Despite the current popularity of artificial intelligence in the automotive industry, business and technology insights company Gartner predicts that only 5% of automakers will still be heavily investing in AI by 2029, a sharp decline from the current 95% reported interest.

It says that in order for brands to stay ahead on AI, they need a strong software foundation, tech-savvy leadership and a consistent, long-term focus on the technology. 

“Software and data are the cornerstones of AI,” said Gartner analyst Pedro Pacheco. “Companies with advanced maturity in these areas have a natural head start.”

One of the key reasons companies might fall behind is lack of budget. A recent Gartner survey found a decrease over the past three years in the IT budgets of automotive companies, curtailing their spending on AI investment. 

The company also emphasized the need for a cultural shift in companies that includes having executives who understand technology and have a tech-first approach, as well as paying "leading salaries to secure top software talent."

DIG DEEPER: Audi Drivers Can Ditch That Pesky Manual