{"id":2127,"date":"2017-09-15T14:33:14","date_gmt":"2017-09-15T09:03:14","guid":{"rendered":"https:\/\/www.autofacets.com\/insights\/?p=2127"},"modified":"2017-09-15T14:33:51","modified_gmt":"2017-09-15T09:03:51","slug":"connectivity-breathes-new-life-into-carmaker-prospects-says-gm","status":"publish","type":"post","link":"https:\/\/www.autofacets.com\/insights\/connectivity-breathes-new-life-into-carmaker-prospects-says-gm\/","title":{"rendered":"Connectivity breathes new life into carmaker prospects says GM"},"content":{"rendered":"

Connected cars are just the beginning of an exciting journey for OEMs, General Motor\u2019s Kurt Hoppe told Louis Bedigian.<\/em><\/strong><\/p>\n

The future of mobility is changing drastically thanks to a wide variety of new and innovative technologies. From cameras and sensors for autonomous driving to connectivity and the IoT, the cars of tomorrow are likely to be very different from those available today.<\/p>\n

\u201cEverything is getting connected,\u201d said Kurt Hoppe, global head of connected car innovation at General Motors. \u201cIt started off with routers and PCs and has gone to every device.\u201d There are many ways for the technology to be used but Hoppe said that manufacturers are especially intrigued by the insights that connectivity provides for each device, whether it\u2019s a car, a phone or something else entirely. In simple terms, automakers could, feasibly, collect new data to determine which features are being used most and adjust or discard those that are being ignored.<\/p>\n

Hoppe added: \u201cIt helps influence the roadmap and what\u2019s really important but then it also enables you, with that sustained connectivity, to build and deliver value-added services on top of it. Because it\u2019s software, it doesn\u2019t have the same level of investment or timeline that\u2019s necessary that might constrain or slow down innovation. You can build them as you learn with software. If it\u2019s not the best, you can try something else an hour later and you don\u2019t have to re-set up an assembly line for that.\u201d<\/p>\n

That\u2019s just the beginning. As cars become more like the devices developed by Apple and Google, automakers could deliver new innovations and vehicle iterations faster than normal development cycles currently allow. In time, automakers might even begin to create their own software operating systems.<\/p>\n

Said Hoppe: \u201cThe leading companies that have the resources to invest in differentiation are going to want to differentiate. As opposed to maybe the Tier 2, Tier 3 manufacturers, who are happy with the same user experience, the same operating system as the other manufacturers with a different colour or logo. I think the leading companies realise they need to differentiate.\u201d<\/p>\n

Automakers may also benefit by looking at the success and failure of other connected devices. Hoppe, an electronics industry veteran who helped launch smart televisions at LG, quickly learned that while consumers want thousands of apps for their phones, they only care about a few (Netflix, Hulu, Amazon Instant Video, etc.) on TV. This lesson could be applicable to automobiles \u2013 they may be connected but that doesn\u2019t mean they\u2019re smartphones on wheels.<\/p>\n

Searching for innovation<\/strong><\/p>\n

The auto industry used to be known for having a closed off, do-it-yourself attitude but that has changed over the last few years. Ford, BMW, Daimler and Audi are among the automakers that are investing in other companies to bolster their cars and the services they provide. In 2016 General Motors announced that it had acquired Cruise Automation, a start-up working to transform traditional cars into self-driving vehicles using aftermarket hardware. Additional partnerships and\/or acquisitions could be around the corner.<\/p>\n

\u201cWe\u2019re open to partnerships, whether it\u2019s tactical or strategic,\u201d said Hoppe. \u201cWe have a GM Ventures arm, which makes strategic investments into key partnerships along the way that help our business. We have an M&A group as well that will acquire companies as it makes sense. We have an office in Palo Alto in Silicon Valley for sourcing ideas and a community tech location in Waterloo, Canada, that\u2019s also open for innovative activity and partnerships.\u201d<\/p>\n

While there are a number of start-ups that have developed compelling concepts, Hoppe is most interested in those that have the capacity to fully execute on their ideas. He added: \u201cA classic start-up problem is they try to do too much and they bite off more than they can chew or they don\u2019t have enough focus and that doesn\u2019t end well for anyone. When I have a first meeting with a start-up or potential partner, we talk about, \u2018Six months from now when we announce something at the Consumer Electronics Show together, what\u2019s the headline?\u2019 And try to focus everyone on what would be the win-win and see if we can do that together.\u201d<\/p>\n

Getting connected<\/strong><\/p>\n

There\u2019s a lot of hype surrounding connectivity, particularly in automotive. Hoppe said that all of his colleagues in the consumer electronics industry are eager to get into connected cars. This is evident by the number of tech companies that have entered the fray, including Amazon, a company traditionally known for selling products online.<\/p>\n

Despite the heavy push, connectivity has yet to produce many in-car innovations. Hoppe expects that to change in the future. He compared connectivity to oxygen, saying: \u201cOnce you can breathe, you can do other things.\u201d<\/p>\n

Said Hoppe: \u201cThe underlying connectivity technology doesn\u2019t matter as much to me. It\u2019s always going to get faster, it\u2019s always going to get more ubiquitous, so that\u2019s kind of a given. What can you do on top of that? Yes, you need something on the other end of the connectivity, whether it\u2019s a device, service, a cloud, storage or whatever it is. If you think that it makes sense to have your car connected to Alexa in the cloud, what can you do with that? The connectivity enables creativity and innovation on top of it.\u201d<\/p>\n

\n

Courtesy of TU Automotive\u00a0<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Connected cars are just the beginning of an exciting journey for OEMs, General Motor\u2019s Kurt Hoppe told Louis Bedigian. The future of mobility is changing drastically thanks to a wide variety of new and innovative technologies. From cameras and sensors for autonomous driving to connectivity and the IoT, the cars of tomorrow are likely to <\/p>\n

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