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Connected Car vendors - Why are they needed?

Every year cars become not just a means of transportation, but also real smart cars, thanks to the development of Connected Car vendors. But who are they and what is their role in the automotive industry?

These are technology companies engaged in the integration, application and maintenance of Telematics in cars in order to make them smarter. But the differences in their approaches and solutions can be significant.

Examples of Connected Car vendors:

1. Apple CarPlay and Android Auto: These vendors provide platforms for integrating smartphones with car multimedia systems, allowing drivers to use applications, navigation and multimedia content on their smartphones through the car screen.

2. Harman: This company specializes in the creation of audio and information systems for cars. They develop integrated multimedia systems with high-quality audio systems and interfaces.

3. Tesla is an example of an OEM (Original Equipment Manufacturer) Connected Car vendor. They are developing their electric cars with unique features such as an autopilot system and over-the-air upgrades.

Getting data from cars: OBD, OEM, GPS/GSM

Different methods are used to get data from cars, and each of them has its own characteristics:

1. OBD (On-Board Diagnostics): The OBD port provides access to vehicle data such as engine status and safety systems. Diagnostic devices connected to the OBD port are used to obtain this data.

2. OEM (Original Equipment Manufacturer): OEM Connected Car vendors, such as automakers, have direct access to vehicle data, as they integrate their own systems into cars during production.

3. GPS/GSM: This method is used to collect location data and transmit it to remote servers via the GSM network. This allows you to track the position of the car and provide navigation services.

"Very interesting, but nothing is clear?!" - probably such thoughts creep in, and now on the facts about why it's better not to spend millions of money and waste years on launching an MVP yourself:

  1. Vendors have a ready-made Ecosystem that allows dealers to start using the Saas model for the next week, automakers for several months;
  2. The ability to release mobile applications based on the whitelabel approach or embed the SDK into existing applications in a few weeks;
  3. Telematics blocks do not need to be assembled from scratch, because vendors have well-established processes for production, supply and even licensing;
  4. The expertise that "Connected Car helpers" possess is so invaluable and is built on testing a variety of hypotheses, which allows automakers and dealers not to think about 80% of the issues;
  5. A ready-made IT team and client Support for processing incoming requests, which do not need to be trained from scratch and spend a lot of resources on it;
  6. The risks that exist when launching to the market in most cases are divided 50/50 or 30/70, which greatly simplifies the negotiation process and all parties are interested in the success of the launch, a marketing budget appears;
  7. Telematics units are cheaper in bulk than alarm systems (for example, Pandora and Starline) according to the latest study.
  8. Data and predictive analytics are what you should contact vendors for. The same Superpower that will help Dealers and Manufacturers understand their customers in 360 degrees
(!) My main message is that you don't need a lot of your own resources to launch a Telematics service to the market, because today there are Connected Car vendors that remove 80-90% of the pain from the entire automotive industry, regardless of the size of the dealer network and production volumes. But the most important thing is that they are ready to build a new behavioral model in a short time, which will additionally allow Dealers and Automakers to earn decent money.

Connected Car vendors are a very strong bridge between your business and end customers!

In the following posts I plan to share the criteria for choosing vendors, as well as to understand the top guys in the CIS and the World, tell me how much this topic is interesting to you?

I am ready to consider proposals for consulting and support for the launch of Telematics products - always welcome!

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Sergey Migin

Oct. 10, 2023 09:23

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Shyngys True · Oct. 18, 2023 23:38

Connected Car вендоры играют важную роль в том, как мы воспринимаем и используем автомобили. Их задача - сделать наши автомобили более умными, комфортными и безопасными. Давайте рассмотрим, почему они настолько необходимы:

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Нұрболат Елеш · Oct. 14, 2023 22:44

Эта информация может помочь лучше понять, как выбрать правильного вендора и какие преимущества они могут предоставить.

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