Why Are Car Software Updates Still So Bad?

image via WIRED

October 3, 2025, 11:00 AM

• •Tesla's OTA updates are far more frequent and comprehensive than those of traditional automakers.
• •SDVs are transforming the automotive landscape, with software becoming a core differentiator.
• •OTA updates can offer new features, improve performance, and fix bugs.
• •Automakers are exploring subscription models for OTA-enabled features.
• •OTA updates present challenges including data privacy concerns, reverse updates, and potential safety risks.
• •The shift to AI-powered vehicles is happening, with many using a central compute rather than distributed ECUs.
• •Traditional automakers face cultural and structural challenges in adapting to the demands of software-defined vehicles.

Tesla has established a significant lead in over-the-air (OTA) software updates, allowing for remote upgrades and new features, while traditional automakers are struggling to catch up. The shift towards software-defined vehicles (SDVs) is driving this change, with digital-native brands prioritizing software in their design and development. OTA updates offer automakers cost savings and new revenue streams through subscriptions, but also raise concerns about data privacy, reverse updates, and potential safety risks. As the automotive industry evolves, the ability to quickly and efficiently update software will be critical for success, but also requires significant changes in company culture and processes.

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