The current transformation of the global auto industry requires incumbent carmakers to make a rapid and complex shift towards CASE—the connected, autonomous, shared and electric vehicle. Some observers hypothesised that the incumbents would find it difficult to acquire the capabilities needed to develop and incorporate these technologies into their products. In fact, the incumbents have managed to do this so far, and the role of alliances made with battery manufacturers and electronics hardware and software companies in enabling access to the new technologies is clear. But the incumbents face new challenges. Affordability has become a critical obstacle to the continued expansion of electric car sales, and incumbents need to reduce costs both to expand the market and to meet the challenge posed by Chinese carmakers. Incumbents also need to negotiate the policy and regulatory environment that will play a key role in the implementation of CASE.