Telco titans race to capture connected car market

June 9, 2015

Major operators AT&T, Vodafone and Deutsche Telekom are stepping up their efforts in the automotive sector, having recently partnered with a series of automakers and automotive IoT service providers, according to Jeremy Cowan of M2MNow.

AT&T have recently partnered with Autonet Mobile, the Connected Car app developer and Airbiquity, the end-to-end platform provider, in order to strengthen its position in the Connected Car Market. The Autonet system enables users to, lock and unlock a vehicle remotely, manage check car maintenance reports, and enjoy in-car WiFi, powered by 4G LTE wireless connectivity. Airbiquity’s Choreo cloud-based services delivery platform will enable selected aftermarket connected car program end user registration and device management.

Since Vodafone’s acquisition of Cobra Automotive Technologies in August of 2014, the operator’s has formed a number of partnerships with auto manufacturers in Europe and Asia. Vodafone Automotive provides automotive products and services – which include in-car telematics, stolen vehicle tracking and usage-based insurance solutions – for vehicle manufacturers, insurance companies and fleets. In Europe, Vodafone Automotive’s customers include Aston Martin, Audi, Bentley, Ducati, Ferrari, Gruppo Piaggio, Infiniti, Lamborghini, Maserati, McLaren, Mercedes Benz Trucks, and in Asia, the operator has partnered with Kia, Hyundai, Toyota, Honda, Renault, Nissan, Volvo, and Volkswagen Group.

In Canada, Deutsche Telekom led a funding round for Mojio, the connected car platform, in which the company secured US$8 million. Mojio is an open platform that aims to help drivers plan and record trips, share driving information with friends and family and better understand their car’s health. Operator, DT, clearly views Mojio as a scalable, customisable and cost-effective option for resource management in its broader plans in the connected car market.

The connected car market is widely forecast to grow rapidly in the next few years, with operators in a unique position to provide connectivity and thereby create new revenue streams. According to analyst house Machina Research, the number of connected cars globally, will jump from 162 million in 2015 to 689 million in 2020, with sales rising from €26 billion to €109 billion in the same period.

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