Then explain how it would work exactly.

Anything other then capitalism with slightly more regulation is just going from the US to Germany. Great, but they have software updates on cars too.

If you want to change anything more fundamental, you are going to have to do a planned economy.

At best you can say, maybe could be slightly better Germany by having a better political process or something. But even then, software updates in your car are going to be a reality because it solves are problem for manufactures, saves consumers lots of time in many cases and generally the positives outway the negatives.

I bet you 100% that in any planned economy OTA updates would still happen.

At best we can argue for some better practice about OTA Updates in regards to security and functionality. Maybe forcing manufactures to have a 'security only' feed an a 'feature feed'.