The end of the automotive supply chain

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Here’s an interesting view of the future from TechCrunch, which looks at how the automotive supply chain is set to be transformed by the wide-scale adoption of self-driving cars. It argues that the network of various tiers of suppliers to OEMs is set to be replaced by a network of software engineers as the very function of a car changes from purely a means of conveyance “into a new-age entertainment hub, with captive consumers surrounded by its technology for an average of at least five hours a week”. The key for OEMs, the author argues, will be to embrace the coming disruption and reconfigure their supply chains from being linear as they currently are, to a “platform business model”.