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Digital Transformation of the Automotive Industry: An Integrating Framework to Analyse Technological Novelty and Breadth

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  • Henry Lopez-Vega
  • Jerker Moodysson

Abstract

Research demonstrates that digital technologies stimulate industrial transformation by enabling new interdependencies with firms outside and across firm and industry boundaries. However, we know little about the degree of novelty and breadth of digital technologies that have the potential to transform industries. Understanding the degree of novelty (spanning from radical to incremental) and breadth (spanning from one sector to multiple sectors) of digital technologies is important for measuring their impact on industrial transformation. Through a topic modelling research approach on autonomous vehicle technology patents from firms operating in Sweden and a confirmatory survey with the inventors of those patents, this paper reveals 26 digital technology topics that are transforming the automotive industry. The digital technology topics are distributed across four ideal-typical technology categories for transformation: augmenting, spanning, transforming, and disrupting. This study illustrates the value of studying digital technologies’ transformative nature using an integrating framework; it reveals that digital technologies in the automotive industry have mainly incremental characteristics but that these characteristics provide necessary preconditions for the few more radical technologies to achieve their potential in transforming the industry.

Suggested Citation

  • Henry Lopez-Vega & Jerker Moodysson, 2023. "Digital Transformation of the Automotive Industry: An Integrating Framework to Analyse Technological Novelty and Breadth," Industry and Innovation, Taylor & Francis Journals, vol. 30(1), pages 67-102, January.
    • Handle: RePEc:taf:indinn:v:30:y:2023:i:1:p:67-102
    DOI: 10.1080/13662716.2022.2151873
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    Cited by:

    1. Kyunam Kim, 2024. "An Input–Output Analysis for the Economic Potential of a New Convergence Industry: A Focus on the Autonomous Vehicle Sector in South Korea," Sustainability, MDPI, vol. 16(20), pages 1-21, October.
    2. Olusola O. Ajayi & Anish M. Kurien & Karim Djouani & Lamine Dieng, 2024. "4IR Applications in the Transport Industry: Systematic Review of the State of the Art with Respect to Data Collection and Processing Mechanisms," Sustainability, MDPI, vol. 16(17), pages 1-32, August.
    3. Raluca-Florentina Cretu & Daniela Tutui & Viorel-Costin Banta & Elena Claudia Serban & Laura - Eugenia - Lavinia Barna & Romeo-Catalin Cretu, 2024. "Effects of Artificial Intelligence-Based Technologies Implementation s on the Skills Needed in the Automotive Industry A Bibliometric Analysis," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 26(67), pages 801-801, August.
    4. Bicong Wu & Syoum Negassi, 2023. "Symbiotic Evolution Mechanism of the Digital Innovation Ecosystem for the Smart Car Industry," Sustainability, MDPI, vol. 15(20), pages 1-24, October.

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