Introduction to TelematicsIntroduction to Telematics

AchitianAchitian

3/8/20133/8/2013

OutlineOutline• What is Telematics?What is Telematics?

• ArchitectureArchitecture

• ServicesServices• Passenger Car Telematics Market Passenger Car Telematics Market

OverviewOverview• Commercial Vehicle Telematics Market Commercial Vehicle Telematics Market

Overview Overview• Recent Developments: Emerging Drivers Recent Developments: Emerging Drivers

of Growth in the Passenger MarketFuture of Growth in the Passenger MarketFuture Trends in Passenger Car Telematics Trends in Passenger Car Telematics

• Future Trends in Commercial Vehicle Future Trends in Commercial Vehicle TelematicsTelematics

What is Telematics?What is Telematics?

• TelematicsTelematics– Telecommunication + InformationTelecommunication + Information– Provide information into the car by using Provide information into the car by using

telecommunicationtelecommunication– Key application of mobile computingKey application of mobile computing

ArchitectureArchitecture

Architecture (sever side)Architecture (sever side)

Architecture (client side)Architecture (client side)

GPS sensor Embedded

equipmentAV HMI

Wi-Fi 3G

Terminal in-vehicle

Internet

Wireless

ServicesServices• Security ServiceSecurity Service

– Emergency rescue with 911Emergency rescue with 911– Car location tracing (thief-proof)Car location tracing (thief-proof)

• Information serviceInformation service– Navigation assistant (real-time traffic Navigation assistant (real-time traffic

information)information)– Weather, stock informationWeather, stock information– Entertainment and M-CommerceEntertainment and M-Commerce

• Context-Aware and Event-base serviceContext-Aware and Event-base service– Vehicle Diagnostic ServiceVehicle Diagnostic Service– Car Insurance based on driving statisticCar Insurance based on driving statistic

ServicesServices

Emergency call or mayday services

Device-to-device communication

s

Interactiveon-board

entertainment

Navigation and route guidance

services

Remote vehicle access and diagnostics

Person-to-person communicatio

ns

E-commerce applications

Interactive value-added services

Commercial fleet management

Remote vehicle theft tracking

Services available using telematics devices:

Current Device OptionsCurrent Device Options

• Autonomous navigation systemsAutonomous navigation systems

• Integrated multimedia systemsIntegrated multimedia systems– On-board personal computersOn-board personal computers

• Rear-seat entertainment systemsRear-seat entertainment systems

• Installed wireless phonesInstalled wireless phones– Can be integrated with mayday serviceCan be integrated with mayday service

Handheld wireless phones and PDAsHandheld wireless phones and PDAs– Not telematics devicesNot telematics devices– Could affect telematics demandCould affect telematics demand

•Similar technologies/functions, but portableSimilar technologies/functions, but portable

•Wireless integration soon possibleWireless integration soon possible

Current Service OptionsCurrent Service Options• OEM mayday or emergency call servicesOEM mayday or emergency call services

– GM/Saab OnStar, Ford/Lincoln RESCU, GM/Saab OnStar, Ford/Lincoln RESCU, Mercedes TeleAid, Jaguar Assist, etc.Mercedes TeleAid, Jaguar Assist, etc.

– Simple interface, connects to human voiceSimple interface, connects to human voice– Fee- or subscription-basedFee- or subscription-based– Range of services (mayday, concierge, etc.)Range of services (mayday, concierge, etc.)

• Independent information and Independent information and emergency call servicesemergency call services– ATX, Cross Country GroupATX, Cross Country Group– Similar services, fees, etc., to OEM systemsSimilar services, fees, etc., to OEM systems

•Often serve as call centers for OEM Often serve as call centers for OEM systemssystems

Key Telematics SuppliersKey Telematics Suppliers

Locationtechnology firms

Automotive interior firms

Call center firms

Voice recognition technology firms

Automotive electronics firms Mapping software

firms

Automotive

Telematics

Nav system producers

Satellite radio firms

Automotive audio firms

Dot.coms Communications technology firms

Automotive networking and interface firms

Telematics Devices for Telematics Devices for TractorsTractors

Telematics Devices for Telematics Devices for TrailersTrailers• On-board integrated tracking systemsOn-board integrated tracking systems

with GPS receiver/antenna, wireless with GPS receiver/antenna, wireless communications, and battery/chargercommunications, and battery/charger

• On-board sensor systemsOn-board sensor systems to allow to allow monitoring of whether trailer is monitoring of whether trailer is loaded, doors open, temperature, etc.loaded, doors open, temperature, etc.– Sensor system often integrated with tracking Sensor system often integrated with tracking

system to send real-time information to the fleet system to send real-time information to the fleet officeoffice

Commercial Vehicle Commercial Vehicle ServicesServices• CommunicationsCommunications• Tractor and trailer locationTractor and trailer location• Routing/dispatch/ETA informationRouting/dispatch/ETA information• Electronic driver logsElectronic driver logs• ReportingReporting• Billing/accountingBilling/accounting• Electronic customer relations managementElectronic customer relations management• Remote tractor/trailer monitoring/diagnosticsRemote tractor/trailer monitoring/diagnostics• Theft monitoringTheft monitoring• Driver performance monitoringDriver performance monitoring• Fleet management, cost, productivity Fleet management, cost, productivity

assessmentsassessments

Fleet Service/System Fleet Service/System ProvidersProviders• Communications/information service providersCommunications/information service providers

– American Mobile, Qualcomm/OmniTRACS, American Mobile, Qualcomm/OmniTRACS, ARINC/Dominium, HighwayMaster, ARINC/Dominium, HighwayMaster, OrbcommOrbcomm

• Communications/information systems providersCommunications/information systems providers– Cadec, XATA, EatonCadec, XATA, Eaton

• Internet-based communications/information Internet-based communications/information servicesservices– @Road, Qwiktrack@Road, Qwiktrack

• Truck-stop kiosk/hook-up internet-based Truck-stop kiosk/hook-up internet-based communications/information servicescommunications/information services– DriverNet.com, PNVDriverNet.com, PNV

Recent Developments:Emerging Drivers of Growth in the

Passenger Market

Driver #1:Driver #1:VolumeVolume

• More More telematics and multimediatelematics and multimedia devicesdevices as OE options on MY2000 as OE options on MY2000 cars and light truckcars and light truck– Primarily on luxury Primarily on luxury

models and minivansmodels and minivans

• Some telematics and Some telematics and multimedia devices multimedia devices are standard are standard equipment in MY2000equipment in MY2000– Only on luxury modelsOnly on luxury models

Driver #1:Driver #1:VolumeVolume• More OE More OE telematics servicestelematics services in MY2000 in MY2000

– Particularly emergency-response servicesParticularly emergency-response services– Some (OnStar) expanding beyond luxury Some (OnStar) expanding beyond luxury

modelsmodels

• OnStar available on 29 MY2000 GM OnStar available on 29 MY2000 GM modelsmodels

– Rely on simple interface, human contact Rely on simple interface, human contact

• More OEMs providing telematics service More OEMs providing telematics service interface as standard equipmentinterface as standard equipment– Revenues derived from service fees or Revenues derived from service fees or

subscription subscription

Driver #1:Driver #1:VolumeVolume• Expanding range of products is essential Expanding range of products is essential

to market’s growthto market’s growth– Increasing consumer awareness of telematicsIncreasing consumer awareness of telematics

• Availability in rental cars, increased Availability in rental cars, increased advertising (especially OnStar and advertising (especially OnStar and Mercedes)Mercedes)

– Telematics systems in hands of early Telematics systems in hands of early acquirers and other trend-settersacquirers and other trend-setters• High satisfaction and intention to make High satisfaction and intention to make

second purchase among telematics userssecond purchase among telematics users

• Higher volumes reduce prices, encourage Higher volumes reduce prices, encourage innovation and integrationinnovation and integration

Driver #2:Driver #2:Proliferating Industry Proliferating Industry AlliancesAlliances

Computer software

firmsAutomotive electronics firms

Mapping software

firms

OEMs

Nav system producers

Location technology firms

Communications technology

firms

Voice technology firms

Networking technology firms

OEMs

Telecom equipmen

t providers

Call center provid

ers

Telecom service

providers

“Content”

providers

Telematics

suppliers

Automotive

interior firms

Driver #2:Driver #2:Proliferating Industry Proliferating Industry Alliances Alliances • Telematics applications depend on Telematics applications depend on

diverse technologiesdiverse technologies– Beyond scope of one individual companyBeyond scope of one individual company– Beyond scope of automotive OEMsBeyond scope of automotive OEMs– Beyond scope of traditional automotive Beyond scope of traditional automotive

supplierssuppliers– Beyond scope of telecom, consumer Beyond scope of telecom, consumer

electronics, IT supplierselectronics, IT suppliers

• Telematics services require diverse Telematics services require diverse types of content, customer relations, types of content, customer relations, etc.etc.

• Alliances essential to meeting needs Alliances essential to meeting needs for diverse technologies and skillsfor diverse technologies and skills

Driver #3:Driver #3:Movement on StandardsMovement on Standards• Auto and electronics firms cooperate on Auto and electronics firms cooperate on

standardsstandards

Standardizing interfaces to

promote “plug-and-

play”SAE

TSC AMI-C

IDB Forum

In-vehicle Telematics Standards

Standardizing open

networks through ITS

Data Bus

Driver #4:Benign or Supportive Public Sector• Regulations have helped create marketRegulations have helped create market

– E-911 regulation provided invaluable boost to E-911 regulation provided invaluable boost to GPS location technologyGPS location technology

– EPA and CARB regulations helped drive OBD-I EPA and CARB regulations helped drive OBD-I and OBD-II developmentand OBD-II development

• Federal and state governments actively Federal and state governments actively promoting ITS research and deployment promoting ITS research and deployment

• Safety concerns on hold so far, but Safety concerns on hold so far, but threatenthreaten– Industry adopting some self-regulationIndustry adopting some self-regulation– NHTSA focus to date on cell phonesNHTSA focus to date on cell phones

•States and localities also concernedStates and localities also concerned

Driver #5:Driver #5:Telematics and E-commerceTelematics and E-commerce• Many OEMs view telematics services Many OEMs view telematics services

as part of web that extends customer as part of web that extends customer relationshiprelationship– Envision wide-ranging revenues from Envision wide-ranging revenues from

service fees, vehicle maintenance, service fees, vehicle maintenance, advertising, etc.advertising, etc.•Simple interface as standard Simple interface as standard

equipmentequipment•Contrast with device-led growth in Contrast with device-led growth in

JapanJapan

OEM Call center

Satellite

Radio

Internet

portal

Internet conten

tService

Providers

Recent Developments Drive Recent Developments Drive Projections of Growth Projections of Growth

0.01 0.06 0.20.82

2.54

4.96

7.98

11.17

0

2

4

6

8

10

12

1997 1998 1999 2000 2001 2002 2003 2004

Mill

ions

of su

bscr

iber

s

Key Features of Next-Key Features of Next-Generation Telematics Generation Telematics DevicesDevices• Simple interfaceSimple interface

– Technological capabilities must be balanced Technological capabilities must be balanced by safety concerns and consumer interestsby safety concerns and consumer interests

• Voice recognition and text-to-voiceVoice recognition and text-to-voice– May be key to safety while car is movingMay be key to safety while car is moving– Systems may limit some functions to parked Systems may limit some functions to parked

carcar

• ““Plug and play”Plug and play”– Consumer will be able to install next-Consumer will be able to install next-

generation telematics and multimedia generation telematics and multimedia systemssystems

– Overcomes disparity in design and life cyclesOvercomes disparity in design and life cycles

Key Features of Next-Key Features of Next-Generation Telematics Generation Telematics DevicesDevices• ““Node on the internet”Node on the internet”

– Connect vehicle to internet contentConnect vehicle to internet content– Safety concerns must be addressedSafety concerns must be addressed

• Real-time featuresReal-time features– Real-time traffic key to growth in nav Real-time traffic key to growth in nav

systemssystems– Move away from limited coverage of Move away from limited coverage of

autonomous CD- and DVD-based systemsautonomous CD- and DVD-based systems

• Integration of functionsIntegration of functions– Single interface for wide range of applicationsSingle interface for wide range of applications

•Communications (data and voice), Communications (data and voice), navigation, audio, vehicle controlsnavigation, audio, vehicle controls

Next-Generation Telematics:Is Integration the Killer Application?• Everyone hopes for a single “killer app”Everyone hopes for a single “killer app”

– Navigation systems key in JapanNavigation systems key in Japan

• Killer application in U.S. could be Killer application in U.S. could be integrationintegration– Integration of interface for voice/data Integration of interface for voice/data

communications, vehicle controls, vehicle communications, vehicle controls, vehicle diagnostics, location technology, etc.diagnostics, location technology, etc.

– Integration can ease driver distractionIntegration can ease driver distraction– Integration driving cross-sectoral alliancesIntegration driving cross-sectoral alliances

• Risk:Risk: Integrated devices can easily Integrated devices can easily become outdated as technology rapidly become outdated as technology rapidly changeschanges– Does the answer lie in services, not devices?Does the answer lie in services, not devices?

Key Features of Next-Key Features of Next-Generation Telematics Generation Telematics ServicesServices• Voice/human contact essentialVoice/human contact essential

– Call centers will not be replaced by internetCall centers will not be replaced by internet– Particularly essential to mayday servicesParticularly essential to mayday services– Most important to older buyersMost important to older buyers

• Location-based content to increaseLocation-based content to increase– Nationwide coverage essentialNationwide coverage essential– Real-time traffic, weather, road statusReal-time traffic, weather, road status– Location-based concierge services and POIsLocation-based concierge services and POIs– Location-specific targeted advertisingLocation-specific targeted advertising

Leading Areas of Consumer Leading Areas of Consumer Interest in Telematics Interest in Telematics ServicesServices

61%

61%

38%

56%

25%

41%

24%

31%

31%

28%

0% 10% 20% 30% 40% 50% 60% 70%

Emergency Response

Roadside Assistance

Airbag Notification

Severe Impact Notification

Vehicle Alarm Notification

Stolen Vehicle Tracking

Lost & Found

Remote Diagnostics

Routing Assistance

Remote Door Unlock

Potential Roadblock #1:Potential Roadblock #1:PricePrice• OE telematics devices still expensiveOE telematics devices still expensive

– Installed nav systems cost $1800-$2000Installed nav systems cost $1800-$2000– Often bundled in luxury packages costing Often bundled in luxury packages costing

anywhere from $2500 to $7000anywhere from $2500 to $7000

• Aftermarket systems also expensiveAftermarket systems also expensiveDevice prices must come downDevice prices must come down

• Telematics services usually start at Telematics services usually start at $200/year for basic package$200/year for basic package

Service prices less an issue – provided Service prices less an issue – provided interface is standard equipmentinterface is standard equipment

Potential Roadblock #2:Competition from Portable Devices

Cell phonesSmart Phones

LaptopsPDAs

Nav Systems

Portable

Driving Technolo

gy

Portable

Dockable

Installed

Mayday Systems

Nav systemsAudio/Video

SystemsAutoPC

Cell phones

VehicleID

B B

us

Bluetooth

Potential Roadblock #3:Potential Roadblock #3:PrivacyPrivacy• Privacy issues long raised about InternetPrivacy issues long raised about Internet

– Ability of Web sites to track individual Ability of Web sites to track individual preferences without permission raises preferences without permission raises concernsconcerns

• Telematics compounds concerns through Telematics compounds concerns through vehicle tracking, remote monitoring, etc. vehicle tracking, remote monitoring, etc. – Concerns already appear in trucking industryConcerns already appear in trucking industry– Consumer concerns slow ITS deploymentConsumer concerns slow ITS deployment– Consumer concerns likely to growConsumer concerns likely to grow

•Telematics service revenues depend on Telematics service revenues depend on location-specific advertising, selling location-specific advertising, selling location and purchase information, etc.location and purchase information, etc.

Potential Roadblock #4:Potential Roadblock #4:Infrastructure Infrastructure • Telematics infrastructure poorly Telematics infrastructure poorly

developed:developed:– Multiple wireless communication standards Multiple wireless communication standards

•3G may resolve some of this problem3G may resolve some of this problem– What about 4G?What about 4G?

– Traffic information is inconsistentTraffic information is inconsistent•Traffic Data Forum aims to address issueTraffic Data Forum aims to address issue

– Poorly developed public ITS infrastructurePoorly developed public ITS infrastructure•National ITS Architecture could address National ITS Architecture could address

interoperability issuesinteroperability issues•ITS Deployment funding increasingITS Deployment funding increasing•Unclear support for IVI researchUnclear support for IVI research

Potential Roadblock #5:Potential Roadblock #5:A Proliferation of StandardsA Proliferation of Standards

Device-to-Device Connection Standards

IrDA

Bluetooth

Communication Standards

3GPP

WAP

TSC AMI-C

IDB Forum

In-vehicle Telematics Standards

Infrastructure Standards

Traffic Data

ForumITS

Standards

SAE

Potential Roadblock #6:Potential Roadblock #6:SafetySafety• Regulators target cell-phone use in carsRegulators target cell-phone use in cars

– NHTSA recently issued public warningNHTSA recently issued public warning– States and localities consider bansStates and localities consider bans

• NHTSA now targeting in-vehicle telematicsNHTSA now targeting in-vehicle telematics– NHTSA “forum” and public hearing assess NHTSA “forum” and public hearing assess

industry efforts, need for federal actionindustry efforts, need for federal action•Ongoing driver-distraction studies seek dataOngoing driver-distraction studies seek data

– In-car internet and e-mail of particular concernIn-car internet and e-mail of particular concern– Hands-free does not solve distraction problemHands-free does not solve distraction problem

• NHTSA open to industry self-regulationNHTSA open to industry self-regulation

Long-Haul Trucking to Long-Haul Trucking to Remain Key Telematics Remain Key Telematics MarketMarket• Key customers in long-haul trucking sectorKey customers in long-haul trucking sector

– Larger for-hire fleets have resources and needsLarger for-hire fleets have resources and needs– Evolving technology offers growth Evolving technology offers growth

opportunitiesopportunities

• Sector dominated by proprietary systems Sector dominated by proprietary systems and well-entrenched national providersand well-entrenched national providers– Qualcomm, HighwayMaster, American MobileQualcomm, HighwayMaster, American Mobile– Developing new products and services to take Developing new products and services to take

advantage of new technologiesadvantage of new technologies

• Trailer-tracking offers new growth are Trailer-tracking offers new growth are railers, efficient fleet-management, etc.railers, efficient fleet-management, etc.

Commercial Vehicle Commercial Vehicle Telematics:Telematics:Future TrendsFuture Trends• Open data bus could offer new Open data bus could offer new

opportunities opportunities– IDB Forum has held discussions with IDB Forum has held discussions with

heavy-truck standards groups heavy-truck standards groups– Adoption of IDB architecture could open door Adoption of IDB architecture could open door

to new services and devices to new services and devices•Multimedia, in-cab computer, infotainmentMultimedia, in-cab computer, infotainment

– Truck makers could become more activeTruck makers could become more active

• Portable devices would appeal to fleets Portable devices would appeal to fleets that rely on rental unitsthat rely on rental units

• ““Turnkey” solutions would appeal to Turnkey” solutions would appeal to smaller LTL fleets and short-haul fleets smaller LTL fleets and short-haul fleets

Commercial Vehicle Commercial Vehicle Telematics:Telematics:Future TrendsFuture Trends• Growth in location-based wireless Growth in location-based wireless

fleet-management services fleet-management services– Communications, asset tracking, remote Communications, asset tracking, remote

diagnostics, theft monitoring, etc. diagnostics, theft monitoring, etc.

• Integrates electronic fleet-management Integrates electronic fleet-management and CRM functions with the Web and CRM functions with the Web– Integration with “virtual” marketplacesIntegration with “virtual” marketplaces

• Existing suppliers, communications, and Existing suppliers, communications, and software firms developing new software firms developing new productsproducts– Smaller fleets prime market for new Smaller fleets prime market for new

internet-based technology and services internet-based technology and services

Commercial Vehicle Commercial Vehicle Telematics:Telematics:Privacy and Safety Pose Privacy and Safety Pose ThreatsThreats• Privacy issue is a major potential Privacy issue is a major potential

roadblockroadblock– Fleets use data for performance reviews, Fleets use data for performance reviews,

incentive programs, etc. incentive programs, etc.•Truckers angered by close monitoring of Truckers angered by close monitoring of

performance, driving techniques, etc. performance, driving techniques, etc.– Drivers and unions oppose tracking of Drivers and unions oppose tracking of

truckstrucks•Fears of “big brother”Fears of “big brother”•DOT mandate of electronic recorders DOT mandate of electronic recorders

sparks backlashsparks backlash

• NHTSA and FMCSA concerned about NHTSA and FMCSA concerned about safety of trucking telematics systemssafety of trucking telematics systems

Commercial Vehicle Commercial Vehicle Telematics:Telematics:A More Mature MarketA More Mature Market• Unlike passenger market, trucking sector Unlike passenger market, trucking sector has existing telematics infrastructure has existing telematics infrastructure – Long-haul market dominated by Qualcomm, Long-haul market dominated by Qualcomm,

etc.etc.•Heavy investment to date make it hard for Heavy investment to date make it hard for

fleets to move to more open systemsfleets to move to more open systemsTruck makers play little role to dateTruck makers play little role to date

• Smaller fleets offer best targetSmaller fleets offer best target– Internet-based services appealing due to low Internet-based services appealing due to low

start-up costsstart-up costs•Truck-stop services target individual Truck-stop services target individual

truckerstruckers

• Fast-growing short-haul sector also keyFast-growing short-haul sector also key

Canadian Telematics Poll

•As the accompanying chart shows, respondents felt Telematics implementation would impact most participating groups positively. 

•  Respondents felt that technology suppliers would be the biggest winners (86% of respondents felt suppliers would be impacted positively), followed by insurers (60% positive); and consumers (60%).

Key Market Participants In Key Market Participants In Canada Canada• Aether Systems, Inc.Aether Systems, Inc.

• AIRINCAIRINC

• AirIQ, Inc. (eDispatch.com Wireless Data, Inc.)AirIQ, Inc. (eDispatch.com Wireless Data, Inc.)

• AirLink Communications, Inc. AirLink Communications, Inc.

• AT&TAT&T

• Babaco Alarm Systems, Inc.Babaco Alarm Systems, Inc.

• BEA Systems, Inc. BEA Systems, Inc.

• Cadec Corp.Cadec Corp.

• Cellport Systems, Inc.Cellport Systems, Inc.

• Cingular Wireless LLCCingular Wireless LLC

• Cross Country Automotive ServicesCross Country Automotive Services

• ..

Directed Electronics, Inc.ERG Transit Systems (USA), Inc.Espial Corp.FleetBoss Global Positioning Solutions, Inc.Geographic Data Technology, Inc.IAV Automotive Engineering, Inc. IBM Corp.Integrated Systems Research Corp.Intel Corp.Intermec Technologies Corp.International Truck and Engine Corp.

Key Market Participants In Key Market Participants In Canada Canada • KORE TelematicsKORE Telematics

• MicroLogic, Inc. MicroLogic, Inc.

• Microsoft Corp.Microsoft Corp.

• Mobile Knowledge, Inc. (Previously SiGEM Inc.)Mobile Knowledge, Inc. (Previously SiGEM Inc.)

• MobileAria, Inc.MobileAria, Inc.

• Motorola, Inc.Motorola, Inc.

• NEXIQ Technologies, Inc.NEXIQ Technologies, Inc.

• Novatel Wireless, Inc.Novatel Wireless, Inc.

• OnStarOnStar

• Siemens Automotive Corp.Siemens Automotive Corp.

SkybitzSun Microsystems, Inc.Telenetics Corp.Teradyne Diagnostic SolutionsTerion, Inc.The Algan Group, Inc.Trimble Navigation Ltd.VerizonVetronix Corp.Vistar Datacom..

Summing Up:Keys to the Canada Telematics Market

• Development of integrated devices with Development of integrated devices with simple interfaces that address safety simple interfaces that address safety concerns – at an affordable priceconcerns – at an affordable price– Need to provide more than portable devicesNeed to provide more than portable devices– Standardization is key to meeting goals and Standardization is key to meeting goals and

offering latest technology in the car offering latest technology in the car

• Simplicity and safety essential in vehicles, Simplicity and safety essential in vehicles, even at expense of “gee-whiz” even at expense of “gee-whiz” technologytechnology– Industry must impose limits – or regulators willIndustry must impose limits – or regulators will– Risk of public backlash if safety not addressedRisk of public backlash if safety not addressed

Summing Up:Keys to the Canada Telematics Market

• Development of targeted services Development of targeted services delivered safely with low-priced (or free) delivered safely with low-priced (or free) interfaceinterface– Need to compete with other similar servicesNeed to compete with other similar services

•Potential competition from telcos, etc.Potential competition from telcos, etc.•Consumers do not want multiple internet Consumers do not want multiple internet

accounts, e-mail addresses, phone accounts, e-mail addresses, phone accounts/numbersaccounts/numbers

•OEM-Internet alliances may be answerOEM-Internet alliances may be answer– Privacy could become increasingly importantPrivacy could become increasingly important

• Key question:Key question: Why should the consumer Why should the consumer pay an automaker for these services? pay an automaker for these services?

Summing Up:Keys to the Canada Telematics Market

• OEM service-focused strategy OEM service-focused strategy endangered by open access, portable endangered by open access, portable devicesdevices– Europeans see handheld devices as keyEuropeans see handheld devices as key

• Safety/roadside aid services clearly Safety/roadside aid services clearly appealappeal

•Voice contact essential in U.S. marketVoice contact essential in U.S. market•Key test: Renewal rate for OnStarKey test: Renewal rate for OnStar

– Costs of delivering such services will escalate Costs of delivering such services will escalate as subscriber base growsas subscriber base grows

• OEMs must get consumers to buy broader OEMs must get consumers to buy broader range of services from themrange of services from them

RefrencesRefrences

• http://www.mixtelematics.comhttp://www.mixtelematics.com

• http://www.canadianunderwriter.cahttp://www.canadianunderwriter.ca

• http://www.tc.gc.cahttp://www.tc.gc.ca

• http://www.insurance-canada.cahttp://www.insurance-canada.ca

• http://analysis.telematicsupdate.comhttp://analysis.telematicsupdate.com

• http://www.trucknews.comhttp://www.trucknews.com

• http://ezinearticles.comhttp://ezinearticles.com

• http://en.wikipedia.org/wiki/Telematicshttp://en.wikipedia.org/wiki/Telematics

• http://www.telematicsupdate.comhttp://www.telematicsupdate.com

• http://www.journals.elsevier.com/http://www.journals.elsevier.com/telematics-and-informaticstelematics-and-informatics

• http://www.koretelematics.comhttp://www.koretelematics.com