Generative AI Will Redesign Cars, But Not the Way Automakers Think

Traditional automakers are misusing generative AI by focusing on incremental optimization of existing car components instead of reimagining vehicle design from the ground up. This "optimization trap" delivers measurable short-term ROI, such as weight reduction in parts, but fails to leverage the technology's true potential for fundamental innovation. This conservative approach, driven by organizational incentives and fear of retooling costs, leaves established manufacturers vulnerable to disruption from competitors using AI to question core design assumptions. The content contrasts a traditional optimization code approach with a generative VAE model in PyTorch to illustrate the difference between making slightly better parts and exploring entirely new design possibilities.