KPIT, a Pune-based software supplier to Indian and global automotive companies, is recalibrating its strategy to address the slowdown in EV demand by renewing its focus on hybrid and other technologies.
Whereas it will continue to focus on electric vehicles, it will simultaneously look at building on other technologies such as hybrids.
“We are not saying we are immune, but we are changing our offerings to address the client problems,” KPIT management said, noting that they were swiftly adapting their strategy to respond to the problems that our clients are facing.
According to KPIT officials, most OEMs globally are likely to continue investing in EVs, particularly as battery prices stabilise and the production of pure combustion engines declines. “There is no degrowth. EVs are actually seeing growth. They’re just not going to grow this year as much as they did last year and the year before that. But they are still growing, and we believe that the growth will continue in the future,” the management added.
KPIT’s propulsion technology extends beyond purely electric vehicles. The company is also heavily invested in internal combustion engines and hybrid vehicles. As the growth rate of EVs slows, the number of hybrid vehicles being sold is increasing, presenting an opportunity for KPIT to help clients diversify their propulsion portfolios, including hybrids.
“We continue to see this as an opportunity for us because, from the OEM perspective, they’ll have to make investments not only in EVs but in hybrids as well. This means there are going to be more programs than ever before,” KPIT’s top leadership noted.