AI adoption is growing in the automotive industry. General Motors is all in.

Business Insider

5 days ago

At General Motors ' Detroit-based electric vehicle assembly plant, Factory Zero, artificial intelligence and machine learning are playing an increasingly significant role.
AI-based vision systems can swiftly identify maintenance issues, such as battery leaks, damaged metal components, and patchy paintwork. Marketing teams use AI tools to analyze consumer behavior and adapt their market research and promotional efforts.
As General Motors looks to retain its crown as America's biggest car manufacturer amid increased competition from rivals, corporate leaders see AI as key to its success.
Meeting customers where they are
Jon Francis, chief data and analytics officer at GM, said artificial intelligence is contributing to change across the company. For one thing, he said, AI is helping GM reach consumers at the "right moment" on their car-buying journeys, enabling the carmaker to adjust production lines in "real time" to meet demand.
Using data points like customer interactions and sales and manufacturing metrics, GM's AI solutions can provide insights on how to adjust production to ensure vehicles offer the features customers want most. Francis said examples include "seamless connectivity," safety features in tune with drivers' personal needs and those of their passengers, as well as traditional and electric engines. The AI solutions can also ensure anomalies are spotted and fixed before customers receive their new cars.
Francis said the technology is also providing new GM customers with a more enjoyable driving experience. For example, with the help of AI and machine learning, GM is working with organizations like Pilot and EVgo to find the most optimal locations for EV charging stations, enabling GM drivers to power up more easily. Decisions are made by algorithm-based analyses of traffic flow and nearby EV chargers, in addition to the knowledge of human experts.
A look at the automotive landscape
GM's leaders aren't the only ones turning to AI to drive growth. The tech is making waves across the automotive sector more broadly. Research from Global Market Insights shows that AI automotive technology is a $4.8 billion industry and could reach $186.4 billion over the next decade.
As evidenced by General Motors, AI is improving efficiencies on automotive production lines and in maintenance warehouses. But this technology is also delivering benefits for the end user by overhauling the driving experience.
Wyatt Mayham, cofounder and CEO of IT consultancy Northwest AI Consulting, said that by embracing AI technologies, automotive companies may be able to design and sell "enhanced driver assistance systems" with features such as better automatic emergency braking and lane-keeping assistance.
Tariq Munir, an AI transformation advisor, also envisages a bright future for AI automotive technologies. In particular, he expects to see automakers leverage "smart, self-optimizing systems" that will "enable production optimization and supply chain planning with near-perfect accuracy."
He said automakers may be able to reduce vehicle-testing costs by performing tests virtually by combining AI with immersive technologies like augmented and virtual reality.
"This is the smart factory revolution in the making," he said, "which will enable a faster, cheaper, and more sustainable automotive industry."
Early obstacles
Despite some success so far, GM's AI and ML transformation journey could face challenges. One was ensuring its AI solutions could deliver long-term, tangible benefits for all customers, which requires ample data. Therefore, Francis said, he and his team spent significant time implementing a robust IT infrastructure to collect, process, and analyze large datasets.
This digital environment also had to be scalable from the beginning to facilitate the rapid expansion of AI adoption across GM's various departments, so Francis and his team built a "scaled compute environment." This is a type of IT infrastructure that features self-adjusting compute resources, like processing power and storage, to cater to organizational and employee needs as they change over time.
Resistance to change is another common pitfall of AI adoption within companies. Some workers are understandably concerned that AI could replace them, and using this technology can be overwhelming for those new to it.
With these concerns in mind, Francis said it's essential for business leaders to take time to understand employees' concerns about AI and provide adequate support and reassurance so that they get the most out of the tech. According to Francis, GM believes AI should augment, not replace, workers.
"At GM, we view AI as a tool to enhance job functions, allowing our highly skilled workforce to focus on tasks that humans are uniquely qualified to do, and machines simply cannot perform. Once people see the powerful benefits of using AI, resistance drops rapidly," Francis added.
Customized tools could be coming soon
Challenges aside, Francis and other industry leaders remain optimistic about the future of the automotive industry and the role of AI. For Francis, customers will increasingly demand vehicles tailored to their specific needs and packed with advanced safety and connectivity features.
"AI and data analytics are helping us deliver exactly that across our entire lineup, whether someone is looking for a traditional engine or going electric," he said."Through AI solutions, we're able to create better experiences for every type of customer and every price point."
This sentiment is echoed by Royston Jones, the global head of automotive at computational intelligence firm Altair, who said customers want "more personalized, energy-efficient, and safer" vehicles. These are things he thinks AI will continue to enable in the years ahead in the automotive industry.
"In the long run," he told Business Insider, "AI will push the industry toward mass customization, shorter development cycles, and sustainable innovation that aligns with shifting customer values and regulatory demands."