Electrification, connectivity, autonomous driving, and diversifying mobility services are all converging, and they will drastically reshape the auto industry by 2030, Hans-Werner Kaas, senior partner at McKinsey & Company, said Thursday Autoblog's UPSHIFT event in Detroit.

With Tesla Motors setting the pace for electric cars, vehicles that don't use gas have become viable methods of transportation. Electric cars, though, are facing variables that could hold the vehicles back, which include technology, regulation, customer preferences, and readiness of infrastructure.

Connectivity, on the other hand, will unlock new outlets for automakers as customers are willing to switch brands based on connectivity. Being able to offer unique services, explains Kaas, will be key for future companies.

Once technological and regulatory issues are resolved, up to 15 percent of new vehicles could be autonomous, he said. Just like electric vehicles, self-driving cars face an uphill battle, which Kaas believes boils down to regulation, legal liability, and technological hurdles. Use of autonomous vehicles varies drastically as Kaas claims roughly 56 percent of drivers would make the switch to fully-autonomous cars, while approximately 86 percent would make the switch if they could also still drive the vehicle.

Lastly, Kaas explained how mobility would play a major role in the automotive landscape. Consumer mobility behaviors are changing, which could lead to one out of 10 cars in 2030 being a shared vehicle. These shared cars would cover more miles than non-shared vehicles, and as Kaas points out, would mostly be used in dense cities. The new vehicles coming out in 2030 would be catered to shared mobility services with the customized needs of consumers leading the way for highly-customized cars.

Clearly changes are coming to the automotive industry at a rapid pace. Kaas believes that the industry needs to prepare for uncertainty, leverage partnerships, drive transformational changes, and reshape value propositions as mobility changes could alter the field for good by 2030.

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