Cars have become smartphones on wheels? Twenty years ago, you bought a BMW so you could say you had a BMW. You started the engine, the sound boomed, the neighbors sighed. Today? Customers are talking about kilowatt hours. About whether the car has a 400-volt or 800-volt architecture. And about how many kilometers you get in fifteen minutes of charging. No one asks how it drives anymore — they ask how it updates. Welcome to the time when cars have become smartphones.
I remember the first time I heard the term "over-the-air update”. I thought: “Great. Now, just like my phone, one day my car will change its settings on its own and it will take me half an hour to find the seat heating button again.” And every now and then, that’s exactly what happens. Cars have become smartphones on wheels!
But that's reality. The car today is no longer a mechanical machine, but a computer on wheels that also drives. Brand? Once a symbol of heritage, today – a question of who has better software.
Mercedes has Drive Pilot, which takes you on German highways without looking at the road at up to 95 km/h. Tesla has “FSD – Full Self-Driving (Supervised)” – which translates to: “AI drives, but if we miss the exit, it’s your problem.” In China, robotaxis already drive themselves, without a driver. It’s only a matter of time before “drive to work” will be possible here too without a human in the front seat.
Example? AUDI without circles.
In 2025, Audi launched the first model developed specifically for the local market in China – Audi E5. It does not have the usual Audi logo with four circles, but a minimalist “Audi” inscription, and was designed in collaboration with a Chinese technology partner. The car is not only designed to suit Chinese tastes – with an emphasis on a spacious rear seat and digital luxury – but also technologically: built-in UI systems, local apps and connectivity that are aligned with China’s digital infrastructure. Audi has made a clear move – if you want to survive in this market, you can no longer just “export Europe”, you have to create a car within the ecosystem where it will drive...to prepare it for autonomous driving in China. And Audi can't do that with its domestic technology.
Now to the point. When you enter the salon, you're no longer talking about the feel of the steering wheel, but about processor, chip, computing power. The question “which engine does it have?” has changed to “which charging standard and SoC standard does it use?”. And honestly — it's a logical development.
The car of the future is no longer a matter of prestige, but of specifications. Buyers compare numbers like they do with phones:
- 0–100 km/h is the “benchmark”, but 0–80 % charging counts more than that.
- Instead of engine liters, they count battery kWh.
- Instead of exhaust, TOPS of processing power counts.
And once we understand this, it becomes clear: a brand will only survive if it can update its story. Because emotions are nice, but the times when the “badge on the hood” meant something are over. So, if a Mercedes-Benz is just average, the Chinese buyer will not buy it, but will choose a domestic Chinese car that is filled with 1000 kW. And this story is already happening to brands like Porsche, where the name is just a pale shadow in the Chinese market. The car is simply not smart enough for Chinese standards.
The most interesting thing is that people accept this. That they are no longer embarrassed to admit that they are buying a car because it has a “good UI”. That it is not most important that it is elegantly designed, but that it has a stable application and that the infotainment does not “freeze” in the morning. That there are no services and that the fuel costs a good third of the good old classic. In the new generation of cars, other things are important and that is also why Tesla is the one that is perfectly comparable to the iPhone. In it, the harmony of software and chipset is connected in a symphony.
Proof that cars are more smartphones than cars
Another proof that the automotive world is finally moving into the digital sphere of “smartphones” is the case of Volkswagen. After years of delays, internal crises and unsuccessful updates to its own CARIAD platform, the concern admitted that the development of its “own operating system” simply did not work. In 2024, it therefore reversed course and invested more than $5.8 billion into the American Rivian – a startup that until recently he had not taken seriously. Together they founded a new company that would bring Volkswagen what it was missing most: a true “software-defined vehicle” architecture, a zonal electronic design and agility that the German giants themselves had never managed to establish. This is the moment when the traditional industry finally admits that the future of the car is closer to the iPhone than the Passat. And when someone like Volkswagen starts buying knowledge outside its walls, it is a clear sign – digital development is no longer a matter of prestige, but of survival.
We've actually seen this before. When phones became smart, brands that believed in the "magic of tradition" disappeared. Nokia, Blackberry, HTC — they all thought the world wouldn't change. And it did. And the automotive industry will too. They weren't just run over by time, they became about as unnecessary as Blaupunkt — once the pride of the German audio industry. If you had a Blaupunkt car radio, you were respected.
Those who understand that the car is now a platform – a mobility platform – will survive. Those who insist on the “soul of the engine” will be selling souvenirs in five years.
No religion of car brands
The value of car brands, once an almost religious category, is rapidly losing its charm. The younger buyer – a generation that grew up with subscriptions, updates and “trial” versions – is no longer buying a story about tradition, but functionality. If two cars offer the same range, the same performance and a similar user experience, no one will be willing to pay 40 % more just becausebecause it is on the lid three-pointed star or four circles. A brand is no longer a testament to success, but an emotional relic of the analog era. Prestige is moving elsewhere – into the user interface, into the efficiency of charging, into the intelligence of the vehicle. The new generation is not looking for a logo, it is looking for integration – between the car, the app and life. And when all this is unified, when the technology becomes standardized and accessible, the last reason why anyone would pay more for a feeling that once meant status disappears. In the digital world, it is no longer “tell me what you drive and I will tell you who you are”, but “tell me how your car works and I will tell you how long you will have it.”
Cars used to tell stories. Today, they tell data. And to be honest, maybe that's right. Because at least now, when a car promises to park itself, it actually does. Well, sometimes. Or at least when it's connected to the internet.
But hey, if the smartphone era has taught us anything, it's that the next model will always be better. And that - regardless of the brand - we'll want a new one again in two years.
