SDVerse: Born of This Industry

I first met Prashant Gulati& - former Senior Vice President of Strategy at Faraday Future, former Chief of Staff to the CEO at KPIT, and now CEO of SDVerse - at The Autonomous in Vienna last September. During our brief conversation, he mentioned the late Ju-yung Chung, the founding chairman of Hyundai Motor Company. Nearly a year later, in July, he visited Korea once again to deliver the keynote address at AEM’s Automotive Innovation Day 2025. After completing his rehearsal, he shared insights into AI (he is a LinkedIn Top AI Voice), and once again, he brought up Chairman Chung. It wasn’t a ceremonial reference.
Today, the automotive industry is undergoing a massive upheaval as it transitions to software-defined vehicles (SDVs), facing major challenges such as technical complexity, delays in development timelines, and ballooning costs. What’s needed now is resilience - not just perseverance, but the collective will of an industry to manage complexity and continue moving forward despite setbacks. At Faraday Future and beyond, Gulati has demonstrated this spirit of resilience by co-leading IPO efforts and launching AI-driven platforms, showing how ambition and innovation can thrive even amid disruption.
Now, with SDVerse, he aims to address challenges in software sourcing and collaboration - problems that no single company can solve alone - through a new kind of resilience: one rooted in industrial networks and collective capability. His philosophy is deeply aligned with the spirit of Chairman Chung, who, even in the face of adversity, built businesses for his nation and its people - always asking, “Did you try?”
It’s no surprise, then, that Gulati’s keynote at Automotive Innovation Day 2025 was ultimately about resilience - the kind of resilience that brings together technology and people, industries and platforms, to rise again in the era of SDVs.

[Editor’s Note]

Keynote | Prashant Gulati, CEO of SDVerse
Compiled by | Sang Min Han, Editor, AEM (han@autoelectronics.co.kr)

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Before I begin to explain what SDVerse does and why it matters, I want to take a moment to talk about someone I deeply admire. I once read the autobiography of Ju-yung Chung, the founder of Hyundai Motor Company, and it left a lasting impression on me. I even shared some thoughts about it on LinkedIn.
What struck me in his story was not just his business acumen, but his incredible spirit of resilience - the unwavering determination to start over again even after failure, and the courage to rebuild from the ground up. I value this spirit profoundly. In fact, it has become the foundational philosophy behind the company I now lead: SDVerse.
SDVerse began as a joint initiative between General Motors (GM), Magna, and Wipro. Today, the platform has grown rapidly, supported by an expanding ecosystem of launch partners and collaborators across the global automotive industry.
What I want to share with you today are the opportunities and challenges we’re facing - and why these matter to every one of you in this room. The shift toward software-defined vehicles (SDVs) is not just a technological transition; it’s a seismic transformation that is shaking the very foundations of our industry. And I will explain how SDVerse is approaching this shift, sharing concrete examples along the way.


 


The automotive industry represents a $6 trillion global economy and is one of the most R&D-intensive sectors in the world. It creates millions of jobs and has long stood at the heart of technological innovation.
But now, we’re entering a fundamentally different era. Over the past decade, we’ve witnessed a wave of technical evolution - containerization, virtualization, and over-the-air (OTA) updates. Consumers now expect vehicles that are updated more frequently and more seamlessly than ever before.
The opportunity is enormous. According to a recent report by Boston Consulting Group (BCG), the SDV transformation could generate up to $1.2 trillion in new value. More than half of that is projected to come from software and electronic systems.
But with that opportunity comes immense challenge. While complexity is rising rapidly, productivity is lagging behind. McKinsey reports that since 2010, the complexity of automotive systems has increased fourfold, while productivity has remained flat. Meanwhile, Roland Berger estimates that the industry has poured over $100 billion into software development in just the past three years - and that number continues to climb.
This raises a critical question:
“Are consumers prepared to pay twice as much for all of these innovations?”
Of course not. So then, how do we respond?
The reality is, many SDV programs are now facing delays and budget overruns. According to McKinsey, 64% of all SDV initiatives have exceeded their budgets, and more than 70% are behind schedule. Clearly, something is not working as planned.
Why is that? What lessons can we learn from this imbalance between investment, complexity, and delivery?


 


Part of the problem lies in this: while the automotive industry has focused heavily on software, architecture, and core technologies, the supporting processes - such as supply chain coordination, system integration, and validation - have not evolved at the same pace.
So why haven’t these processes kept up? The answer is quite simple. For decades, the industry has functioned effectively with a hardware-centric supply chain. Automakers could purchase hundreds of billions of dollars’ worth of physical components each year and operate smoothly within established frameworks.
But today, the challenge is software. There is no robust system in place to help OEMs “find” and “source” software efficiently. Modern automotive software must be modular, reusable, continuously updated, and - above all - agile. Yet these are not capabilities the traditional automotive supply chain was ever built to handle.
OEMs say, “We want to move faster. We want to become software-centric.”
And yet, their suppliers often still deliver software tightly integrated into ECU hardware - essentially, in the form of black boxes.
OEMs also recognize, “We can’t build everything ourselves. We have to consider capital efficiency.”
So naturally, they want to source what they need from external suppliers in a smarter, faster way.





 


To address this problem, we brought together a wide network of companies in the industry under one structure. That’s what SDVerse is about.
SDVerse is the automotive industry’s first software marketplace - designed to bring transparency across the entire software value chain.
Let’s say an OEM wants to introduce features like valet parking, tire pressure monitoring, or a battery management system (BMS). In the past, they’d either develop it in-house or work directly with a known supplier. But with SDVerse, they can first search the platform to see if someone else has already built the feature.
For example, the AI-based code generation tool from ETAS, mentioned earlier in the keynote by Bosch’s Dr. Dirk Slama, is available on the SDVerse platform. Many other high-quality solutions are also listed.
So how do OEMs typically discover software today?
They search on Google. They attend conferences. They reach out to known vendors manually. This process is highly inefficient. Based on a real project we conducted with GM, we found that sourcing software through traditional methods takes an average of 16 weeks.
Through SDVerse? That cycle was reduced to just four hours.
By digitizing and structuring the sourcing process, we’re helping both OEMs and software providers save time and cost dramatically.
SDVerse was initially founded by GM, Magna, and Wipro, but today it is fully independent and open to all who want to buy or sell automotive software. We are proud to say: “A platform built for the industry, by the industry.”
I can’t list every partner here today, but I want to highlight two especially important ones from Korea - HL Mando and PopcornSAR. They are strategic collaborators. Beyond them, SDVerse is also supported by key players such as Renault’s Ampere, FEV, FORVIA, NXP, TTTech Auto, Valeo, Cummins, Bosch, and ETAS.
Since our official marketplace launch in September of last year, GM has already announced that it will source all of its software through SDVerse. From now on, every RFI (Request for Information) and RFP (Request for Proposal) at GM will begin on our platform - connecting with both existing and new suppliers.
What does this mean for you? If you are a company looking to expand into the U.S. or European market but lack the capital to open a local office or hire staff, SDVerse provides a capital-efficient way to connect directly with global buyers like GM and Cummins.
We’ve also received excellent feedback and real success stories from other OEMs and buyers using the platform.


 


So how does SDVerse function in practice?
It’s a digital marketplace where buyers and sellers of automotive software can meet and interact. The platform offers a full vehicle software mapping, covering everything from onboard software to offboard tools, middleware, toolchains, reference designs for chips, and functional safety software.
More than just a directory, SDVerse provides detailed, structured product information - information that cannot be found via Google or ChatGPT. In most cases, such insights would normally require an RFI or RFP just to begin a conversation.
This data is powered by an Elasticsearch-based system that allows buyers - like GM - to filter and compare dozens of solutions based on a wide range of criteria. If they’re interested, they can contact the supplier directly or issue an RFI or RFP on the spot.
We’ve also integrated advanced AI capabilities. Engineers or procurement teams at OEMs can input their requirements, and the system automatically recommends matching software. In some cases, we’ve seen this reduce sourcing time by as much as 80%.
Today, the platform hosts over 300 software products, and that number is growing fast.
OEMs benefit from faster access to quality solutions, a shorter sourcing cycle, and greater choice. In a world where a modern vehicle may require up to 1,000 software components, and sourcing each one takes 16 weeks? That’s just not sustainable.
Now, with SDVerse, many components can be discovered and evaluated in just minutes - or a few hours at most.
The benefits for software vendors are equally clear. In the past, it could take years - sometimes 8 or more - to get on an OEM’s radar. Now, suppliers can directly showcase their solutions to engaged, purchase-ready buyers. Sales cycles have shortened dramatically.
The platform is also a game-changer for small and growing companies. Around 21 such firms are already using SDVerse to connect directly with global buyers - without the need for large budgets or extensive business development teams.
We’ve validated the platform’s effectiveness through collaboration with Roland Berger and multiple OEMs. What used to take 16 weeks to reach negotiation can now be done in just a few clicks - and in some cases, in less than four weeks.






When we talk about SDVerse, we’re often asked questions like:
“How is SDVerse different from AUTOSAR?” or “What is your relationship with organizations like COVESA, SOAFEE, or the Eclipse Foundation?”
Our answer is clear: we maintain a complementary relationship with these organizations while remaining firmly standard-agnostic.
AUTOSAR, COVESA, SOAFEE, and the Eclipse Foundation are all doing vital work - setting standards, building open-source ecosystems, and showing leadership across the industry.
SDVerse, on the other hand, is focused not on defining standards, but on serving as a market access platform - regardless of whether your solution is open-source or proprietary.
No matter what standard you follow, what organization you belong to, or whether your software is open or commercial - we welcome you.
SDVerse is designed to answer one simple question:
“How can your software successfully reach the market?”


 


Just as I began this keynote with a tribute to Chairman Ju-yung Chung, I’d like to emphasize one of his core beliefs:
“Business is not just a means to profit - it’s a multiplier of power, and a tool for positive impact.”
That belief is at the very heart of why we created SDVerse.
This platform was not built so that GM, Magna, and Wipro could talk to each other - they already have strong relationships.
We built SDVerse for the entire industry - a platform to help everyone collaborate in more capital-efficient and connected ways.
And we’ve practiced what we preach.
We’ve spent virtually nothing on marketing.
Yet SDVerse has already received attention from leading media outlets including AEM, EE Times, Automotive News, Forbes, and MotorTrend.
We were even honored with an award at the AutoTech Awards in the U.S., competing alongside some of the world’s most mature startups and global corporations.
And in Michigan, where SDVerse is headquartered, the state’s governor declared the date of our public launch as “Day of Innovation” - a clear recognition of just how critical software is to the future of the American automotive industry.
These milestones weren’t achieved through marketing budgets.
They happened because of strong ideas, credible testimonials from customers, and our unwavering commitment to capital efficiency.


 


So now let me ask a timely question: 
Why does all of this matter here and now, in Korea?
The answer is clear.
Korea, anchored by Hyundai Motor Group, is home to the third-largest automotive group in the world. Over the past decade, the country has achieved remarkable industrial progress.
And today, software is the next frontier.
It’s a space that is still forming. Mistakes are being made. Lessons are being learned.
And that means there is still a real opportunity - for Korea to participate, to influence global standards, to promote reuse, and to help lead the way forward.
I’m honored to share how SDVerse is evolving, why the world’s top companies are joining us, and what this platform offers not only to OEMs and suppliers - but to the entire software ecosystem.
Let me be clear: GM is not just a participant.
They are a board member, our largest investor, and our biggest customer.
If you hear directly from GM how they use SDVerse and what value they see in it, you’ll understand just how significant this platform is.
Working with OEMs, we’ve helped achieve multi-million-dollar cost savings per software component.
And in an SDV era where vehicles may require around 1,000 components each, that kind of savings translates to huge time and go-to-market advantages.
Governments are beginning to take notice, too. As the case of the Michigan governor illustrates, SDVerse is increasingly becoming part of public policy conversations.
To any policymakers in the room today:
Now is the time to cut waste, move fast, and define global standards in areas that matter most.
Korea has already proven to the world that innovation is a form of resilience.
And now, in the era of software, with your technology, your people, and your platforms - 
it’s time for Korea to once again show the world what resilient innovation looks like.

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