On the Road to an Electrified Vehicle Future

The long-anticipated move to a cleaner, greener driving ecosystem is no longer just a hazy vision across a distant horizon—it’s fast becoming a reality. 

Spurred in part by a $135 billion federal appropriation that facilitates EV development and extends tax credits to purchasers, U.S. automakers are announcing more electric fleets and increasing their investments in new technologies and EV battery plants. The market potential is enormous. More than 120 countries have announced emission pledges to reach net zero in the coming next decades, and with 20 committing to full phase-outs of internal combustion engines, according to the International Energy Agency. 

Investment Bank UBS projects that EVs will capture 20% of global new car sales in 2025, and 2030 is even more promising, with anticipated share predicted to reach 50%. The only element missing from the equation is the lack of charging stations.  But they’ll be here soon because a recent infrastructure bill gives the states $5 billion to build and install chargers along interstate highways, with the goal of placing one every 50 miles.

Auto manufacturers and tier 1 and 2 suppliers are excited about these developments. In a global survey commissioned by Molex and conducted by Dimensional Research, 93% agreed that electrification is on the cusp of a huge breakthrough. But those same manufacturers also realize they must overcome some significant technical hurdles to make EV technology work as well as consumers expect.

Overall, responses to the Molex survey reflect an accelerated velocity of electrification developments across key industry participants. The vast majority of respondents said electrification is becoming an increasingly important part of their business, and 91% are increasing their capital outlays to EVs. That doesn’t just mean installing batteries. The survey findings reinforce the fact that for consumers as well as manufacturers, vehicle electrification is about much more than transitioning to electric motors.  

Ninety-two percent of respondents said today’s buyers expect more from their EVs than a different engine, and 90% said the move to EVs has caused them to intensify their focus on the customer experience. Consumers want automated safety features, driver assistance tools like lane-keeping, and not only comfortable seats, but entire suspension systems that adjust to their preferences at the press of a button or swipe of a screen or connected app. They want to see the same value and convenience they’ve come to expect from traditional cars, plus the unique driving experience, quiet ride, performance and environmental benefits that only an EV can offer. 

Companies across the EV ecosystem realize automobile electrification is a complex undertaking, one that requires heightened ingenuity, highly sophisticated engineering, and fully integrated manufacturing to power next-generation EV innovations. Among the greatest challenges are reducing vehicle charging time—a reality 31% said they are struggling with—along with increasing the driving range. 

The growing number of electronic control units (ECUs) that manufacturers must install to deliver customers the features and customization they want is creating problems. ECUs now often number over a hundred per vehicle. Over a third of respondents said manufacturers need to find a way to control the risk of shock, vibration and loose or damaged connectors for all of these units, in addition to reducing safety threats associated with thermal management and high electrical currents. 

Furthermore, the extensive mass of cabling is getting tough to cram into cars and is weighing them down—the last thing EVs need. Thirty-four percent of survey respondents said they are struggling with wiring, connectors and busbars, with 27% citing weight factor as one specific problem. 

The long lengths of wires and cables can be simplified by a move to zonal architecture. Eighty-four percent of respondents agree that this streamlined approach represents the future for electrified vehicle designs. 

According to a recent article in Automotive World, almost all OEMs are moving away from deploying dozens of ECUs per vehicle to a simpler, centralized architecture that leverages a handful of high-performance computers, minimizing ECU usage, installation, weight and ultimately, cost.

According to market research firm Strategy Analytics, the quickening pace of electrification is causing a step-change in OEM strategy as automakers seek greater access to leading-edge technologies and essential component supplies. As a result, mainstream automakers are partnering with battery-cell vendors, electric-motor developers and semiconductor makers in an attempt to close skill gaps and gain much-needed experience in these pivotal areas.

Our survey results reflect this observation. Manufacturers cited greater collaboration with tier 1 or 2 suppliers as the optimal path to innovation—more important than R&D, capital investment, and even the advent of breakthrough technologies themselves. Suppliers also prioritized collaboration, along with increased R&D and capital investments to speed innovation with their manufacturing partners. In particular, optimizing battery management is on everyone’s minds, as it leads to improved range, performance and charging time.

Respondents are having the most success with innovation in battery cells, modules or packs, as well as electric motors and powertrain electronics. Their biggest challenges are improving controller units, wiring, connectors, busbars, cameras and sensors. Design teams also must resolve battery-pack lifecycle management and disposal issues.

Simplifying the massive web of wires characterized by traditional vehicle architecture will be the key to unlocking major efficiencies and simpler manufacturing processes. Sixty-six percent of respondents said innovations in connecting technology—including controllers, wiring and cabling, and zonal architecture—will have a significant impact on the future of the automotive industry. 

Manufacturers can’t solve these problems alone. Thirty-one percent said they lack internal expertise in electrification. Many aren’t getting the help they need from suppliers, either. Forty-two percent said traditional tier 1 and tier 2 suppliers lack sufficient expertise with electrification. As a result, 94% of survey respondents said they will likely change suppliers within the next five years, and 47% said they would prefer those with deep experience in electrification.

Collaborating with the right suppliers will be crucial to future success. Molex is making major headway by developing solutions that use core connectivity, power, signal strengths and zonal architecture to support specific devices and in-line applications for manufacturers and tier 1 suppliers. We are also well-positioned to help solve emerging battery management needs given our legacy of providing service and custom designs to leading automakers and automotive suppliers.

When it comes to navigating the fast lane to electrification, collaboration will be fueled by seamless access to world-class design, integrated manufacturing, global supply chains, automated assemblies and sustainable components—capabilities that provide manufacturers with a complete, end-to-end approach. As the Molex survey affirms, the race to an electrified future is gaining speed fast, but adoption will only accelerate with improvements against the key hurdles. Now more than ever, EV stakeholders need to put the proverbial pedal to the metal to propel this vital industry segment forward.