FUTURE OF MOBILITY

DON WALKERCEO, MAGNA INTERNATIONAL INC.

LOOKING TO THE

IMAGINING THE FUTURE

TIMING IS DIFFICULT

PREDICTABLE

Accept the Trends

Technology

Artificial Intelligence

Virtual / Augmented Reality

Internet of Things / Connectivity

Driverless Cars (ADAS)

Advanced Robotics

Advanced Materials

Additive Manufacturing

Drones

People & Planet

Urbanization

Health Care Advances

Aging Population

Global Warming

Solar/Renewable

EV / Hybrid

Wealth Distribution

• People/Countries

FUTURE TRENDS INCREASING PACE OF CHANGE

Technology People & Planet

FUTURE TRENDS IMPACTING AUTOMOTIVE

Artificial Intelligence

Virtual / Augmented Reality

Internet of Things / Connectivity

Driverless Cars (ADAS)

Advanced Robotics

Advanced Materials

Additive Manufacturing

Drones

Urbanization

Health Care Advances

Aging Population

Global Warming

Solar/Renewable

EV / Hybrid

Wealth Distribution

• People/Countries

COMPLEX TECHNOLOGY PLATFORM

Seating Systems

SEATING

Complete Vehicles

VEHICLE ENGINEERING &

MANUFACTURING

Body Exteriors & Structures

EXTERIORS ROOF SYSTEMSBODY & CHASSIS

Power & Vision

MECHATRONICS MIRRORSELECTRONICSPOWERTRAINLIGHTING

MAGNA TODAY

TODAY

ICE

Basic ADAS

Private Ownership

MID-TERM

Hybrid Mainstream

Geo-Fenced Autonomy

Private and Shared

FUTURE

All EV

Full Autonomy

Smart Infrastructure

Mobility as a Service

TECHNOGICAL ADVANCEMENTS

GLOBAL POWERTRAIN PENETRATION

ICE Micro hybrid Mild hybrid PHEV / HEV EV

11-21%

37-45%

9-17%16-21%

11-12%

2030

ESTIMATED VEHICLES:

WITH ELECTRFIED

POWERTRAIN IN 2030

70M

GLOBAL ADAS PENETRATION

3% 24%

22%

21%

23%

7%

Level 0 Level 1

2030

ESTIMATED MARKET

SIZE:

$80-95 BILLION IN 2030

CYCLICAL R&D/CAPEX

INDUSTRY VALUATION

LOW P/E

COOPERATION

CONSOLIDATION

EFFICIENCY

VISION FOR A COUNTRY

• Population

• Raw Materials

• Area of Expertise

• Jobs

• Education System

• Health Care System

• Health of People

• Debt

• Tax Rates

• Freedom

• Capitalist (vs. Socialist)

• High Standard of Living

• Safe

• People Take Responsibility

CURRENT

STATE

VALUES

• Population

• Demographics (By Region)

• Wealth Distribution (People/Countries)

• Security

• Environment (Legislation)

• Energy (Solar)

FACTORS

‒ A.I.

‒ Internet of Things

‒ Advanced Robotics

‒ Health Care Advances

‒ New Materials

‒ Additive

‒ Manufacturing (3D print)

‒ Virtual Reality

• Demographics

• Health of Citizens

• Jobs

• Standard of LivingEXPECTED WORLD IN 2030

DESIRED STATE

• Education System

• Debt

• Tax Rates

Analysis Options Action Plan

FOR MAGNA

VISION

World Class

Manufacturing

Innovation Best People Future Mobility

FOUNDATION FOR LONGEVITY

CLEAN

CONVENIENT

ECONOMIC