July - 2015 - issue > CXO INSIGHT

Powering Connected Car Innovations with Cloud

Sanjay Ravi
Sr.Director-Worldwide Manufacturing-Microsoft
Thursday, July 2, 2015
Sanjay Ravi
The connected-car experience is the future of the automotive industry. It's changing the relationship between automakers and their customers and offering new revenue streams for manufacturers. Information Handling Services estimates that by 2018, worldwide sales of In-Vehicle Infotainment (IVI) systems that help power the intelligent car will approach 80 million units annually, an increase of 50 million from today's level.

Traditionally, automakers knew who bought the car, but had no connectivity on the back end after the purchase, so there was no way to offer personalized services. Today, automakers are attempting to use the power of cloud computing, data analytics and intelligent devices to deliver personalized consumer experiences from anywhere.

However, many "Connected-Car" services are made up of dozens of hardware, software and services technologies, provided by a variety of technology partners. This makes it difficult for automakers to deliver a truly connected and intelligent car to their markets because these disparate technologies have to work together, and comply with industry standards and regulations.

Some tech companies sense this opportunity to popularize their own branded software and own the whole in-car digital experience from navigation to voice search and communications, media and safety. This puts automakers in a tough situation as they need to innovate and attract technology-savvy customers, but often don't have the proper IT infrastructure to support top-quality connected-car experiences.

Ideally, automakers will be able to use a data platform that is scalable, works with a variety of hardware, software and service vendors, and allows them to protect their brand and customer data.

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