The U.S. Auto Industry is a Leader in Research & Development

Automakers and their suppliers are the world’s third biggest investor in R&D. 

Designing and producing autos is a massive engineering challenge, which is why automakers and their suppliers invest approximately $130 billion in R&D each year – behind only pharmaceuticals and technology hardware.

 

 

American Automakers are Leaders in Research & Development and Innovation

In the U.S., automakers and their suppliers invested approximately $23 billion in 2018, representing approximately $1,333 of R&D for each car sold here that year, on average.

Over the past decade, automaker R&D has driven braking technology from anti-lock brakes (which help a driver brake faster) to electronic stability control (which keeps a vehicle moving safely when the driver has lost control), to automated emergency steering systems (which control braking, steering, and throttle functions)

Meanwhile, research into the use of new materials, better joining (welding, fasteners, adhesives), and fabrication could reduce a vehicle’s body weight by 10% to 20% from 2014 through 2020.

FCA, Ford, and General Motors each spend more per year than General Electric, Boeing, AT&T, and Tesla.

 

 

 

  • Carmakers rev creativity in shift to digital ads

    Automakers are turning up spending and creativity as they move to more nontraditional advertising, videos and social media campaigns to reach customers who aren’t spending much time in front of the TV.

    Companies such as Ford Motor Co. say they are spending more money and dedicating more resources in the digital advertising space. Think banner ads on websites, messages that pop up on smartphones while using apps such as Pandora, and sponsorship of Web-based video series.

    Internet advertising revenue jumped 15.2 percent in the U.S. last year to $36.6 billion, according to the Interactive Advertising Bureau’s Internet Advertising Revenue Report conducted by PricewaterhouseCoopers. Automotive advertising was a big part of that, growing to $4.39 billion last year, up from $3.49 billion in 2011, says the group that represents more than 500 media and tech companies selling a majority of online U.S. ads.

     

  • Software Emerges as ‘Secret Sauce’ to Ford EcoBoost Success

    DEARBORN, Mich., July 26, 2013 – Mike Kluzner’s experience is considered only somewhat unusual among the ranks of Ford’s in-house software engineers. Kluzner got his start designing laser weapon systems capable of disabling the navigation systems of enemy satellites.

    His employer? The former Soviet Union.

    Today, Kluzner designs software for onboard fuel system diagnostics on Ford vehicles sold worldwide. Kluzner holds more than 20 patents on onboard diagnostics.

  • Chevrolet Receives Most APEAL Awards Among Auto Brands

    DETROIT – For a second year in a row, Chevrolet has three segment award recipients - more than any other brand - in the 2013 J.D. Power Automotive Performance, Execution and Layout (APEAL) Study. The Chevrolet Volt ranks highest in its segment three years in a row, along with Sonic and Avalanche which both received awards for the second consecutive time.

    Together with the Buick Encore, which ranks highest in its segment in its launch year, GM received four segment awards. In addition to the award recipients, a total of seven General Motors’ models placed in the top three of their respective segments.

  • General Motors Receives Four Segment Awards In 2013 J.D. Power APEAL Study

    General Motors was the recipient of four segment awards in the 2013 J.D. Power Automotive Performance, Execution and Layout (APEAL) Study released Wednesday, July 24th. Of those four, Chevrolet had three — more than any other brand in the Volt, Sonic, and Avalanche, while Buick had one, in the Encore. In addition to the four award recipients, seven GM models placed in the top three of their respective segments.

    Notably, three GM products, including the Chevy Volt, Buick Verano, and Chevy Cruze, respectively, swept the Compact Car category