AI Software Accelerates the Shift to Virtual Car Design

At CES 2026, AI-powered virtual testing is helping automakers cut risk, move faster, and rethink how cars are built

16 Jan 2026

Before a car exists, it is already being driven virtually. Across the car industry the most important work now happens months before metal is cut or parts are ordered. Artificial intelligence, simulations and digital testing are reshaping how vehicles are built, shifting power from hardware engineers to software teams.

The change is driven by pressure. Cars are expected to be safer, smarter and updated more often, all while reaching showrooms faster. Traditional development, which relied on late-stage physical testing, struggles to keep up. Virtual design promises a way out. By simulating entire systems early, firms can spot flaws sooner and cut costly delays.

That message was on display at CES 2026 in January. Demonstrations showed how software can be tested and refined long before the hardware it will eventually run on exists. What was once an experiment has become a necessity. For modern vehicles, software maturity now matters as much as mechanical accuracy.

Suppliers are leading much of this shift. Synopsys, a long-time provider of chip-design tools, is expanding virtual platforms that let engineers validate vehicle software early and repeatedly. The aim is to reduce nasty surprises late in development, when fixes are slow and expensive. Finding faults early builds confidence and shortens timelines.

The rise of virtual testing also reflects a deeper change in vehicle electronics. Carmakers are moving away from dozens of separate control units toward a few central computers. Qualcomm is pushing this model, building platforms that run everything from infotainment to driver assistance. Such complexity is hard to manage without digital tools. Virtual validation allows systems to evolve without collapsing under their own weight.

Safety adds urgency. As vehicles gain automated and connected functions, regulators want clearer proof that systems behave as intended. Digital testing creates records that are repeatable and traceable, helping firms meet stricter rules without bringing development to a halt.

There are risks. Simulations must closely match real-world behaviour, or they mislead. And sharing data across firms raises fears of leaks and stolen designs. Samsung and others have warned that digital workflows need strong controls to protect sensitive information.

Still, the direction is clear. Virtual development is no longer a side project. It is becoming the foundation of carmaking, enabling faster launches and vehicles that continue to improve through software long after they leave the factory. The future car is increasingly written before it is built.