Partnerships are becoming a decisive success factor in the automotive transformation: 52 percent of companies in the European automotive industry already rate old and new partnerships as “important” or “absolutely essential” for their future viability. This conviction is even more pronounced in China (57 percent) and the USA (73 percent). Furthermore, most OEMs and Tier 1 suppliers expect the relevance of partnerships to increase by more than 25 percent in the next three years. US manufacturers lead the way with 76 percent approval, closely followed by 69 percent in China. In the EU5 countries (Germany, UK, Spain, France, Italy), 53 percent of respondents see a significant increase in importance.
These figures from the new MHP Mobility study “The Power of Partnerships” underscore that strategic partnerships are becoming key to the transformation of the automotive industry – and at the same time highlight the differences between regions. The study is based on a survey of 650 executives from the EU5 countries, China, and the USA. The respondents were decision-makers from OEMs, Tier 1 and Tier 2 suppliers, as well as technology partners and service providers.
Technology transfer as a common goal, but country-specific priorities
The results revealed an identical primary motive for new partnerships in the three regions studied: technology transfer and innovation rank highest in the EU5 countries at 56 percent, as do China (55 percent), and particularly strongly in the US at 72 percent. European companies in particular also hope for access to new markets (41 percent) and a reduction in cost pressure (40 percent).
There are significant differences in the technological focus of strategic partnerships. A majority of 52 percent of the European companies surveyed are currently collaborating in the area of cybersecurity. 59 percent of US companies are trying to implement software-defined vehicles, and 54 percent of Chinese companies are relying on partnerships in electromobility and battery technology.
“The figures clearly show that the US is the most active in leveraging partnerships as a driver of innovation, while Europe remains overly focused on cost optimization and risk minimization. European manufacturers must become bolder and leverage partnerships more to drive technological leaps,” commented Augustin Friedel, Associated Partner at MHP and a specialist in software-defined vehicles.
The three central drivers of the current transformation – electrification, software-defined vehicles, and artificial intelligence – form the technological core that is challenging the industry worldwide and simultaneously forcing new alliances. Investment and development expenditures are rising dramatically in these fields, making cooperation increasingly a competitive factor. Furthermore, the study shows that “local for local” is no longer a marginal phenomenon, but is developing into a key trend in the global automotive industry. In light of rising tariffs and geopolitical tensions, Chinese and US manufacturers in particular are relying on local partnerships in their target markets to reduce costs and minimize political risks.
Based on the international survey, current market analyses, and case studies, the study demonstrates that companies can only grow in the future through strategic collaborations. The main reason is the profound transformation of the automotive industry: electrification, software-defined vehicles, artificial intelligence, and autonomous driving are increasing technical complexity, as well as investment and development costs. At the same time, new competitors from Asia and the USA are entering the market with innovative solutions that are putting pressure on traditional automakers.
“For decades, corporate success in the automotive industry was defined by competitive advantage: Those who possessed superior technologies or established more efficient processes were considered winners. But in the digital age, this lone-wolf approach is reaching its limits. With AI, cloud-based platforms, and interconnected ecosystems, the factors for success are shifting. New networks of specialized partners are jointly driving innovation – and creating a competitively decisive collaborative advantage,” says Dr. Jan Wehinger, Partner at MHP.
Figures, facts and recommendations for decision-makers
Despite numerous announcements of collaborations, only the coming years will reveal which alliances will last. The challenge lies not only in the strategy, but above all in the implementation: “Only those who manage to combine their own corporate strategy with the right partners and a clear operational implementation logic will survive in the competition,” emphasizes Augustin Friedel.
The MHP Mobility Study 2025 also provides concrete recommendations for decision-makers. It shows that partnerships are only successful in the long term if they create clear added value for all parties. Overcoming cultural barriers is equally important: shared values and open communication are considered key to long-term success. Furthermore, active risk management is essential – from valid due diligence and clear intellectual property regulations to fair revenue-sharing models.
About the MHP Mobility Study 2025:
The study defines partnerships as distinct from traditional supplier-customer relationships due to their strategic dimension. Criteria include a collective vision, the joint development of new technologies, and shared risks and opportunities. The study focused on partnerships related to car IT, enterprise IT, and platforms.
For the international study, MHP commissioned an online survey of 650 private-sector decision-makers from the automotive industry in July 2025. The executives at all hierarchical levels come from the EU5 countries (Germany, UK, Spain, France, and Italy), China, and the USA. While technology partners and service providers dominate in Europe and the USA, China shows a more balanced distribution with a strong presence of Tier 1 and Tier 2 suppliers.
SOURCE: MHP