Toyota will deliver its own operating system with one of its best-selling vehicles by next March, in an effort to catch up with the software leadership of Tesla and Chinese competitors. The internal system, known as Arene, will provide continuous updates to assist drivers with maneuvers such as lane maintenance and parking, as well as multimedia and entertainment features. It will debut in the next-generation RAV4 SUV, according to the Financial Times.
The software platform is crucial to Toyota’s efforts to lay the groundwork for autonomous driving, collect driving data, and catch up with competitors who have relied on providing digital services (both paid and unpaid) to add value to their vehicles. This is the first fruit of seven years of work by the Woven entity, a subsidiary established by the automaker to enhance competitiveness in software development and to separate itself from its slower-growing car manufacturing culture.
– The whole world, including Woven, is watching what is happening in China. We need to understand how to maintain a competitive edge in this market in the future, and Arene will definitely help us with that – said John Absmeier, Chief Technology Officer of Woven.
While Japanese automakers excel at producing robust vehicles, they lag in software. Toyota ranked third last year on Gartner’s Digital Automotive Manufacturers Index, which tracks the potential of groups to monetize their software services. Electric vehicle manufacturers such as Tesla and Chinese Nio and Xpeng are far ahead.
Other automakers, including Volvo and Mercedes-Benz, have also experienced software issues when launching new products, while German Volkswagen collaborated with American electric vehicle startup Rivian to improve its software after an initial setback. Arene’s debut in one of Toyota’s most popular models, which accounted for 10 percent of global sales last year, represents the company’s vote of confidence in its technology, as any problem could increase the risk of a widespread recall.
