A Policymaker's Guide to Connected Cars
A Policymaker’s Guide to Connected Cars BY ALAN MCQUINN AND DANIEL CASTRO | JANUARY 2018 In 2011, Akio Toyoda, the president of Toyota, unveiled a car concept he Absent proactive public 1 policies, the continued described as a “smartphone on wheels.” This metaphor is apt. Over the development and last decade, car manufacturers, technology companies, and broadband adoption of connected providers have connected vehicles to networks, automated many of their vehicles will slow. functions, and brought a wealth of innovative applications to consumers. Policymakers should take steps to spur the continued deployment of connected cars, especially by ensuring that connected cars can “talk” to connected infrastructure. In the past, cars were primarily mechanical devices that used some electricity to power certain components, such as lights, radios, and spark plugs. Over the last two decades, cars have incorporated both mechanical and digital capabilities. Just as computers became increasingly connected to the Internet in the 1990s, cars are now becoming increasingly connected to networks and devices. Not only does this include connectivity to the Internet, it also includes connections to digital services provided by automakers, to the driver’s smartphone, and to devices outside the vehicle, such as traffic lights, parking meters, other vehicles, and smart home equipment. Connected cars are becoming more common, with one report estimating that 90 percent of all new cars will have connectivity by 2020.2 Another report estimates that by 2020, there will be 61 million cars with data connectivity in use globally.3 But their deployment and functionality could be limited without supportive public policies.
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