Economist Intelligence Unit, via a Robert Ward email:
The term “connected car” conjures up images of futuristic self-driving vehicles, buzzing around towns and cities without the need for human control. Yet the concept of connectedness in cars is far from new. Basic in- car connectedness has been a part of auto technology for more than ve years, introduced via in-car entertainment and mapping systems in around 2010. Since then, however, cars have started to absorb ever-greater levels of technology.
The modern car is not only a feat of engineering, it is also a mobile supercomputer. Hidden beneath the steel or aluminium body is the computing power of 20 personal computers, dealing with around 100m lines of code and holding more processing power than any of NASA’s early spacecraft, including the original Apollo lunar module.
A truly connected car, in the modern sense, still gives drivers the ability to connect to music applications and use global positioning system (GPS) equipment. In addition, however, it is also slowly beginning to re ect the internal ecosystem of the car, using connectivity to provide users with feedback on the car’s performance, monitoring of the car’s components and mechanisms to ensure the comfort and convenience of a passenger’s journey. In future, these same systems could be used for future applications, including self-driving, car-sharing or communicating with the internet of things (for example, in connected homes).
It has taken some time for automakers to realise the potential of connected cars, and to devote time and resources to exploring the applications of such a technology. Yet the world of connected cars is moving fast, putting carmakers in a dif cult position. Traditionally the auto industry relies on months, if not years, of research and development (R&D), leading to new car models that then require investment in complex and expensive manufacturing plants and machinery to launch onto the market. The sunk start-up costs are high, as is the cost of failure. So car companies carry out exhaustive testing when it comes to issues such as safety, driveability and fuel economy, while also taking the time to ensure a car has the kind of marketability needed to appeal to consumers.