Connected Car EstimatesBII

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Last week, General Motors announced that it would begin offering unlimited data for owners of its LTE-connected cars, according to DSLReports.

Customers with OnStar 4G LTE Wi-Fi hotspots — powered by AT&T — can access the unlimited prepaid data option for $20 per month, according to the announcement. Connected cars, which are a hot topic currently, took center stage on day two of Mobile World Congress in Barcelona last week.

The move to offer unlimited data could incentivize increased usage of in-car Wi-Fi hotspots, which are often cost prohibitive. While the cost of in-car data usage is decreasing, falling from $500 for 30GB in 2014 to $40 for 10GB, these are costs that come on top of the monthly costs of smartphone data bills.

And considering that in-car data consumption is growing rapidly, providing consumers with an unlimited option could be an appealing option. In 2016, around 4 million GB of data were consumed by Chevrolet owners alone, according to parent company GM. That’s up 200% from the in-car data consumed in 2015. 

The connected car will be the next battle ground for telecoms and media groups. In 2015, the average urban US commuter wasted about 42 hours per year in traffic jams, according to a report by the Texas Transportation Institute. This figure was much higher in gridlocked metropolises like New York, Chicago, and Los Angeles. Washington, DC fared worst of all, with commuters there wasting 82 hours per year in traffic.

This means people are spending more time with their eyes on the road rather than their mobile devices or in-car entertainment systems. The increasing autonomy of cars means this will eventually change, and soon, the car will be another “mobile” platform for entertainment. 

Over the past two years, there has been a significant uptick in the number of connected cars on the road. And as internet integration becomes more commonplace, the automobile as we know it will transform. Over the next five to 10 years, this internet integration is expected to change the car ownership model, create a new platform for consumers to access content, lead to fully autonomous vehicles, and revolutionize the auto industry.

The market position of the car today is similar to where the smartphone was in 2010 — it’s just taken off and is ready to explode.

BI Intelligence, Business Insider’s premium research service, has compiled a detailed report on the transformation of the automobile that examines the transformation of the automobile. It also analyzes all areas of the changing automotive market, including the market size for connected cars, automakers benefits and connection strategies, market leaders, consumer demand, and more.

Here are some of the key takeaways from the report:

  • Over 380 million connected cars will be on the road by 2021. The market has seen a significant increase in automakers plans to connect the majority of the vehicles they sell and as a result, we’ve increased our 2015 forecast.
  • Automakers are connecting the vehicles they sell because the connection offers clear business opportunities.
  • Consumers are adopting the connected car faster than expected. We identify the 3 factors that causing the increase in demand.
  • Tech companies will play a major role in the future of the automotive market. The big question is whether tech companies will eventually manufacture cars?
  • Fully autonomous cars are only a few years away. Technological, regulatory, and consumer adoption hurdles still remain, but there have been many strides towards a car that can drive itself from point A to point B with little to no human interaction.

In full, the report:

  • Forecasts connected car shipments
  • Identifies automakers strategy for connection
  • Analyzes consumer interest in the connected car
  • Examines Apple CarPlay and Android Auto
  • Discusses the potential changing car ownership model
  • Describes the evolution of the self-driving car
  • Identifies top connected car and fully autonomous car barriers

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The choice is yours. But however you decide to acquire this report, you’ve given yourself a powerful advantage in your understanding of connected cars.