TCS launches custom chip design for software-led cars

Tata Consultancy Services has launched custom system-on-chip design services for automotive manufacturers and semiconductor companies, targeting the growing market for software-defined vehicles.

The move reflects a broader shift in car design as manufacturers seek greater control over the chips used in vehicle platforms rather than relying solely on standard components.

The service covers the full silicon development process, including architecture, design, verification, implementation, software integration and system validation. It combines semiconductor engineering, very-large-scale integration design, hardware-software co-design and validation for automotive applications.

Carmakers are redesigning vehicle electronics around centralised computing and zonal architectures while adding more advanced driver assistance, electric drive systems and connected functions. That is increasing demand for chips tailored to specific computing tasks and software requirements inside vehicles.

Off-the-shelf semiconductors have long formed the backbone of automotive electronics, but carmakers are increasingly seeking bespoke designs to support distinct product plans. The shift toward software-defined vehicles has pushed silicon choices closer to the centre of product strategy, particularly in energy use, safety and processing demands.

TCS is positioning the new service around what it calls a chip-to-system engineering approach. In practice, that means assessing vehicle architecture, software platforms, workloads and computing requirements before deciding the chip's structure.

The aim is to help customers make chip design decisions in the context of the full vehicle system rather than treat silicon work as a stand-alone engineering programme. It also reflects a wider shift in the automotive sector, where hardware and software development cycles are becoming more closely linked.

Custom SoCs are increasingly seen by vehicle manufacturers as a way to shape performance and function more directly. They can also give automakers more influence over silicon roadmaps at a time when semiconductors play a larger role in defining in-car features and system behaviour.

Analysts have pointed to rapid growth in software-defined vehicles over the next several years. Morgan Stanley has projected that such vehicles will account for 90% of global car production by 2029, underscoring why suppliers and engineering groups are focusing more heavily on the technologies that underpin vehicle software.

Automotive pressure

Manufacturers face pressure from several directions. Advanced driver assistance systems require significant processing for sensor inputs and decision-making, electric vehicles demand careful management of power and thermal constraints, and connected functions add further complexity to computing and communications architecture.

Those factors make chip design more strategic than in previous vehicle generations. Instead of choosing from a catalogue of widely available parts, some carmakers and suppliers are examining whether purpose-built silicon can better match software requirements, energy targets and safety expectations.

Sreenivasa Chakravarti, Global Head and Vice President of Industrial Autonomy and Engineering at TCS, outlined that position in comments on the launch.

"The concept of AI-SDV driven mobility will be differentiated by the computing architecture on which it runs. The underlying SoC will play as important a role as world-class engineering in shaping the experiences that customers value and the vehicles they choose to buy. Silicon is becoming a strategic enabler of innovation, influencing everything from vehicle performance and energy efficiency to software capabilities and user experience. TCS brings together semiconductor engineering, embedded software, and systems expertise to help automakers translate their silicon strategies into differentiated mobility platforms," Chakravarti said.

Sector shift

The launch also reflects a broader contest in the automotive supply chain over where value will sit as vehicles become more software-led. Traditional tiered supplier relationships are evolving, with carmakers taking a more direct interest in areas once left largely to chip vendors and electronics suppliers.

The service is designed not only for automotive original equipment manufacturers but also for companies across the semiconductor ecosystem. That suggests an effort to serve both vehicle brands seeking direct design input and suppliers building components or platforms for use across multiple manufacturers.

For TCS, the announcement extends an existing semiconductor engineering business as it seeks to deepen its work in embedded systems and complex product development. The company reported consolidated revenue of more than USD $30 billion in its latest fiscal year.

Industry observers say the timing aligns with a period in which semiconductor design is becoming more tightly tied to vehicle differentiation.

"The automotive industry is entering an era where semiconductor capability is becoming a source of competitive differentiation. As vehicles become software-defined and AI-driven, custom SoCs will be critical for performance, safety and efficiency. TCS' launch of custom SoC design services comes at a pivotal time, helping automakers and Tier-1 suppliers develop purpose-built silicon and accelerate next-generation vehicle innovation," said B, Principal Analyst and Senior Manager at ISG.