Image: © Dmitriy Popov/Stock.adobe.com
TCS’ Anupam Singhal discusses the complex mix of optimism and challenges in the EV industry and what’s needed to drive the transition forward.
The current outlook for the electric vehicle (EV) industry is “more positive than negative overall”, according to a Tata Consultancy Services (TCS) report that was released last month.
Conducting a survey of 1,300 anonymous respondents across the US, Canada, UK, Ireland, continental Europe and the Asia-Pacific region, the TCS Future-Ready eMobility Study 2025 provided a snapshot of the current EV landscape and the opinions of major EV stakeholders such as EV manufacturers, charging infrastructure builders, EV fleet adopters, EV ‘influencers’ and consumers.
In terms of positivity, 64pc of consumers stated that they were likely or very likely to consider purchasing an EV as their next vehicle. Younger consumers especially expressed more enthusiasm towards EV adoption, with those under the age of 35 being the most likely to consider buying one.
“This can be attributed to a greater awareness and concern for environmental issues, and the sustainability benefits of EVs,” says TCS’ president of manufacturing Anupam Singhal. “Additionally, younger demographics express greater satisfaction with the current variety of EV models on the market, suggesting that the design and features of newer EVs resonate more strongly with them.”
Responses from commercial fleet adopters also indicated a level of positivity in regard to EV adoption. While environmental sustainability was the most cited motivation for EV fleet adoption, it was closely followed by operational cost reduction, with the report stating that this could reflect a growing belief in the “long-term cost savings of EVs”.
Furthermore, 38pc of fleet adopters said they would be likely or very likely to pay a premium for an EV compared to a similar internal combustion engine vehicle.
Influencer expectations
However, the report also highlighted some challenges, such as a lack of appropriate charging infrastructure and the unmet environmental expectations of what the report describes as the “most optimistic” cohort of EV stakeholders – the influencers.
According to the report, while 63pc of EV influencers said their primary motivation for EV adoption is to achieve net-zero goals and reduced carbon footprint, only 37pc of EV influencers believe that EVs are reducing carbon footprints overall.
Nearly half (48pc) believe that EVs equally reduce and increase carbon footprints and a further 10pc said that EVs have an overall negative impact on the environment, citing battery materials, production and disposal as factors that are increasing carbon footprints overall.
The key to addressing these concerns, according to Singhal, lies with EV manufacturers.
“EV manufacturers need to proactively address the gap between perceived and actual environmental benefits,” Singhal tells SiliconRepublic.com. “This can be achieved through greater transparency in their sustainability reporting. For instance, providing clear life cycle assessments of EVs, including battery production and disposal, can address some of these concerns.”
He also believes that manufacturers should place a greater focus on implementing sustainable practices, such as using renewable energy in their factories, reducing waste in their supply chains and collaborating with battery manufacturers to improve battery recycling and reuse.
Anupam Singhal. Image: TCS
Disconnect and collaboration
Speaking of collaboration, the report also found a disconnect between EV stakeholders regarding the level of satisfaction with industry collaboration. While 53pc of fleet adopters say they’re satisfied or highly satisfied with the current level of collaboration and coordination among EV stakeholders, only 35pc of manufacturers and 30pc of charging infrastructure builders hold the same opinion.
According to Singhal, this disconnect is a result of the “complex nature of the EV transition”, as it requires collaboration across “traditionally separate industries” like automotive, energy, retail, commercial property owners and technology providers.
“Manufacturers, facing pressure to develop and launch new EV models while managing costs, may perceive collaboration as an added burden, diverting resources and slowing down their internal processes,” he says, adding that this is reflected in the fact that only 18pc of manufacturers prioritise expanding ecosystem partnerships.
“The lack of clear standards and frameworks for collaboration can create further dissatisfaction and hinder effective coordination among stakeholders.
“This disconnect suggests that stakeholders’ dissatisfaction and reluctance to collaborate reinforce each other,” he says.
“Collaboration among all stakeholders is essential for the EV industry to reach its full potential.”
Transformative tech
Reflecting on the results of the survey, the report summarised the findings as a “complex mix of optimism encumbered by challenges that require systemic changes”. With that in mind, TCS also had a few recommendations for the industry that could significantly influence EV adoption over the next few years, including the concept of ‘software-defined mobility’.
Software-defined mobility refers to when a car’s functionality and features are primarily controlled by software, rather than built-in as hardware, and Singhal says this concept offers several advantages for EVs.
“Over-the-air updates allow for continuous improvement of vehicle functionality and efficiency, enabling remote diagnostics, performance optimisation and feature upgrades. Zonal architecture in software-defined vehicles (SDVs) improves power management and reduces wiring complexity.
“SDVs also have an enhanced ability to generate insights that combine data from different domains to improve system performance and battery life, while ensuring secure operations.”
But one can also note how having a software-defined vehicle could give rise to significant risks, particularly in terms of cybersecurity. This is why Singhal says that “robust cybersecurity” is paramount when it comes to software-defined mobility.
“The implementation of cybersecurity frameworks, safeguarding critical components and ensuring data integrity are crucial to protect against hacking and ensure passenger safety,” he says.
The report also highlighted the potential of advanced tech such as AI and quantum in boosting the EV transition, particularly when it comes to EV batteries. In fact, the report found that 90pc of manufacturers and 84pc of influencers believe that battery technology improvements to optimise range and charging speed will have more impact on the design and performance of EVs in the near term than any other technological advancement.
“AI and quantum computing offer significant potential for EV advancement by uncovering insights into processes that boost performance,” explains Singhal. “AI can optimise battery management systems, personalise the driving experience and enable advanced driver-assistance systems.”
As for quantum computing, he says that this technology has the potential to “revolutionise battery technology as it can significantly shorten development cycles and help reduce manufacturing costs, leading to faster innovation and cost-effective production”.
“Large datasets from quantum simulations can be analysed to optimise materials for conductivity, stability and energy density,” he adds.
Going forward
As Singhal puts it, the EV transition has been “tougher than expected”. However, he believes that despite the challenges, the rise of EV adoption is “inevitable”.
“In 2025, we expect to see continued growth in EV sales, driven by increasing consumer interest, expanding model availability and supportive government policies,” he says. “However, the transition will be gradual. Hybrid vehicles will likely play an important role in bridging the gap to full EV adoption.”
He also emphasises the importance of continued collaboration across the ecosystem, particularly in charging infrastructure development.
“Whether you embrace it, or resist it, the rise of electric vehicles is inevitable, and it will redefine the future of mobility, industry and sustainability.”
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