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OTA or Obsolete: Why automakers must fix software or fall behind
TOIauto | July 7, 2026 6:39 PM CST

This article is authored by Sai Sridhar, Managing Director – Elektrobit India Pvt. Ltd., CRO – APAC.

The automotive industry is at an inflection point, and software is now in the driver’s seat. For decades, vehicles were defined by engineering precision, manufacturing scale, and mechanical innovation. That era is over. Today, vehicles are evolving into software-defined platforms, and with that, a hard truth is emerging: automakers who cannot manage software post-production will struggle to stay competitive.

This is precisely why Over-the-Air (OTA) updates are no longer optional; they are fundamental. In the past, improving a vehicle after it left the factory required costly service campaigns, dealership visits, and logistical coordination. That model simply does not scale in a world where a single car runs millions of lines of code and where customer expectations are shaped by real-time digital experiences. The ability to update, improve, and secure vehicles remotely is no longer a differentiator; it is a baseline capability. Speed is now strategy.

In a hyper-competitive market, being first matters, but staying relevant matters even more. OTA fundamentally changes how vehicles are built and delivered. Automakers no longer need to wait for perfection before launch. Instead, they can bring products to market faster and evolve them continuously through software.

This shift compresses development cycles, reduces time-to-market pressure, and redefines how innovation is delivered. Vehicles are no longer static products; they become dynamic platforms that grow over time. But the impact goes far beyond speed.

OTA updates are reshaping the economics of the automotive industry. Suppliers and OEMs can shift from a “launch-and-forget” mindset to an iterative, lifecycle-driven approach. Non-critical issues no longer delay production. Features can be refined post-launch. Performance can be optimized continuously. In effect, OTA enables a more agile, software-driven value chain.

For consumers, this transformation is even more profound. Today’s drivers do not compare their cars to other cars; they compare them to their smartphones. They expect seamless updates, new features, and improved performance over time. OTA delivers exactly that. A vehicle purchased today does not remain the same a year later; it becomes better, smarter, and more responsive.

This fundamentally changes the ownership experience and, more importantly, the relationship between brands and customers. However, perhaps the most critical role of OTA lies in an area that cannot afford compromise: cybersecurity.
As vehicles become more connected, they also become more exposed. Vulnerabilities are no longer hypothetical; they are inevitable. The question is not whether issues will arise, but how quickly they can be addressed. OTA provides the only scalable mechanism for responding to security threats in real time across entire fleets. Without it, maintaining trust in connected mobility would be extremely difficult.

Regulation is already catching up to this reality. Frameworks such as UNECE R156 are enforcing accountability around software updates across the vehicle lifecycle. Compliance is no longer just about meeting standards; it is about demonstrating the capability to manage software responsibly at scale. OTA is central to that capability.

Looking ahead, the direction is clear. As software-defined vehicles become mainstream, OTA will separate leaders from laggards. Automakers that embrace it as a strategic capability will unlock faster innovation, stronger customer engagement, and more resilient business models. Those who treat it as an add-on will find themselves constrained by legacy processes and rising complexity.

The future of mobility will not be decided solely on horsepower or hardware; it will be defined by how intelligently vehicles evolve over time. And OTA is what makes that evolution possible.

Disclaimer: Views and opinions expressed in this article are solely those of the original author and do not represent any of The Times Group or its employees.


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