Onboard Internet seen to raise profits for carmakers, IT and mobile phone firms

Article by Christian Andrei, on December 1, 2010

On-board Internet access is expected to be featured as a regular option in cars as technology is predicted to penetrate the masses within the next few years. This means that profits will increase for automakers and the IT and mobile phone companies.

However, many other industries, including insurers and auto clubs, seek to use new business models to take advantage of the systems' expected arrival and the large profits that could be reaped in Europe.

Horst Leonberger, manager of Deutsche Telekom's networked vehicle unit, said that studies show that drivers are prepared to spend about 10 euros a month for safety-related services and other offerings.

He said that with 350 million vehicles in Europe, the result is a multi-billion euro market “if only 10% accept these services.” Deutsche Telekom is included in the list of high profile names that include Microsoft, Google, Apple and Nokia, who want to participate in the new market.

Money can be acquired in several ways, ranging from the sale of technology that manufacturers and suppliers require, to the operation of an infrastructure, including mobile online services.

In addition, the industry is targeting the under-35 crowd, those who grew up with the Internet as well as those who want unrestricted Internet access in vehicles. [via autonews - sub. required]

Topics: technology

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

Your 2017 Volkswagen Golf Facelift could get as sporty looking as the Golf R with the new R-Line packages. But without the sporty run and the premium price. Set to...
by - January 17, 2017
Whether or not you’re a tech addict, you realize that the digital revolution is now moving at high speed. Before you know it, there’s already a new one on the...
by - January 17, 2017
We really couldn’t deny that quite a number of Audi customers and would-be-buyers are intently waiting for higher performance RS versions of the Audi A4 and A5. Of course, these...
by - January 17, 2017
The Chevrolet Cruze is coming to Australia. But it won’t be known as the Chevrolet Cruze. Instead, it will bear the Holden badge and get the Astra moniker. The 2017...
by - January 17, 2017
As expected, four years after the current generation of the BMW 4 Series was introduced in 2013 with the BMW 4 Series Coupe, the German premium carmaker is implementing a...
by - January 17, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries