Cybersecurity and data privacy continue to rank among the most significant challenges facing the automotive industry in 2026 and will be among the topics explored at the Dykema Drives: Automotive Legal Summit on August 20. Drawing on insights from Dykema’s 2026 Automotive Trends Report, the Summit will examine the evolving legal, regulatory, and operational risks shaping today’s automotive landscape. Register now.

Cybersecurity and data privacy concerns continue to escalate across the automotive industry as connected vehicles, AI-enabled technologies, and expanding digital infrastructure create new operational and regulatory risks.

Ransomware and extortion emerged as one of the leading concerns in this year’s report, with 50% of respondents identifying it as a top challenge facing the industry in 2026. Threat actors are increasingly targeting telematics systems, backend platforms, and vehicle command-and-control technologies, reflecting a broader shift from traditional IT-focused attacks to incidents capable of disrupting vehicle and fleet operations.

At the same time, concern surrounding AI-driven cyberattacks rose to 44%, underscoring the growing sophistication of cyber threats targeting automotive cloud platforms, OTA update pipelines, and connected vehicle ecosystems.

Respondents also highlighted the increasing complexity of complying with state privacy laws governing connected vehicle data. As more states adopt comprehensive privacy frameworks, companies are facing mounting operational challenges related to notice, consent, data retention, and consumer rights requirements across jurisdictions.

Supply chain and third-party technology vulnerabilities also remain a persistent concern as automotive companies continue integrating software, cloud infrastructure, and connected technologies throughout their operations.

Click here for a closer look at the trends shaping cybersecurity and data privacy: Report Link

View the full 2026 Automotive Trends Report: Report Link

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Photo of Dante A. Stella Dante A. Stella

Dante Stella is a creative, logical, and efficient problem solver who focuses his practice on litigation and investigations that involve challenging legal, factual, and data management issues. He also provides non-litigation counseling to clients on information lifecycle management, information infrastructure, and electronic discovery…

Dante Stella is a creative, logical, and efficient problem solver who focuses his practice on litigation and investigations that involve challenging legal, factual, and data management issues. He also provides non-litigation counseling to clients on information lifecycle management, information infrastructure, and electronic discovery readiness planning.

Photo of Laura C. Baucus Laura C. Baucus

Laura Baucus is a results-oriented litigator and business attorney with experience delivering consistent results to clients in the automotive, aerospace, manufacturing and financial services industries. Ms. Baucus has worked both as outside counsel and as seconded in-house counsel. She is the Director of…

Laura Baucus is a results-oriented litigator and business attorney with experience delivering consistent results to clients in the automotive, aerospace, manufacturing and financial services industries. Ms. Baucus has worked both as outside counsel and as seconded in-house counsel. She is the Director of Dykema’s 140+ attorney Automotive Industry Group, the immediate past Leader of the firm’s Financial Services Litigation Practice, a Leader in Dykema’s COVID-19 Task-Force, the originator of the firm’s Supply Chain Group, the Manager of a firm OEM client-service team, and the immediate past Manager of the firm’s largest Michigan office.

Ms. Baucus regularly counsels clients on force majeure and related contract performance options. Her litigation practice focuses on procurement and supply chain, recalls, warranty and cost recovery, contract termination, tooling recovery, Uniform Commercial Code issues, and financial services.  Her contract practice includes negotiating and drafting supply contracts and other commercial agreements for automotive and other manufacturing companies, including terms and conditions. Ms. Baucus also manages national portfolios of lawsuits for some of the nation’s largest residential mortgage servicers.