Software is eating the world - The Automotive Industry

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The Road AheadCloudBees Automotive Industry EventBöblingen, April 2016@Sacha Labourey, CEO

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Automation is the Key

Photo courtesy of Steve Jurvetson via Flickr

From 12.5 hours…

Time to Assemble a Model-T

…to 93 minutes!

Ford built 300’000 cars with 13’000 employees

Efficiency!

More than his 300 competitors with … 65’000 employees!

MARKET DISRUPTION


“Software is eating the world.”

“Every business is in the software business.”

“It’s anapplication economy.”


Photo courtesy of Naddsy via Flickr

“An Airbus 320 takes off or lands every 2.5 seconds somewhere in the world. Every 30 minutes they generate 1TB of information – that’s a lot of terabytes”

Simon Bradley, Airbus Group

©2016 CloudBees, Inc. All Rights Reserved 9http://www.thelocal.de/20160119/software-malfunction-means-luftwaffe-can-only-fly-in-the-day

©2016 CloudBees, Inc. All Rights Reserved 10Photo courtesy of Steve Jurvetson via Flickr

©2016 CloudBees, Inc. All Rights Reserved 11Photo courtesy of Steve Jurvetson via Flickr

If, 10 years ago, you had told engineers at leading car vendors their that cars should be updatable “over the air”, to fix them but also to add features, they’d have told you you’re not being serious.

In 2016, this is the new baseline to reach.

MARKET DISRUPTION

This is the first time in the history of the car industry that a car can INCREASE its competitive value AFTER it was bought!


Tomorrow is around the corner…

What car will you buy to your grand kids?

250 deaths 2 deaths

Self-driving car software – casualties in the last 12 months:

?

SOFTWARE IS KING


Time

v1.0 Release

v2.0 Release

Time

Continuous ReleasesRisk/Cost

Risk/Cost

Versioned Software Continuous Delivery – “As a Service”

Reduce risk, reduce experimentation cost, fail-fast


Speed + Friction ?FRICTION + SPEED =

HEAT!


Continuous Delivery and Automation are Key

Development Production

Commit Build Test Stage Deploy

Feedback Loop

$The Business


Jenkins – the #1 Automation Platform for CI/CD

Complex Delivery Pipelines

Delivery of App and Config

Robust and Highly Available

Results Report

SOURCE CODE

CONTROL SYSTEM

Code Commit

</>Development Production

Continuous Integration/Delivery

Commit Build Test Stage Deploy

Deliver Better Software Fasterwith CloudBees Jenkins Platform


Jenkins is the Hub of the CD/DevOps Ecosystem

Over 1000 Jenkins

Plugins

Integration with over 100 DevOps Tools

Orchestration of the DevOps

Toolchain

End-to-End CD Pipeline

Management

Code & Commit Build & Config Scan & Test Release Deploy


Automation is the Key

Photo courtesy of Steve Jurvetson via Flickr

Good News: We already had to solve « pipeline » issues with automation

Because it can’t be done alone

But building cars is particularly hard…

CarmakerTier-1 suppliersTier-2 suppliersTier-3 suppliers

softwaresoftwaresoftwaresoftwaresoftwaresoftwaresoftwaresoftwaresoftwaresoftwaresoftwaresoftware

software

software

software

software

software

software

software

TODAY

Every company in the supply chain is using its own CD pipeline, isolated from each other

CarmakerTier-1 suppliersTier-2 suppliersTier-3 suppliers

softwaresoftwaresoftwaresoftwaresoftwaresoftwaresoftwaresoftwaresoftwaresoftwaresoftwaresoftware

software

software

software

software

software

software

software

TOMORROW

The real software pipeline is the industry-shared pipeline

But a matter of WHEN

It is not a matter of IF

REALITY CHECK

CONCLUSION• The software revolution in automotive is

en route – nothing can stop it• Some new titans will emerge (Google),

some old titans will disappear (Kodak)– THIS REPRESENTS A HUGE OPPORTUNITY!

• Possibility of de-intermediation of vendors–Margin goes to software, not “hardware”

• The race has already started, GO GO GO!