Why Smart Cars Still Feel Dumb

Plus: AI job apocalypse, Apple jumps to iOS 26

Here’s what’s on our plate today:

  • 🚗 The Laboratory: Why your car still doesn’t “get” you

  • 📊 Stats of the Week: AI layoffs, Nvidia records, the internet gets even bigger

  • 📰 Headlines You Need: Smart traffic, Meta moves, Apple leaps ahead

  • 🤖 Quick Poll: How comfortable are you with AI in your car?

  • 🧰 Weekend To-Do: Explore new worlds, design faster, create cinematic videos

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The Laboratory

The future of smart cars remains a work in progress

As an avid user of connected car technology, I’ve been waiting for car manufacturers to create smarter infotainment systems that make a meaningful impact. So far, I’ve encountered features that sound intelligent but fail to impress. But I haven’t lost hope, despite headlines stating that Apple has abandoned its electric vehicle project, which I believe would have been a software-first automobile capable of competing with automakers like Tesla and BYD.

Apple’s now-defunct idea resurfaces in my mind because of another headline I read this morning over coffee. Amazon’s deal with car-maker Stellantis to create in-car software is winding down. If successful, the SmartCockpit project would have used Amazon’s in-car technology to develop features that made vehicles feel like an extension of the home. This would have involved detecting the driver and personalizing settings such as the thermostat, navigation, and even home automation—like turning on lights. So, the wait for a tech-first car we can personalize has gotten longer.

This, however, is not the only deal to have fallen through. Since automakers, it would seem, are struggling to develop smart-vehicles by themself, let us take a look at why collaboration between tech giants and automakers matters, and what is a possible timeline for the launch of a truly smart, personalized automobile.

How smart cars evolved from F1 to everyday roads

As is the case with most modern technology, the idea of connected cars emerged as we began building bigger cities that needed more than an organized car park to ensure everyone found a suitable spot. The first connected car technology was used in Formula 1.  In 1980, the goal was to enable the car to transmit information to a data box. The idea was to analyse the data to make the cars go faster. But this was just the beginning.

By 1996, automakers were equipping vehicles with emergency call functions that automatically notified the nearest emergency center in the event of a crash.

A few years later, with the urban landscape metamorphosing into complex mazes, GPS was introduced to allow navigation to a new level, and also allowed stolen vehicles to be traced.

By 2004, we had vehicles that came with SIM capabilities, and drivers could now access messages, the weather, and office functions while online. The feature also propelled drivers’ reliance on predictions of heavy traffic and jams. Then, in 2007, Steve Jobs took the stage and announced the launch of “an iPod, a phone, and an Internet communicator” in one device, shifting automakers’ focus from making vehicles more connected to integrating smartphones into infotainment systems.

Tech-auto collaborations: High hopes, mixed results

As automakers focused on integrating smartphones into their vehicles, they also worked on increasing the number of onboard computer systems and introducing screens into their vehicles that would serve as an alternative to the mobile device. Automakers also moved to sign deals with technology companies to move the gears on connected car tech. Some of the major deals between car manufacturers and tech companies include:

Volkswagen and Rivian: The two companies announced a joint venture in 2024 focused on developing electric vehicle technology and software. As of now, the project is going strong with Volkswagen increasing its investment in Rivian to $5.8 billion.

General Motors and Nvidia announced a collaboration of AI chips and software for developing autonomous vehicle technology and improving factory workflows.

Foxconn and Mitsubishi Motors are also collaborating to develop a new electric vehicle model.

However, not all deals appear to be successful. The deal between Amazon and Stellantis is not the only one to have been shelved, Microsoft and Cruise’s (GM's Autonomous Vehicle Unit) deal to accelerate the commercialization of self-driving vehicles using Microsoft's Azure cloud platform hit a roadblock when General Motors decided to halt its robotaxi development, Microsoft announced an expected $800 million impairment charge in 2025.

Even Tesla and Toyota initiated a partnership in 2010, aimed at developing electric vehicles, including the RAV4 EV. However, the deal ended when Toyota sold its shares in Tesla in 2017.

Despite setbacks, the connected-car dream lives on

As of 2025, connected car technology has evolved from a niche innovation into a mainstream automotive standard, transforming vehicles into intelligent, networked platforms.

The global connected car market is projected to reach $250 billion by 2025, with approximately 35% of vehicles equipped with connected features. As more vehicles come with built-in connectivity, enabling real-time traffic data, predictive maintenance, and advanced safety features, the industry continues to evolve rapidly.

V2X technology is evolving and allowing vehicles to communicate with each other and the infrastructure. Vehicle-to-vehicle communications have also improved, allowing vehicles to share information about speed, position, and direction, helping to prevent collisions. The emergence of AI also pushed the pedal on improvements in connected car tech.

AI is bringing smart, personalized driving closer to reality

Volvo is already working on integrating Google's Gemini AI into its vehicles, allowing drivers to interact using natural language for tasks like navigation, accessing vehicle manuals, and controlling infotainment systems. This reduces reliance on touchscreens, marking another big step towards the dream of personalized vehicles.

Companies like Tesla, BMW, and Mercedes-Benz have already started using AI to analyze driver patterns and behaviors. By doing so, they can automatically adjust settings such as seat positioning, steering preferences, and suspension dynamics to match the unique driving style of each individual.

AI is also customizing infotainment options based on user preferences, creating a more intuitive and personalized in-car entertainment experience.

Until then, it’s stiff seats and bigger screens

While I’ve never been a firm believer in trickle-down economics, I concede that the concept applies well to automobiles. The bleeding edge of technology first makes its way into the ultra-luxury segment, where the features are tempered and fine-tuned before being introduced into mass-market vehicles.

If I’m correct, and I truly hope I am, soon we’ll be driving vehicles that understand our preferences, adjust to different driving styles, recognize our musical tastes, and even take the wheel for a relaxing commute home in the evening. In the meantime though, we will have to manage with the finicky touch screens, the hesitant voice assistants, and the constant struggle to find a comfortable driving position.

🚗 TL;DR

  • Smart car hype > smart car reality (so far).

  • Amazon, Apple, Microsoft—big tech’s auto dreams keep stalling out.

  • Every car wants to be an iPhone on wheels, but most are still dumb screens with Bluetooth.

  • AI is getting closer to making your car truly “know you”—but for now, we’re all stuck fighting the seat settings.


    Bottom line: The self-customizing, ultra-smart car isn’t dead… but for now, you’re still your own co-pilot.

Quick Poll

How Comfortable Are You With AI in Your Car?

Your next car could use AI to customize everything from your seat to your Spotify. How do you feel about that?

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Stat of the Week

  • AI Threatens 50% of Entry-Level Jobs
    Anthropic CEO Dario Amodei warns that AI could eliminate up to half of all entry-level white-collar jobs within the next five years, potentially raising unemployment to 20%.

  • Nvidia Posts $44.1B in Q1 Revenue
    Nvidia's Q1 2025 revenue reached $44.1 billion, a 69% year-over-year increase, driven by a 73% rise in data center revenue, despite facing export restrictions to China.

  • Global Internet Users Reach 5.64 Billion
    As of April 2025, the global number of internet users has grown to 5.64 billion, marking a 3.67% increase year-over-year, with Asia accounting for 54% of users.

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Weekend To-Do (Generated by GPT, Verified by You)

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