Grammar Clarification – ‘In Between’ or ‘Between’

Here the verb "to take" is being applied to the noun "technology". In a much simpler form, the sentence would be

Technology takes advantage of (something)

This is still the correct form to use when additional qualifiers and elements of speech are included. Additionally though, I would point out that while many different components of many different cars have changed from mechanical to digital, you are really talking about a single change in the technology used to make cars. So I would say instead

The cars underwent a rapid change from the application of mechanical technology to digital, that currently takes advantage of artificial intelligence.

Edit: Another possibility, that makes one of your initial forms correct in this context, is to say

...that is currently taking advantage of...

Actually, there is grammatically little difference between reaching a conclusion, or say, reaching the other side of the river.

The other side of the river can be reached by bridge.

This seems clear - however:

Can be reached the other side of the river by bridge.

Does not seem to make much sense.

In a similar way, a conclusion can be reached, but not *"can be reached a conclusion". - let alone *"can be reached to conclusion".

So your second sentence is the correct one :)