In the continually evolving vehicle landscape, a fundamental change is taking place. Whereas traditional vehicles relied on fixed hardware systems, modern vehicles are being controlled and updated through software. Many contend that software-defined vehicles (SDVs), which enable over-the-air (OTA) updates similar to a smartphone, are the next evolution of automobiles.
As part of this shift, collision repairers will need to adapt and learn new skills to repair modern vehicles. This includes considerations with new tooling and equipment, training, and how to handle data and documentation.
"A modern headlight or taillight isn't just a bulb anymore; it's a software-driven module,” explained Sonatus CMO John Heinlein. “As these systems become more pervasive, repair shops will need to understand the verification and calibration steps required to restore full functionality, not just the physical part."
What is a Software-Defined Vehicle?
In the IBM article, “What is a software-defined vehicle?” the company explained that vehicle functions were traditionally tied to physical components and embedded systems with limited flexibility. “SDVs instead rely on centralized computing platforms and modular software architectures,” said IBM.
With OTA updates, automakers can deliver new features, performance, and safety enhancements through software, often remotely without visiting a dealership.
According to the IBM article, this may allow vehicles to gain better navigation, improve energy efficiency or even offer enhanced driving modes. Drivers will also be able to personalize vehicles and subscribe to on-demand systems, including advanced driver-assistance systems (ADAS) and entertainment.
“90% of all vehicle-related innovations are expected to consist of software in 2030,” according to IBM research predictions. “75% of auto industry executives anticipate that the software-defined experience is going to be the core of brand value by 2035.”
The article noted that a key part of this SDV transformation is the reduction or elimination of many independent electronic control units (ECUs).
“ECUs are small computers that traditionally controlled individual vehicle functions such as braking, engine timing or climate control,” said IBM. “Today, many are replaced with fewer, more powerful central computers that manage multiple systems at once.”
This will ultimately support autonomous driving, predictive maintenance, and data integration with cloud services.
The Rise of SDVs
During CES 2026 in January, a panel discussion focused on “Software-Defined Vehicles—From Vision to Reality.” Panelists included Maria Anhalt, CEO of Elektrobit; Judy Curran, senior chief technologist, automotive at Synopsys; John Heinlein, Sonatus CMO; Johan Lundén, CEO of Coretura AB; Aurora Sere-Schneider, vice president IT Engineering Applications of AUMOVIO SE, Inc.; and Tim Yerdon, executive leader of SAE Industry Technology Consortia. The panel was moderated by Matt Jones, the executive director of Global Technology Platforms at Ford Motor Company.
“SDV can mean so many different things to different people,” said Jones. “Automotive still has a hardware mindset, so many people get confused between the physical hardware architecture of the vehicle and SDVs.”
He noted that SDVs are not only about the software in the vehicle but also include the tools and technologies that software engineers use for the SDV platform to ensure vehicles can be industrialized, manufactured and serviced in the future.
At Sonatus, Heinlein is finding that customers are looking for a combination of different SDV technologies. “That diversity of solutions is really important and I think it's going to continue to evolve,” he shared.
Although SDVs are expected to bring numerous benefits, experts predict they will present challenges for repairers to keep up with the potential impacts.
The Need for New Talent and Training
A change that will likely occur with SDVs, according to Jones, is the talent profiles needed as the industry shifts to a software-centric vehicle.
“One of the things that I learned in the last four years at Ford is it's not enough just to transform the software teams,” Jones shared. “It's all of the other teams … because everything has to be aligned in order to get the right software to the right vehicle.”
For example, Curran brought up the importance of having both traditional and new talent to understand the components in SDVs.
“Today’s repair environment is akin to needing four different tradespeople for a single home repair,” said Yerdon. “As ECUs consolidate into liquid-cooled, high-performance computing systems, the technician’s role shifts toward a specialized hybrid of mechanic, plumber, electrician, and IT professional.”
Yerdon noted the rise of the multi-disciplinary technician. “We must streamline and modernize our training to prepare for this ‘multi-trade’ workforce of the future.”
Girishkasturi Harikrishnan, lead architect at Coretura, predicted that the collision repair workforce will likely need to become as fluent in software diagnostics as they are in structural repair.
“When a vehicle's core functions are controlled by centralized computing modules rather than dozens of separate units, understanding how to read system logs, interpret fault codes, and verify that software systems are functioning correctly after a repair becomes essential,” he emphasized.
As a result, he stressed the importance of the industry investing in training programs now. “Software-defined vehicles will soon be entering the fleets,” he said. “Technicians who understand how centralized architectures work, how over-the-air updates affect vehicle configuration, and how to perform software recalibrations alongside physical repairs will be in high demand.”
Changes in Tooling & Equipment
Harikrishnan also noted that repair facilities will likely need new diagnostic tools that can communicate with SDV platforms.
“The traditional approach of scanning for error codes will evolve into something closer to full system validation — confirming that sensors, software modules, and connectivity systems are all operating as intended after a physical repair,” he said.
Yerdon said it’s the end of “Remove and Replace.” “Software-defined vehicles are turning every collision repair into a digital event,” he shared. “Success now depends on the software handshake and sensor calibration, not just the physical install.”
Data & Documentation Considerations
With SDVs generating continuous data like event logs, sensor states, and system health records, Lundén said collision repair will increasingly involve working with that data.
“Knowing what the vehicle recorded before, during, and after an incident becomes part of the repair process,” he said. “The industry needs to prepare for a world where a vehicle's digital record is as important as the physical damage assessment.”
Curran noted that data generated from each vehicle can help predict maintenance requirements and the number of repairs needed after a collision. “There is ample opportunity for SDVs to positively impact vehicle maintenance,” she said. “The challenge will become developing a new layer of expertise in cybersecurity and digital diagnostics to fully take advantage of these data-driven opportunities.”
The Need for Standardization and Collaboration
Sere-Schneider said SDVs are transforming the industry. However, one of the challenges she pointed out is a lack of standardization. “We really need IT and engineering to drive the standardization within engineering applications to be more efficient,” she said. “It’s crucial for OEMs and suppliers, including IT, to work together in the development of SDVs.”
Yerdon stressed the importance of addressing standardization through collaboration.
“SDV is a large complex problem,” he emphasized. “One company cannot solve it all. We need to work together, commonize what makes sense, and efficiently move the mobility industry forward.”
Harikrishnan predicted that the collision industry may need closer relationships with vehicle manufacturers and platform providers to stay current on repair procedures, software requirements, and recalibration protocols. “As vehicles evolve continuously through software updates, the repair knowledge has to evolve with them,” he said.
Future Predictions
Yerdon said the industry has learned many lessons over the last five years, which will help identify opportunities to reduce engineering costs, and increase speed to market, value, and features.
Curran noted the success of the SDV transformation in some parts of the car, but not across the entire vehicle.
“We see the industry starting in this goal of digitally defining this vehicle … but there is a long way to go,” she said.
From her experience at Elektrobit, Anhalt said that making SDV a reality has to do with aligning the vision, architecture and budget with the state of the software platform and the organization’s mindset and business goals. She said companies must understand that SDVs are not a one-time project.
“It's an evolution. A continuum,” she emphasized. “Moving forward step after step … and always adding more value over the vehicle lifecycle. We believe that standardization, re-use, collaboration, and the use of open-source software are the key ingredients.”
Yerdon described SDV as a continuous journey, rather than a destination. “Think of it like on ramps to the highway and exit ramps,” he said. “There are things that we have to onramp like virtualization and different digital tools, … but we also have to exit things as well.”
As a company created by two OEMs —Volvo and Daimler — Lundén said Coretura has recognized that the SDV journey is not an easy one and encouraged the industry to embrace it.
"We can expect that every OEM will be at a different point in this journey,” said Lundén. “Wherever you start, the shift to software-defined will touch your entire organization. A successful transition requires being open to a fundamentally different way of working."
Stacey Phillips Ronak