Frost & Sullivan Connected Car
Landscape Assessment
December 4th 2014
Franck Leveque, Automotive & Transportation Vice President
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Safety - Free Public eCall is Critical, savings of €20 Billion if Implemented but
Auto Industry is still Looking for Business Models
Reduction in 2500 Fatalities (EU-25)
Reduction in Crash Response Times
50% in Rural Areas
40% in Urban Areas
Benefits to Cost Ratio: 0.5 to 2.3*
Realistic Implementation
Looks Possible beyond
2017
PSAP Infrastructure
Upgrades, OEM Time
OEMs can better Monetize
using private telematics
Tethering is still being debated
EU’s proposed roaming ban will
enable growth
In-band modem technology still
debated
BMW Assist
MB eCall
Connect/
e-Touch
SYNC
OnStar 2015
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Safety – SIMtd project was crucial to pilot important V2V applications. Several OEMs are
expected to roll out V2V applications in 2015/2016 timeframe
Intersection
Movement Assist
Forward Collision
Warning/Blind Spot
Control Loss
Warning
Emergency Brake
Light Warning
Road Works
Warning
Bad Weather
Warning
Intersection Collision
Avoidance
Traffic Sign
Recognition
OEMs are looking at Safety
as a key Value Proposition
from V2V First
Local governments are
working with OEMs on a
public private partnership to
drive V2X
School Zone
Warning
Curve Speed
Warning
Road Departure
Warning
Dynamic Speed
Limit Info
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Clean – The annual cost of congestion in Europe is in excess of 100 billion Euros.
Services like smart parking have shown the ability to decrease this by more than 20%
Impacts of Smart Parking
Fewer Miles Driven Looking for
Parking
Reduction in parking congestion in peak and
off peak hours by ~22% and ~12%.
Decrease in parking and traffic congestion,
potential to increase GDP by ~ 2%
Parking analytics backs data based
decisions- demand-based pricing.
Improvement in city’s sales tax revenue by
~11.5 - ~12.0%
Smart city pilot project in Pisa, Italy an
intelligent parking system and analyze
historical traffic data via a big data
service
Specific regions in Europe suffer in
excess of 92 hours per year waiting
time in traffic –e.g. Rome has the
highest time wasted in traffic
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Clean – UBI programs that include mileage and driver behavior analysis impacts safety
and congestion reduction positively with 20-25% and 5-10% respectively
Pay How You Drive is Currently
Most Popular in Europe
PHYD
Driver Behavior Mileage-based
PAYD+Crash
Management
PAYD
Combination of
Miles+PHYD
Telematics Insurance
MHYD
• The AA
• Allianz
• Aviva
• AXA
• CIS
• Coverbox
• Direct Line
• Equity
• iKube Young Drivers
• Ingenie
• Insure the Box
• MAPFRE
• Polls Direct
• Reale Mutua
• RSA
• Sabre
• Uniqua
• Young Marmalade
• WGV
Over 25 million UBI Subscribers by 2020 in Europe
UK and Italy will be Biggest Markets
Clear environment benefits by limiting driving miles
Improved safety by measuring driver behavior
OEMs are getting in because of the CRM Impact
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Secure – Over 50 vulnerable attack points exist in the modern day ECU driven
smartphone on wheels and the concern is both in-car and back-end security
Remote Hacking
Short Range (e.g. RFID)
In-Car Hacking (e.g. USB)
Remote Hacking
Long Range (e.g. DSRC)
Remote Lock/Unlock Manipulation Vehicle Theft
Firmware
Manipulation Malware Injection Feature Activation/
Disabling
Copyrights Valuable IP Licenses/Agreements
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Secure – Most Important Action Item for OEMs currently is to create Virtualized Layers
by which they can secure and stonewall mission critical vehicle systems
Ways to Secure
Digital Certificates
for Apps
Data Retention
Policies
Data Ownership &
Services for User
Firewalls Separating
Critical Components
Secure/Hardened
Operating System
Virtualization HW
Partition Layers
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UBI
Infotainment
Connected
Services Driver
Behaviour
Warranty
Optimisation Prognostic
Repair Mgt
Customer
Satisfaction &
Loyalty
Product
Development &
Testing
FOTA/SOTA &
Electronics
Lifecycle Mgt
Retail
Supply Chain
Optimisation
ENVIRONMENT SAFETY
ACCESSIBLE AFFORDABLE
Re
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Ge
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rati
on
P
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The Business Model of Connected car is like an “Iceberg” - The impact is
significant, but the most important part is immersed !
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Contact details
Franck LEVEQUE Vice President & Business Unit Leader
Automotive & Transportation
Direct: +49 (0)69 770 33 21
Mobile: +49 (0)151 27 67 08 24
Fax: +49 (0)69 23 45 66
Email: [email protected]