Strategy Analytics: Connected Cars Emerge as Business Models Diverge

Connected Vehicle Telematics Revenues to Triple by 2016

BOSTON--(BUSINESS WIRE)--OEMs are expanding their offerings in terms of connected vehicle telematics services and vehicle-device connectivity solutions—launching in more countries as well as increasing feature sets, according to the Strategy Analytics report, “Connected Vehicle Telematics: Car Maker Profiles.” As competition intensifies, assessment of product opportunities is vital. The report, “Automotive Telematics Services: Shifts in Pricing and Monetization Expected,” assesses these telematics and connected in-vehicle connectivity product opportunities as well as planning and pricing challenges.

“Price model and monetization shifts, customer opportunity segmentation, automotive differentiation, regulation and cost prioritization will be the growing focus of automotive OEMs.”

“Competition between connected vehicle telematics services and vehicle-device connectivity solutions is mounting rapidly, with growing smartphone features and `apps' also adding to automotive product planning complexity,” noted Joanne Blight, Director of Automotive Multimedia and Communications Practice. “Price model and monetization shifts, customer opportunity segmentation, automotive differentiation, regulation and cost prioritization will be the growing focus of automotive OEMs.”

According to John Canali, analyst with Strategy Analytics, “2010 and 2011 are set to be major years for telematics and vehicle-device connectivity solutions. OEMs have redoubled their efforts to provide increasingly sophisticated solutions. No longer is the focus simply North America, but instead OEMs are seeking to provide vehicle telematics services and vehicle-device connectivity solutions globally, with many eyeing the growing automotive market in China.”

Report abstracts from these two reports may be found at www.strategyanalytics.com.

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Strategy Analytics, Inc. provides timely and actionable market intelligence focused on opportunities and disruptive forces in the areas of Automotive Electronics and Entertainment, Broadband Connected Home, Mobile & Wireless Intelligent Systems and Virtual Worlds. Headquartered in Boston, MA, with offices in the UK, France, Germany, Japan, S. Korea and China, Strategy Analytics works with clients through annual multi-client services, management team workshops and custom consulting engagements. For more information, please visit http://www.strategyanalytics.com/.