Menu

IoT FEATURE NEWS

Connected Cars: It's All About the Software

By Carl Ford June 10, 2015

Anand Sanwal, of CB Insights regularly sends out some of the most interesting aspects of the IoT marketplace.  You may have seen their periodic table of IoT Investment, but this week’s “picture worth a thousand words” was about the unbundled car.

Like so many things on the Internet, the vehicle has become an open market for disintermediation between the car manufacturers and the rest of the industry.  Like utilities coping with Nest, car manufacturers have to deal with a growing after market that is focused on specific opportunities and therefore able to accelerate past the in-house development.

The implication is that cars will continue to be a hot market for innovation to be revealed this year, since 2013 was when VCs started to put money into the business. Investments have been made by the ventures arms of BMW, Castrol, Intel, Qualcomm and Verizon.

In Clayton Christianson terms, we can say that the innovator’s disruption is coming and in this case, it is coming from all directions. The quickest way to market is still being part of the supply chain for the manufacturers themselves, but the innovation is going to be driven by aftermarket opportunities in many cases.

One place where we see this is with Buy Here, Pay Here insurance offerings.  Ken Shilson of the National Buy Here Pay Here Dealers Association hits a market ripe with used car inventories where dealerships are looking to eliminate the risks. While this sounds like a bottom feeder market, it is actually a disruption field that will continue to impact how cars are sold.  The same technology will be available when we are in Las Vegas to people who want to rent the car of their dreams with Enterprise’s exotic car services.

There is a case to be made that as pay-as-you-go automotive solutions continue to evolve, we will find the ownership of cars will be less attractive and pay-as-you-travel will increase.  This could be the ultimate Uber service or the end of “drivers” as cars become autonomous. It’s early to tell, but we can bet that it will have at its core a lot of software.




Edited by Ken Briodagh

Partner, Crossfire Media

SHARE THIS ARTICLE
Related Articles

AT&T and Aira Leverage IoT for Accessibility

By: Ken Briodagh    5/18/2018

Assistive Technology Platform Announces Global Expansion on Global Accessibility Awareness Day

Read More

The Risks of Ignoring Remote Monitoring Alarms

By: Special Guest    5/17/2018

With so many alarm alerts from remote monitoring, it's almost impossible for workers to pay attention to all of them, and that puts retail at risk.

Read More

How 5G Will Transform Consumer Entertainment and Enterprise Networking

By: Ken Briodagh    5/16/2018

Networking technology is approaching a problem, and an opportunity, because bandwidth latency. All of these problems are likely to be addressed by the…

Read More

How Will 5G Change Robotics and the IIoT?

By: Special Guest    5/16/2018

While some consumers are finally warming up to 4G connectivity, the most tech-savvy mobile users are already looking forward to the next upgrade: 5G.

Read More

Cayenne Spices Up India's Growing IoT Momentum Partnering with SenRa

By: Cynthia S. Artin    5/16/2018

India has not been slow to move on implementing IoT projects over the last few years, investing in smart cities and future jobs.

Read More