Oct. 19, 2025 | Bonus Episode: Cox Automotive President Steve Rowley on AI, tariffs
About this episode
Cox Automotive President Steve Rowley discusses the transformative impact of artificial intelligence on the auto industry, emphasizing its potential to streamline operations and enhance customer experiences. He highlights the importance of embracing AI for profitability and operational efficiency. Rowley also addresses the evolving landscape of electric vehicles (EVs), the challenges posed by tariffs, and the need for innovation to maintain affordability in a changing market. His insights reflect a forward-thinking approach to navigating the complexities of the automotive sector in 2025.
Automotive News Publisher KC Crain sits down with Cox Automotive President Steve Rowley to talk about how artificial intelligence is shaping Cox’s business and the rest of the industry, as well as Rowley’s view of the impact of tariffs on the market.
EVs
"Well, look, I mean, we've made a big investment in EVs."
EVs stand for electric vehicles, which run on electricity instead of gas. They are becoming more popular as people look for cleaner ways to drive.
EVs, or electric vehicles, are cars that are powered entirely by electricity rather than traditional gasoline or diesel engines. They are part of a broader shift towards sustainable transportation, which includes hybrids and other electrified vehicles.
OEMs
"...the advancements already over the last couple years that the OEMs have made in EVs is amazing."
OEMs stands for Original Equipment Manufacturers, which are the companies that make cars and their parts. They are responsible for building the vehicles we drive.
OEMs, or Original Equipment Manufacturers, are companies that produce parts and equipment that may be marketed by another manufacturer. In the automotive context, OEMs refer to car manufacturers that design and build vehicles, including their components and systems.
range anxiety
"...some of the big things that hold people back are more around range anxiety and things of that nature..."
Range anxiety is the worry that an electric car will run out of battery before you can recharge it. This can make people hesitant to buy electric cars.
Range anxiety refers to the fear that an electric vehicle will run out of battery power before reaching a charging station. This concern can hinder the adoption of EVs, as potential buyers worry about the availability of charging infrastructure.
electrified vehicle
"...we'll have a quarter of the sales that will be electrified, you know, both EV and hybrid..."
An electrified vehicle is any car that uses electricity to help it run. This includes electric cars that run only on batteries and hybrids that use both gas and electricity.
An electrified vehicle refers to any vehicle that uses electricity as a power source, including fully electric vehicles (EVs) and hybrid vehicles that combine an internal combustion engine with an electric motor. This term encompasses a range of technologies aimed at reducing emissions and improving fuel efficiency.
remand
"And we continue to look at diagnostics, remand, storage, recycling, and logistics."
Remand means sending a car or its parts back to the manufacturer for fixing or recycling. This can happen if there are problems with the vehicle.
In automotive terms, remand refers to the process of returning a vehicle or its parts to a manufacturer or supplier for repairs, refurbishment, or recycling, often as part of a warranty or recall process.
diagnostics
"And we continue to look at diagnostics, remand, storage, recycling, and logistics."
Diagnostics is a way to find out what's wrong with a car. Technicians use special tools to check the car's systems and see if there are any problems.
Diagnostics in the automotive context refers to the process of identifying and troubleshooting issues within a vehicle's systems, often using specialized tools and software to read error codes and performance metrics.
infrastructure
"Well, if it's technicians, we've heard about technicians today several times in the intellectual capital of how do I think about this EV, it's not an engine."
Infrastructure means the basic systems that support cars, like charging stations for electric vehicles and places to get them repaired.
Infrastructure in the automotive context refers to the foundational systems and structures that support vehicle operation and maintenance, including charging stations for EVs, repair facilities, and supply chains.
AutoVision
"Meet Avery, your AI assistant from AutoVision. Avery revolutionizes how you acquire, price, and sell vehicles by analyzing every detail, from retail values to market trends."
AutoVision is a company that uses artificial intelligence to help car dealers figure out the best prices for their vehicles and how to sell them better.
AutoVision is a company that provides AI-driven solutions for the automotive industry, helping businesses analyze market trends and optimize vehicle pricing and sales strategies.
average selling price
"...the economy is the upper right hand quadrant is doing well. The lower quadrant is getting day by day, and it's becoming a tough place for people to afford new cars at $49,000 as the average selling price on average and use cars hitting about $29,000..."
The average selling price is the typical amount people pay for cars. It shows how expensive cars are getting, which can make it hard for people to buy them.
The average selling price refers to the typical cost at which vehicles are sold in a specific market. In this context, it highlights the financial burden on consumers when purchasing new and used cars.
seven-year loans
"...we're seeing loans, seven-year loans now are at almost 22%. So those are big numbers."
A seven-year loan means you borrow money to buy a car and pay it back over seven years. This can make monthly payments smaller, but you might end up paying more in interest overall.
A seven-year loan is a type of financing agreement where the borrower agrees to repay the loan over a period of seven years. This extended term can lower monthly payments but may lead to higher overall interest costs.
drive train
"...how do I get more creative about this drive train so I can get the economies of scale and be able to use that along."
The drive train is what helps the car move. It takes power from the engine and sends it to the wheels so the car can drive.
The drive train is the system in a vehicle that transmits power from the engine to the wheels, allowing the car to move. It includes components like the transmission, driveshaft, and axles.
macro economics
"...it's a real one, and because of the macroeconomics, we never know where those interest rates are going to be..."
Macro economics looks at how the entire economy works, including things like prices, jobs, and how much money people are making. It helps understand big economic trends.
Macro economics is the branch of economics that studies the behavior and performance of an economy as a whole, rather than individual markets. It includes factors like inflation, unemployment, and economic growth.
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