The electric vehicle (EV) revolution is gaining momentum. Responding to both consumer demand and international pressure to reduce CO2 emissions, automakers around the world are putting EVs at the forefront of their strategic road maps with a growing list of electrified additions joining their fleets. With big investments and new electrified models, the EV mobility sector is on the brink of major transformation.
A year of big wins for EVs
We are witnessing an exciting time in the evolution of EVs. While Tesla is often in the spotlight, vehicle electrification began long before Tesla entered the scene. EVs go back further than many realise with EV prototypes being developed in the early 19th century. In the past decade, however, progress has exploded – with momentum continuing to build in China, the U.S. and Europe.
Despite the challenges posed by the Covid-19 pandemic, which caused a 16% drop in vehicle production globally in 2020, the EV market has continued to thrive. In fact, global EV sales jumped43% increase from 2019, with over 10 million EVs now on the road. The Volkswagen Group, for example, more than doubled its EV sales in the first half of 2021 – up over 165% compared to last year. This includes the company’s popular ID.4 range, powered by Cubic3’s connected software technologies. Stellantis, one of – the world’s largest automakers, with 14 brands under its umbrella – plans to have 55 electrified vehicles in the U.S. and Europe by 2025, with a massive to $35.5 billion investment in vehicle electrification.
These milestones are clear indicators that customer demand for EVs is not only rising– it’s growing faster than many had anticipated.
Overcoming challenges in the EV revolution
While the future looks bright for EVs, there are still challenges to overcome before electric vehicles can go mainstream. One of the most pressing is building a reliable charging infrastructure. Tesla currently leads the way with a sophisticated and vast ‘supercharging’ network in the world, though these are only available to Tesla owners. That’s about to change as Tesla plans to open its stations to other types of electric vehicles this year, giving competitors access to its fast-charging technology and creating new revenue streams.
In the near term, another serious issue that may slow the growth of the global automotive market is battery scarcity. As EVs become more affordable, thanks in part to cheaper batteries), shortages are expected to become more common. Automakers are facing stiff competition for battery resources amidst pandemic-related disruptions and delays. But the EV market has proven its resiliency and ability to adapt, even amid tough times.
Leading by example: Norway’s EV success
Norway is perhaps one of the best examples of what might be achievable. In 2020, nearly 75% of all cars sold in the country were electric. It’s aim is to become the first nation on the planet to end the sale of petrol and diesel cars. As the global EV market continues to mature, the path will be strengthened towards a goal of zero emissions across electric mobility modes.
