Strengthening Integrated Capabilities Connecting Physical and Digital Worlds

German automotive giant Bosch unveiled its mobility, manufacturing, and technology innovation strategy centered on the integration of software and hardware at CES 2026. Bosch plans to invest €2.5 billion (approximately $4.24 trillion won) in artificial intelligence (AI) by 2027, and projects that software and services revenue will exceed €6 billion (approximately $10.17 trillion won) by 2030.

Tanja Rückert, Member of the Board of Management at Bosch, stated at the CES 2026 Media Day held at the Mandalay Bay Convention Center in Las Vegas on the 5th (local time), "Bosch's expertise accumulated over many years in both hardware and software bridges the gap between the physical and digital worlds," adding, "By integrating both, we can realize intelligent products and solutions centered on people."

Expanding Software Business Centered on Mobility

Bosch's software business expansion is particularly focused on the mobility sector. Of the €6 billion in projected software and services revenue by 2030, approximately two-thirds will be generated from the mobility business division. Related revenue, including sensor technology, high-performance computers, and network components, is expected to more than double by the mid-2030s, significantly exceeding €10 billion.

At CES 2026, Bosch demonstrated an AI-based next-generation cockpit system. This system, which combines large language models (LLM) with visual language models, interprets situations inside and outside the vehicle to provide personalized functions. Representative use cases include automatic parking space search upon destination arrival and online meeting minutes transcription while driving. The system is designed to expand functionality through software updates even after vehicle delivery.

Strengthening Autonomous Driving Foundation with By-Wire Systems

Bosch presented by-wire systems as core technology for automated, software-centric driving. The concept is to expand design freedom, safety, and software control range through brake-by-wire and steer-by-wire, which control braking and steering with electrical signals instead of mechanical connections. Bosch projects that cumulative revenue from this technology will exceed €7 billion by 2032.

Vehicle Motion Management (VMM) software centrally integrates control of braking, steering, powertrain, and chassis to manage vehicle movement across all six degrees of freedom. This reduces rolling in curves and pitching in congested sections to alleviate motion sickness and enhances driving stability necessary for autonomous driving transitions.

Combining Sensor Technology with AI, Unveiling Radar Gen 7 Premium

Bosch unveiled the Radar Gen 7 Premium, combining sensor technology with AI, for the first time globally at CES 2026. This radar can detect small objects such as pallets or tires at distances exceeding 200 meters, enhancing the precision of highway driving assistance functions. It is characterized by recognizing fallen objects and road users in complex traffic environments and incorporating this information into driving decisions.

The integration of hardware and software is also expanding in the e-bike sector. The eBike Flow app has added a theft report function, allowing stolen e-bikes or batteries to be identified during secondhand transactions. When attempting to connect through the app, a warning message is displayed, making resale difficult.

MEMS Sensors and Expanded Microsoft Collaboration

The latest BMI5 AI MEMS sensor platform was also unveiled at CES 2026. This sensor features high precision, durability, and energy efficiency, and performs movement, position, and situation recognition through integrated AI functionality. It supports precise tracking in VR/AR environments and enables robots to recognize paths even in situations with limited camera visibility.

Bosch announced the expansion of its Manufacturing Co-Intelligence® collaboration with Microsoft. The two companies are pursuing production, maintenance, and supply chain optimization using Agentic AI, and plan to sign a memorandum of understanding (MOU) in Las Vegas. One of the first customers is industrial sensor company Sick AG.

Strengthening Autonomous Truck Collaboration in the U.S. Market

Collaboration in the autonomous truck sector was also announced for the U.S. market. Bosch is collaborating with Kodiak AI on developing a vehicle-independent redundancy platform for unmanned trucks. Bosch supplies core hardware such as sensors and steering technology, and plans to strengthen production of key electric mobility technologies through modernization of its silicon carbide (SiC) wafer plant in Roseville, California.

[AI Analysis] Accelerating Software Transformation in the Automotive Industry

Bosch's massive AI investment reflects the automotive industry's transition from hardware-centric to Software-Defined Vehicles (SDV). The sense of crisis that traditional Tier 1 parts suppliers could lose competitiveness unless they strengthen software capabilities is leading to investment expansion.

In particular, by-wire systems and vehicle motion management software are core technologies for the autonomous driving era. Replacing mechanical connections with electrical signals increases vehicle design freedom and enables precise control of vehicle behavior through software. Bosch's projection of €7 billion in revenue by 2032 reflects the expectation that this technological transition will proceed rapidly.

The Agentic AI collaboration with Microsoft demonstrates that AI utilization is expanding in the manufacturing sector as well. Using AI agents for production optimization, predictive maintenance, and supply chain management is likely to significantly improve manufacturing efficiency. Bosch is expected to pursue a strategy of validating these technologies in its own factories before providing them as solutions to other manufacturers.

The Radar Gen 7 Premium's ability to detect small objects at distances exceeding 200 meters can significantly enhance the safety of highway autonomous driving. One of the major challenges of current autonomous driving systems is responding to unexpected obstacles, and as such high-performance sensors become widespread, the reliability of autonomous driving is expected to improve significantly.

A Bosch official stated, "Through CES 2026, we will expand AI applications across mobility, manufacturing, and everyday technology based on an integrated strategy encompassing software and hardware, and continue collaboration and investment in global markets including the United States."