Gartner Warns of Sharp Slowdown in Automotive AI Investment

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Like a Sunday driver dawdling along a road and holding up traffic, AI investment in the automotive sector displays no ambitions to win any races.

A new Gartner forecast signals a dramatic recalibration in how global automakers approach AI, suggesting that today’s wave of industry-wide enthusiasm will give way to consolidation, strategic restraint, and a widening technological divide among manufacturers.

According to Gartner, only 5% of automakers will continue expanding AI investments at current levels by 2029, a steep fall from more than 95% today. Analysts say the shift reflects a coming maturity curve: companies are racing into AI projects without the foundational software and data capabilities needed to turn early excitement into tangible ...