Mercedes-Benz design chief predicts AI will take over car design

Artificial Intelligence has become one of the most buzzed-about technologies in the auto business. But Mercedes-Benz Chief Design Officer Gorden Wagener recently upped the ante on the conversations surrounding the tech, projecting that in the future, AI will replace car designers.  

First thing first: Wagener spoke about AI eventually taking over the design process during a recent interview with ABC News, discussing a range of topics tied to automotive design and tech, making two major points about artificial intelligence.

• Noting that the Mercedes’ design team works with AI now, Wagener said that 99% of what designers get from the tech currently is “crap” and “sheer quantity,” but that 1% indicates that it’s only going to get better.

• Wagener believes that in 10 years most of a car’s design will be done by AI, making traditional car designers obsolete—joking that using the technology will be a lot cheaper than his salary.

Zeroing in: Some might say that Wagener is being a bit overly optimistic about the capabilities of AI. However, recent reports diving into some major trends driving the use of AI in the auto sector strongly suggest that the Wagener might be on to something.

• A recent McKinsey survey of automotive and manufacturing executives revealed that more than 40% of respondents are investing up to $5 million in gen AI research and development, and more than 10 percent are investing more than $20 million.

• McKinsey also found that generative AI can save product managers up to 39% of the time they take to create and refine product requirements, with a productivity improvement of 44%.

• The global automobile AI and generative design market is expected to grow from $615.4 million in 2023 to $2,833.9 million by 2033 at a CAGR of 16.5%.

Recent profit reports for Nvidia—which makes 90% of the chips for AI systems–increased 80%, with record quarterly revenue of $39.3 billion and $130.5 billion for the year due, in large part, to the demand for artificial intelligence, which indicates that the momentum for AI-based applications will continue to grow.      

Why it matters: The growing use cases for AI in the automotive industry could present several new opportunities for investors, while streamlining various facets of the business, which, in theory, could help reduce the costs of vehicles. However, the possibility that car designers could be replaced by AI could impact certain brands’ sales, given that the appeal of some vehicles (especially in the luxury segment) has long been driven by the human craftsmanship that goes into designing the car.

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