
“From my perspective, the biggest gains are in software
development and validation,” he says. Productivity improvements through AI —
for example in test automation, code analysis or fault resolution — can become
visible within weeks or months. AI-based vehicle functions, by contrast, often
show their impact only after series production, sometimes three years later or
more.
As a result, AI becomes less of a feature generator and more
of a productivity engine for the SDV factory. OEMs aiming to gain speed in 2026
need to industrialise AI first in their toolchains and development processes.
How SDV maturity can be measured in 2026
The central question remains: how can SDV maturity be
assessed beyond roadmaps and marketing claims? For Schleicher, the answer is
operational and measurable.
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SDV works, he argues, “when an OEM is able to deliver new or
fixed software regularly, in short cycles — monthly or quarterly — to a large
vehicle fleet.” Fast feature rollouts are just as important as the ability to
address defects and security issues quickly.
Another indicator of maturity is regional flexibility. OEMs
must be capable of offering “regionally differentiated software on the same
vehicle architecture”, as customer expectations
vary significantly between markets such as the US, Europe and Asia. In
this sense, SDV becomes measurable through release cycles, fleet impact and
response speed — not through architecture slides.
SDV is not an end in itself for OEMs. The debate around
monetisation and new revenue models has accompanied the concept for years,
often focusing on feature-on-demand or subscription-based offerings. Schleicher
takes a far more cautious view.
He identifies three core economic benefits of SDV. First,
scale effects: the same software can be deployed across a large number of
vehicles and platforms, including vehicles already in the field, whether for
new functions, bug fixes or security updates. Second, speed: rapid update
capability is particularly critical in the context of cybersecurity. Third, SDV
enables functions that were not defined at the time of vehicle development,
making software a tool for long-term customer retention.
When it comes to direct end-customer monetisation, however,
Schleicher remains sceptical. “I am very cautious about software-based business
models where end customers purchase significant additional software during the
vehicle’s lifetime,” he says. Functional SDV architectures and reliable
execution must come first before realistic demand for such models can be
assessed.
2026 as a reality check for SDV
The trends for 2026 point to a clear shift from vision to
execution. Hybrid architectures prevail for cost reasons, artificial
intelligence delivers its fastest impact in engineering, and SDV maturity is
measured by release capability and fleet-wide impact. Business benefits are
more likely to come from scalability and customer retention than from
short-term subscription revenues.
In this environment, international competition is
accelerating. Schleicher describes it as a faster, more dynamic game that
requires a new digital culture — not just new technology. As a result, 2026 is
likely to be less about the most ambitious SDV strategies and more about
identifying which OEMs are truly able to deliver software at scale.
About Martin Schleicher
Martin Schleicher is an independent consultant
specialising in software strategy, business models and ecosystem development in
the automotive industry. He has more than 25 years of experience and advises
OEMs, suppliers and technology providers on their transition towards
software-defined vehicles.
From 2021 to 2025, Schleicher served as Head of Software
Strategy at Continental Automotive. Prior to that, he held various management
positions at Elektrobit, with responsibilities including corporate strategy,
product and portfolio management and partnerships.
He has been actively involved for many years in automotive
initiatives and standardisation bodies such as AUTOSAR, Eclipse SDV and SOAFEE.
Schleicher is also a regular speaker at international conferences and serves on
several programme and advisory boards, including the Automobil-Elektronik
Kongress (AEK), the Automotive Computing Conference (EU/US) and the automotiveIT car.summit.