Building Robust Security Framework for Connected Car Pradeep Chaudhry, HARMAN India Pg 22

Future of Mobility and Personal Transportati on Aloke Palsikar, Tech Mahindra Pg 20

Enabling Connected Vehicles Sudakshina Ghosh, SAP India Pg 12

Connected Cars & Connected Services in India Pg 6

www.telemati cswire.net/mag PG.2 | Smart Automoti ve | March - April 2016 www.telemati cswire.net www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.3 SMART AUTOMOTIVE March - April 2016 Contents

32 Connected Car an Ecosystem Play Views 34 Connnected Car - A New Era of Automoti ve Industry Automoti ve Cyber Security 15 Future-proofed vehicle

22 Building robust security framework for connected car 16 Automoti ve Cyber-Security: Separati ng Regional Overview fear from the fact 6 Connected Cars & Connected Services in India Futuristi c 30 Infotainment and connect begin to gain tracti on 11 The future of automoti ve industry is in India digital… 18 Building India’s Driverless Car 20 Future of Mobility and Personal Transportati on

Perspecti ve 26 Personalizati on and Contextualizati on 8 Customer Value Propositi on for Connected drive the Connected Car of tomorrow Car is Important Internet of Things 24 Vehicle becomes a part of the Internet of Things(IoT)

12 Enabling Connected Vehicles 36 M2M/ IoT in Automoti ve Sector 27 Telemati cs soluti on for Indian masses..a soluti on provider’s perspecti ve 38 News & Updates

PG.4 | Smart Automoti ve | March - April 2016 www.telemati cswire.net

CONNECTED CARS & CONNECTED SERVICES IN INDIA

Indian market readines to embrace for fragmented aft ermarket telemati cs tainment soluti ons (e.g., smartphone in- telemati cs soluti ons and commercial telemati cs tegrati on). This aligns with the business It’s not without a reason that the likes soluti ons over the last decade, there model followed in developed nati ons, of tech giants like Facebook and Google has been a renewed focus on OEM fi t- where the cost of infotainment is baked are looking to invest heavily in India’s ted telemati cs soluti ons, aimed at ad- into the cost of the vehicle, and the ser- digiti zati on eff orts. The desire for a con- dressing the passenger telemati cs mar- vices are provided free of cost for a life- nected lifestyle has made the Indian ket that carves out a huge chunk of the ti me. The underlying value propositi on audience an att racti ve market to invest $113M telemati cs opportunity in India2. is not compelling enough for the Indian in. We are in an era where macro-eco- Customer willingness to pay for consumers to pay on an ongoing basis. nomic factors, government regulati ons, telemati cs soluti ons Safety & Convenience: However, and customer readiness are all coming together at the same ti me. Telemati cs is becoming a key factor in- when it comes to Safety related features India is the second largest market for fl uencing vehicle purchase decision for (e.g., automati c collision noti fi cati on) smartphones in the world with an esti - consumers. In a 2014 consumer survey respondents were willing to pay and try mated 204 million1 smartphones - thanks conducted by Deloitt e, over 48% re- out a subscripti on model, as the value to the availability of cheaper smart- spondents had indicated a willingness propositi on is more compelling. Also, phones that has driven such penetrati on to pay for telemati cs soluti ons in their high operati onal costs disallow au- levels. With an increasing smartphone vehicle. In terms of absolute rupee val- to-makers from providing these features penetrati on, with 4G speeds becoming ue, the respondents ranged around INR free of cost to consumers. Such features mainstream in several urban citi es, and 1100 per year for infotainment solu- usually require the inclusion of a DCM the government laying the foundati ons ti ons, and up to INR 2400 per year for (Digital Communicati on Module) unit for a digital infrastructure through smart advanced telemati cs soluti ons including in the vehicle which signifi cantly adds citi es and other digital initi ati ves, we can Safety and Convenience features. to the cost of the vehicle, making it an only expect connected services to leap- Infotainment soluti ons: Contrary to economically diff erenti ati ng factor for frog exponenti ally in the Indian market, a popular belief in the Indian market, consumers. and catch-up with other ‘telemati cally’ over 69% of the respondents preferred What are the trending factors to look developed nati ons in the coming years. a one-ti me premium being added to the out for? While India has been a silent gold mine cost of the vehicle, specifi cally for info- 1. Smartphone integrati on: Smartphone integrati on will defi nitely be the future of in-vehicle infotainment, Favorable macroeconomic given the fl exibility and ease with which factors att racti ng technology the smartphone app stores can bring investments a multi tude of applicati ons to your ve- hicle. Contrast that with a traditi onal nati ve applicati on being developed by the auto-maker or a ti er 1 supplier that would take months to deploy. However, strictly speaking in the Indian Increased context, building the required app eco- Government’s connecti vity system to fully uti lize the smartphone digiti zati on eff orts integrati on, will be a tricky area. Players like Mahindra are already leading the way by joining the Open Automoti ve Factors favoring telemati cs Alliance (OAA), and integrati ng android adopti on in india phones to their line of premium vehicles. Players like MapMyIndia are already Consumer’s desire for Smartphone bringing social media integrati on and a a connected lifestyle penetrati on bunch of other applicati ons to your ve- hicle. Unless we have strong content ag-

PG.6 | Smart Automoti ve | March - April 2016 www.telemati cswire.net gregators like Harman, Nuance or Map- Consumers: Similar to how auto- MyIndia investi ng in this app ecosystem, makers are trying to fi gure out viable we will not be able to reap the complete business models, consumers are also benefi ts of the smartphone integrati on. skepti cal about how much to pay for Andriod Auto or Apple CarPlay becom- these services. We are at a stage where ing mainstream will be a game changer consumers do not know the value prop- in this space. ositi on of telemati cs yet. While consum- ers are open to subscripti on based mod- Telema cs and els and freemium models, they need in-vehicle infotainment more clarity on the value propositi on. “ 3. Diff erenti ati ng soluti ons have been increasingly Telemati cs in itself is a diff erenti ati ng infl uencing the vehicle factor that infl uences the purchasing de- cision for consumers. However, it’s only purchase decision of a very a matt er of ti me where services like nav- connected Indian urban igati on, vehicle diagnosti cs, news alerts segment, and you be er etc., become commonplace across all auto-makers. The real diff erenti ati ng Sathish Elango catch-up... Strategy & Operati ons factor would then lie in off ering cus- Deloitt e Consulti ng LLP One of the major factors holding tomized products that can eliminate key He is an alumni of the Indian Ins tute of Management back content aggregators, is scale. Also, pain points for the Indian audience. Bangalore, and currently part of the Strategy & unlike developed markets, content ag- Parking: On an average, an urban Opera ons prac ce within Deloi e The views expressed are solely of the author and gregators don’t fi nd the Indian market driver spends over 40 mins in a day Deloi e does not necessarily subscribe to it. affl uent enough to invest, as customer only trying to fi nd a parking spot. This

Smartphone integrati on with Evolving business models on both Diff erenti ati ng soluti ons that make in-vehicle infotainment system the providers and consumers side the auto-maker stand out from the rest willingness to spend on infotainment has been one of the biggest and most and have made eff orts to bring in live is quite minimal. Having said that, frustrati ng hassles in an Indian urban commentary and scores to the vehicle telemati cs context. Niche players like Pparke3 have especially during major events like the and infotainment are defi nitely not to begun beta testi ng their integrati on with IPL and the Cricket World Cup. Such fea- be viewed as profi t centers, but rather players like Bosch to bring parking solu- tures can be provided through simple as an enabler to boost vehicle sales. Or, ti ons to the vehicle. However, the suc- integrati ons with APIs that content pro- rather an enabler to help you stay com- cess of such a soluti on depends on the viders like ESPN CricInfo might open up. peti ti ve. supporti ng ecosystem that can identi fy Catering such custom soluti ons to the 2. Evolving business models and provide parking spaces. Indian market would be a game-chang- Content providers: One other key in- Entertainment while commuti ng: On er. hibitor in bringing innovati ve contents an average an urban driver spends over Overall, this is a very exciti ng phase for to the vehicle is the lack of a standard 1.5hrs a day commuti ng to and from the Indian telemati cs market, with all for content providers. In most cases, their workplace. This is a large chunk of major players already in acti on. There is auto-makers and content providers do the consumer mind space, and cracking also a tremendous opportunity for Con- not know the best business model to this pain point will open up a tremen- sulti ng partners to apply their learnings engage with. dous business opportunity. One way from more matured markets like the US, and develop standards for the Indian There are certain content providers could be to bring more engaging applica- context. Stay tuned and keep watching like Zomato who have shown interest ti ons (e.g., social media) to the vehicle. this space for more acti on in the coming in bringing their content to the vehicle One other way could be to bring more years! with zero licensing fee3. Such players data consuming media applicati ons (in have content readily available but do a driver-friendly manner), by tying up Reference: with telecom providers to setup in-vehi- not necessarily understand their role in 1. Investment and Technology Promo on bringing the content over to the vehicle. cle wi-fi hotspots that can support high Division, Ministry of External Aff airs, Govt. There is a lack of awareness of Content data applicati ons. of India Aggregators and Systems Integrators ‘Indianized’ soluti ons: Players like 2. Es mated market opportunity by 2018, that can provide the necessary Volkswagen and Ford have cashed in according to a report by 6Wresearch integrati on. on the Indian passion towards cricket, 3. Based on interac ons with respec ve content providers in early 2015

www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.7 sold are connected ==> app. 49 mil- lion “unconnected” new cars In Europe alone, 60% of all new cars are sold with a loss !!!! The objecti ve Be connected with the automobile throughout its lifecycle. Create the best customer experience by predicti ng technical issues / fail- ures before that occurs. Retain customers and improve cus- tomer loyalty. Regain market share and increase revenue and profi tability. Connected car soluti ons already have a signifi cant impact on existi ng vehicle development and aft ermarket sales. This is one of the results of a compre- hensive survey across the European au- tomoti ve sector that PAC conducted in 2014/2015. The market for connected car soluti ons has already reached a ‘sec- ond wave’ of maturity, with a fi rst gener- ati on of connected car soluti ons, such as infotainment and environmental infor- mati on services, already rolled out and operated by manufacturers and services providers, and a second generati on of services, such as security, aft er-sales and driving assistance, currently being

Damodar Sahu CVP - A customer value proposi on Director–Aft er Market Service Transformati on & IoT Soluti ons is a promise of poten al value that a Wipro Technologies business delivers to its customers and He has over 18 years of rich experience in the fi eld of Service Transforma on, Supply Chain Management and IoT. He is B.Tech in Electronics & Telecom with MBA in CRM & Opera onal Management in essence is the reason why a custom- er would choose to engage with the he world is getti ng hyper-connect- globally by 2025. business. It is a concise statement that ed. Many factors are fueling this, Connected Car Soluti ons will become highlights the relevance of a product T such as the Internet, wired and one of the major Business Drivers for off ering by explaining how it solves a wireless network connecti vity and qual- the Automoti ve Industry in future. problem or improves the customer’s ity reaching far corners of the world, Automoti ve Aft ersales – The Business situa on, the specifi c value against the customer’s needs and the diff erence to ubiquity of smartphones, as well as the Case emergence of Internet of Things. With compe tors. The situati on such breakthrough advancements in Importance of CVPs - A good customer technology along with societal demand, Globally there are app. 1,2 billion value proposi on will provide convinc- transportati on is on the verge of a major vehicles on the road today. ing reasons why a customer should buy transformati on. Major technology play- In 2016 the annual global turnover a product, and also diff eren ate your ers along with auto manufacturers are in aft ersales will exceed $ 740 billion. product from compe tors. Gaining a customer’s a en on and approval taking note. In a recent interview with The automoti ve manufacturers ini- will help build sales faster and more the Wall Street Journal, Apple CEO Tim ti ally have a 50% market share in the profi tably, as well as work to increase Cook stated that the auto industry is in aft ersales business. market share. Understanding custom- for a “massive change” with soft ware The automoti ve manufacturer are er needs is important because it helps becoming “an increasingly important loosing 80% of their “customers” promote the product. A brand is the part of the car of the future.” Connect- within the fi rst 3 years aft er the war- percep on of a product, service or ed cars are a key result of this industry 1 ranty period. company that is designed to stay in the disrupti on, and will become mainstream Today, less than 25% of all new cars minds of targeted consumers.

PG.8 | Smart Automoti ve | March - April 2016 www.telemati cswire.net Customer Value Proposition for Connected Car is Important

Car Owners are just not customers…They also are… in development and testi ng phases. Automoti ve manufacturers and suppli- ers consider connected car soluti ons as a strategic long-term topic for their business development with custom- ers identi fying these technologies as a mandatory requirement for future ve- hicle acquisiti ons and manufacturers aiming to use their technological edge as a main diff erenti ator. In future the core competencies of many companies in this industry will focus on connecti vity and embedded soft ware development. The connected car Needs are diff erent, diff erent value to exploit…Apart from market in India is expected savings, the value aspirati ons are … to grow at a CAGR of 60.4% from 2015-2020 Convenience/ Vehicle Preventi ve Safety Utlilty Technology Feedback Maintenance Ref: Research and Market

Long Distance Driver High High OEMs and Suppliers must bundle ser- vices and deliver a seamless user experi- Chauff eur Owner High High ence to lead the next wave of Connect- ed Car. Women High High Indian Auto Market – Key Trends Untapped Market, but Tepid Growth Seniors High High - Penetrati on of just 18 vehicles per 1,000 compared to 400-800 globally. New Drivers/Learners High High The Changing Auto Shopper- Auto Gen Y High High shoppers do more research than ever before car purchase, about 24 Multi ple sources – cars.com, auto news, surveys research touch points on an average. Diff erenti ated Engagement…Beyond other features we off er, Dealership Experience is Pivotal to some could be catered to do … Closing Sales- 72% of Auto shoppers are more likely to visit another deal- Segmentati on Feature/ Engagement ership on the same day. DL Coach Unique Feature where M&M cars can help a new driver pass a Low Aft ermarket Retenti on- More New Drivers/Learners driving license test- DL milestones/Levels, Daily Improvement Report, Constant Feedback - Reports on Impact of Bad Driving on Engine, Safety than 60% of Indian customers visit unoffi cial dealerships instead of au- Chauff er Scorecard Feature where in monthly reports on Driver driving habits parti cularly impact to Car’s engine, expense report thorized ones aft er 2-3 years, 80% Chauff eur Owner Engine Report - True Insights on the engine status to verify chauff er claims aft er 5 years. on car health. Theft protecti on using Geofence Emergence of Certi fi ed Pre Owned Women Frost & Sullivan Reports suggest women prefer longer warranty periods, (CPO) Market- Auto Trader study pay as your drive insurance, auto assist features & green footprint revealed, 84% auto shoppers consid- Auto Assist - Provide guidance that provider in a lucid way insights on ered buying used cars when exposed vehicle, much like intuiti ve assistant that works like a digiti zed car hand to CPO defi niti on. book Rising importance of Data- OEMs Green Me - Provide reports on impact to environment as Trees saved count are interested in exploring potenti al due to driving patt ern of data from cars to improve effi cien- Contextual Trips - Reports on similar trips that others have made & insights Long Distance Drivers from it, relevant POIs nearby cies, off er value to stakeholders and

www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.9 potenti al moneti zati on strategies. Demographics of Survey Respondents What value does a Connected Car pro- vide to Customers ? 50 & Above 45 to 50 18 to 25 Female 7% 13% 1. Monetary Impact > Focus 41 to 45 3% 25% Savings 10% Loss Preventi on Lower TCO 36 to 40 18% 33% 26 to 30 Incenti ves 75% 16% 2. Convenience & Values > Equally Male Important 31 to 35 Safety Gender Age-Group Value of Locati on The total number of respondents covered in our analysis is around 100 They primarily comprised of male respondents (75%) and had good representati on of female respondents Contributi on to Environment as well (25%) Maximum respondents were from the younger age group of 26 to 30 (33%) Extended Car Life Overall 49% of the responses were recevied from the age-group of 26-35 Ownership Experience Price to Customer – Is Customer willing to pay? Demographics of Survey Respondents

How much is a Consumer willing 1% Other Delhi-NCR* to pay? Pune 12% How oft en does a Consumer want Chennai Mumbai Tier 1 to pay? Tier 2 Indian Customer Survey - Wipro Con- Tier 3

ducted a Survey on “Car Connecti vity Bengaluru 79% Feature Preference” in the Indian Car Hyderabad Market Respondent’s City City Tiers

Major respondents were from Tier 1 citi es - 79% Tier 1 citi es include - Delhi, Mumbai, Chennai, Kolkata, Hyderabad, Bangalore 77% of the respondents were from major citi es like Delhi-NCR, Hyderabad, Bengaluru.

Delhi-NCR (Delhi - Na onal Capital Region includes Delhi, Gurgaon, Faridabad, Noida, Ghaziabad) **Others Include- Jaipur, Jorhat, Kanpur, Mysore, Vadodara, Vishakhapatnam Car Connecti vity Services - Willingness to Pay Willingness to pay subscripti on fee for Monthly subscripti on fee preference for availing Connecti vity Features connecti vity Services

No Less than Rs. 500 65% 20%

Rs. 500 to Rs. 1000 26%

Rs. 1000 to Rs. 1500 5%

Rs. 1500 to Above 4% 80% Yes

0% 25% 50% 75%

80% of the respondents are willing to pay the subscripti on fees for Car Connecti vity Services 20% of the respondents want the Car Connecti vity Services without any subssripti on fee However, 65% are willing to pay less than Rs. 500 per month for availing the connecti vity services 26% of the respondents are willing to pay between Rs. 500 to Rs. 1000 as monthly subscripti on fee Only 9% of the respondents are willing to pay Rs. 1000 & above as monthly subscripti on fee Consumers seem to be price sensiti ve as majority perfer to pay below Rs. 500/month Consumers should be given an opti on to choose from the list of features available, so that they pay only for the features which they are interested in.

PG.10 | Smart Automoti ve | March - April 2016 www.telemati cswire.net INTERVIEW The future of automotive industry is digital…

Can you share your industry jour- service providers with experience de- Q ney so far? sign & strategy, technology soluti ons, I’ve come full circle. My graduate development engineering and test & A studies were in computer engi- operati ons. For example we worked neering that blended computer sci- with a supplier to develop their in-vehi- ence and VLSI. Aft er spending 20 years cle infotainment hardware – complete in the soft ware arena—we now see the circuit design, PCB layout, thermal and hardware/soft ware bluring full force. mechanical design. We worked with a Wearables, augmented reality and ev- European Tier 1 to test their head unit erything—litt erally everything will have display panels – diagnosing the embed- a chip inside. It’s an exciti ng future. ded applicati ons and helping reduce the ti me to test peripherals from 10 days to How digital intelligent services 1 hour. Our design unit, Frog helps Tier Q have disrupted the traditi onal au- Walid Negm 1 OEM’s re-imagine the enti re relati on- tomoti ve industry in the recent Chief Technology Offi cer ship of the car, products and services. few years? Aricent Can you tell us some of the recent Automoti ve manufacturers are en- He is currently overseeing Aricent’s technology Q initi ati ves at Aricent in the auto- A tering the unknown. According to strategy and innova on prac ces globally. moti ve sector? a survey by Frog (an Aricent’s glob- al product and design unit) 30% of car A Aricent has a strategic Connected safety, security and liability concerns owners would give up their car before Vehicle Services off ering for the in letti ng a car drive itself—the trend is their smart phone. App-based car ser- automoti ve industry. Our focus is unstoppable. There will be a day when vices are using data to opti mize traffi c on product engineering from the autonomous vehicles become the norm fl ow, save riders’ money and save lives. chip to cloud services—keeping in mind rather than the excepti on. In-car digital experiences are forcing the human-element. We have capabili- Q Do you see autonomous driving to OEM’s to rethink who they are. Connec- ti es in infotainment, telemati cs, ADAS, be commercially viable by 2020? ti vity in cars allows drivers to get more connecti vity and safety. Another area Things are moving fast. I would add informati on about maintenance and di- of interest is in Ethernet connecti vity A some more years, but we are with- agnosti cs. which is getti ng into the car as a primary in striking distance. We do need to mode of communicati on. For example Frog has partnered with see government policy and the law must Voyo a connected-car platf orm that cen- Nowadays, both automoti ve OEMs catch up to the technology. It maybe be ters on an On-Board Diagnosti cs (OBD) and Tier -1 auto suppliers are heavily safer without a human at the wheel, but investi ng in soft ware oriented soluti ons. controller to give drivers greater insights some of us may sti ll want to be in the into driving behaviors. Frog Design has Why is soft ware increasingly be- loop. Viability is dependent on data Q coming important for OEM? been working with many of the ti er-1 communicati on, vehicle to vehicle com- auto manufacturers to completely re- OEMs must conquer digital. At the municati on and road infrastructure. imagine the user experience for both A heart of this transformati on is the the driver and the passenger. This gives value creati on possibiliti es found Q How big is automoti ve cybersecu- Aricent unique insight into the future in soft ware. The slow development rity risk? requirements that drive the most inno- of the car, must meet the innovati on cy- A The risk is small, but growing. The vati ve technology platf orm capabiliti es. cle of soft ware and digital experiences. more conventi onal electronics This deep understanding of the chore- Tesla is able to release dozens of on- of a car are safe because of strict ography between human experience board soft ware updates to its Model S. certi fi cati ons, fi rewalls and component and technology clearly diff erenti ates Over The Air (OTA) updates are becom- isolati on schemes that keep criti cal sys- Aricent among other engineering fi rms. ing more mainstream. Finally, when cars tems out of reach of intruders. Criti cal become autonomous – that will likely Q How would you defi ne the role of functi ons will always be cordoned off . Aricent in the automoti ve value mean more Siri-like interacti ons with a In additi on OEM’s are acti vely working chain? car that has a personality – a car that with industry, Tier 1 suppliers and soft - We are a global engineering com- will not only park itself, but else pay the ware vendors to strengthen the defense A pany for the digital era. We are bills and help you buy groceries. in depth strategies. However, we have unique that we bring the building Q What is your view on autonomous seen hacking incidents and nothing can blocks to choreograph soluti ons from vehicles? be completely air-gaped. Its likely that the chip, connecti vity and to a seamless Autonomous cars are becoming a a breach will happen by determined customer experience. In the automoti ve A reality—and it will be sooner than adversary and that would be a game industry we help automoti ve OEM’s and we expect. Although there are changer.

PG.12 www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.11 Enabling Connected Vehicles echnology Evoluti on toward Con- velops further, not only is programming favorite apps and services inside their nected Vehicles of Today and the becoming more complex and processing cars. This is a logical fi rst-step, but these T Future speeds becoming faster, but the enti re consumers will increasingly value apps Cars are evolving from mostly mechani- nature of the technology is shift ing. that are useful and relati ve to the driv- cal, metal-based vehicles to a connected While automoti ve digital technology ing experience. set of component platf orms, plasti cs, once focused on opti mizing the vehicle’s Traditi onal Value-chains are Evolving to and next-generati on materials. They are internal functi ons, the computi ng evolu- Make Vehicles Smarter for Digital Con- essenti ally becoming a rolling data-cen- ti on is now developing the car’s ability to sumers digitally connect with the outside world ter providing safety and entertainment Cars are increasingly being fi tt ed with and enhance the in-car experience. This while serving the primary functi on of sensors to capture more and more in- is the connected car – a vehicle able to going from Point-A to Point-B. formati on and cloud-based connected opti mize its own operati on and mainte- Today’s car has the computi ng power car service delivery platf orms will play a nance as well as the convenience and of 20 modern PCs, features about 100 central role by conti nuously connecti ng comfort of its passengers using onboard million lines of code, and processes up the car and driver to the outside world sensors and Internet connecti vity. to 25 gigabytes of data per hour. Social and managing the data and analyti cs to acceptance of a fully autonomous ve- The demand for connected cars is gro- power driving-centric apps. wing rapidly. Global connected car hicle and the regulatory environment For example, vehicle and driver data can market revenues are likely to increase supporti ng it is likely 5-to-10 years away be dynamically stored, updated, and an- 6-fold by 2020 (McKinsey esti mate). based on current forecasts. However, alyzed in the cloud to determine when a Driving-centric apps and services are a connected vehicle is here today, in vehicle service off er should be present- becoming as important as infotainment terms of in-car services, data-collecti on ed to the consumer by a local dealer in- content in the consumer purchasing on vehicle-performance and driver-be- cluding a promoti onal incenti ve for tak- process. The current automoti ve man- havior and pushing out value-added ser- ing immediate acti on—a true “win-win” ufacturers focus on providing infotain- vices. This convergence of device, data for all involved. and cloud is being driven by powerful ment delivery (streaming music, social The availability of data due to the con- soft ware at the back-end, bridging the media channels etc.) refl ects their de- nected nature of vehicles during op- gap between the user and their gadgets. sire to meet the expectati ons of digital erati ons is leading to disrupti ons in As the computi ng capacity of cars de- lifestyle consumers who are heavy users of smartphones and want to use their automoti ve business-models. The hu- man-machine interface, car conditi on data, and dynamic real-ti me geo-in- formati on will become the key con- Connected Car Evoluti on Time-line trol-points in the redistributi on of prof- its in the industry value-chain. [TNew Mobility In India, the evoluti on of the vehicle Era] telemati cs market is being driven by the E.g Tesla Auto- following needs: [The V2X Era] pilot, Self-Driving E.g Tesla App. Initi ati ve by Monitoring & routi ng applicati ons for Nissan Nismo Google, Apple, Audi, Daimler taxi operators Order-delivery tracking Call-centers to receive emergen- [The Infotainment [The Embedded Era] cy-calls during off -road incidents and E.g GM OnStar (for Safety Era] accidents and Security) E.g Ford SYnc, Kia UVO, GM MyLink Fleet Management for vehicle geo-spati al tracking [The R&D Era] E.g. GM’s DAIR System Remote management of LCD-displays in public transport buses and bus- 1966-1995 1995 -2002 2007- 2012 2012-Ongoing 2020-Ongoing stops

PG.12 | Smart Automoti ve | March - April 2016 www.telemati cswire.net uous improvements. gine oil pressure – low coolant – gasket issue) to identi fy right components to be The consumers’ world is SAP is deeply engaged with early-adopt- serviced. fast becoming a connected er, innovati ve customers to enable the “ connected vehicle vision. Highlighted Trigger Accident/ Vehicle Off -Road one – from phones to cars below are selected high-impact con- Response: Through process-level inte- all the way to smart-de- nected-vehicle business-scenarios that grati on with call-center operati ons and vices in smart-homes. As SAP has delivered for customers: service-center proximity/ readiness every device is virtually 1. Vehicle & Driver Diagnosti cs for indi- (technician skill-sets, spares availability). 2. Enable Predicti ve Maintenance thr- turning into a smart de- vidual owners and fl eet operators SAP’s real-ti me data-platf orm powered ough Early Detecti on and Timely Main- vice, the future of the car is by SAP HANA, the best-in-class in-mem- tenance changing as well. ory data-base with a rich applicati ons SAP can signifi cantly increase vehicle portf olio helps gain visibility into the as- up-ti me by delivering reliable and ear- SAP Technology is Scalable and Ready set and drill-down into vehicle and driv- ly diagnosis of issues and trigger busi- to Enable Smarter, Connected Vehicles er-level analyti cs: ness-transacti ons that can recti fy them Vehicle On-Board Units (OBU), the crit- Fleet Owner Dashboard: Geospa- by: ical hardware component enabling Predicti ng ti me-to-failure and ti al (lat/long) positi on of vehicles telemati cs, are becoming increasingly on route, vehicle start & stop ti mes, work-order execu- sophisti cated with increasing data-trans- miles driven, route congesti on lev- ti on ti me: (eco- mission frequency. Data generated by els, route fuel consumpti on trend, nomic cost of telemati cs system is the very defi niti on route/ trip profi tability. down-time of BIG DATA – putti ng in place a ready based on View historical route operati ons: and scalable technology platf orm is route-rev- Characteristi cs e.g. driving condi- equally important to gain projected enue, cus- ti ons and break-down trends. business benefi ts. tomer/ load IT-imperati ves to enable connected ve- Vehicle Stats from sensor-data hicles and deliver business-value are as monitoring: Engine performance/ follows: diagnosti cs, tyre health, batt ery %, oil-levels, avg. speed, driver 1. Remote Data Storage Repository: metrics. Road, scrub, normalize high volume of data. Operati ng Trend at 8/ 10/ 24 hour intervals: 2. Data Analyti cs and Visualizati on: Immediate detecti on of Turn telemetry and connected-vehicle BIG-DATA into analyti cs to support busi- anomalies and faults: ness decisions. (across transport net- work). 3. Predict & Trigger Business: Drill-down to root- Processes New business models, conti n- cause: (e.g. en-

Auto Premium & Value OEMs and Suppliers

Nissan BMW BOSCH Magma Ford Fiat GM

Delphi Hella Honda Toyota Tesla

Other Players Technology Disruptors Auto Tech Start-ups Apple Google Fleet/ Vehicle Sharing AT&T Intel NVIDIA Companies Telus ONX Spoti ly Insurance Vodafone Providers Microsoft Deutsche Qualcomm Telekom Sudakshina Ghosh Automoti ve Industry Director Telecom Service Providers SAP India She has over 13-years of experience in process-consul ng and engaging with SAP customers to drive IT-strategy and technology-adop on road-maps. She works with customers in shaping and execu ng technology-enabled Digital Transforma on.

www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.13 priority). Customer & Vehicle Cetricity Routi ng work-order: To nearest/ Enabled by SAP Technology best-equipped service center as per route. Handling re-calls proacti vely: Develop Even-Bett er Technologically Advanced Cars Provide In -Car Services Return knowledge to product devel Preference, technology Regulatory Trend Analysis In -car Entertainment. Social Networking. News Component (engine, transmission, electronics) Performence Companion Apps: MyCar (usage stati sti cs, vehicle -opment and quality processes. Tracking and Fall-Safe Measure Determinati on benchmarks, loyalty. incenti ves) 3. Opti mize Loads and Manage Routes Communiti es of Enthusiasts for crowd-sourcing Contextual Help (weather. point -of -interest). Off ers Parking/ Charging Support for Electronic Cars for Higher Operati ng Effi ciency: Warranty, Faults & Complaints Analyti cs SAP technology can help determine Failure Frequency Root -Cause Analysis Service Parts Provisioning & Supply route-costs based on operati onal con- Proacti ve Vehicle Recalls Handling Command Center for Remote straints, consolidate loads and opti mize Car Diagnosti cs Engine Controls Monitoring, Customer Buying & Owning Experience fl eet-schedule across routes. Ability to Tire Pressure Checks Intelligent, Customer -Specifi c Car Failure Predicti on to trigger predict traffi c-density dynamically on Confi gurati on — Pricing -Decisions based Service Calls the basis of aggregated vehicle routes on Cost Roll -Ups Targeted Ads. Campaigns Garage Locator for Un- can enhance route profi tability by op- E -Dealerships: Virtual Test Drive. Buy planned Services ti mizing ti me-taken and fuel-consump- Accessories/ Merchandise Safety & Security Response Senti ment Analysis (anti -theft , break -down ti on. Model -wise Market Potenti al Esti mates assistance) and Dealer Performance Linkage (inc. The opportunity to inno incenti ves vate based on data and Supply Chain Planning & Executi on innovati ve Service Models Balance under-uti lized Producti on Capacity to discounti ng Road Usage. Congesti on Fees “ powerful so ware capabil- Confi rmed Delivery -Time for Color/ Model exceeding “Pay -as -You -Drive” Insurance Customer- Expectati ons Fuel Performance i es is immense as the con- Buyer -wise Inventory Carrying Cost and Material -Cost Traffi c Management: Route Planning. Hazard Savings Potenti al (inc. logisti cs) Alerts, Eco-Driving, Intelligent Speed Adaptati on nected cars of today evolve Maximize Contributi on. Opti mize Cost of Operati ons into autonomous self-driven vehicles leading to minimal accidents, low emissions Firewall while delivering be er experi- ence for consumers. Deliveries can be scheduled to minimize SAP Automoti ve fl eet idle-ti me and opti mize capacity OEM Connected Car Cloud Cloud uti lizati on (e.g. empty return loads, less- than-truck-load deliveries) and last-min- OEM BackOffi ce End-to-End Coverage ute orders can be accommodated to bal- On Premise B2B integrati on ance fl eet-capacity to locati on. SAP 7 Non SAp Shared Services SAP HANA Automoti ve Cloud Vision: Big Data Transacti ons Connecti ng Vehicles to Eco-system As vehicles become more connected and operati ng data is managed digital- ly, OEMs can be bett er-positi oned to introduce innovati ve pay-as-you-drive B2C B2B SAP insurance and customized AMC/ main- tenance off ers based on their access to small minority of vehicles. SAP’s future tomoti ve manufacturers such as BMW sensor-data, ability to analyze this data vision for the industry is to enable the and Toyota to bring locati on-based of- and simualte future operati ng patt erns. Connected Car through SAP HANA Au- fers and simplifi ed fueling-experience to As connecti vity becomes an integral tomoti ve Cloud Platf orm: using cloud customers. part of an automobile’s value, com- technology to transfer informati on to a panies from industries that may have The opportunity to innovate based on car keeping diagnosti cs and sending to a seemed unrelated to the automoti ve data and powerful soft ware capabiliti es dealership for accurate repairs. industry just a few years ago will likely is immense as the connected cars of to- become key players. Today’s in-vehicle New business-models will evolve to day evolve into autonomous self-driven user computi ng is dominated by smart- provide personalized services to drivers vehicles leading to minimal accidents, phones and applicati ons because em- based on their locati on and route. low emissions while delivering bett er bedded connecti vity is only present in a Sap is co-innovati ng with leading au- experience for consumers.

PG.14 | Smart Automoti ve | March - April 2016 www.telemati cswire.net INTERVIEW Future-proofed vehicle Q We have seen automoti ve players and consumer. acquiring more soft ware arms in How best can car makers fu- their business. Q ture-proof their connected car ser- A Soft ware is becoming an increas- vices to stay competi ti ve with the ingly criti cal part of vehicle de- pace of CE industry? velopment as the industry moves The best way that automoti ve towards a world of fully autonomous A OEMs can future-proof their con- driving. As a result, we are seeing au- nected car services is by providing tomoti ve OEMs investi ng more of their safe and secure over-the-air (OTA) up- Artur Seidel ti me and resources in soft ware and soft - dates and a solid HMI that can be up- Vice President-Automoti ve Soft ware ware development. dated over ti me as well. We believe that Elektrobit Automoti ve For example, there are more than 100 the ability to safely deliver wireless up- million lines of code in a car – that’s dates will impact every part of the car The integrity of connected car data more than a 737 jet! And, the complex- – from infotainment to powertrain – and A is an important asset. We think ity of soft ware will conti nue to evolve is especially criti cal now as automakers that automoti ve OEMs will have ul- with every new model. Automoti ve integrate advanced driver-assist and ti mately ownership of the data because OEMs need to master the complexity, by self-driving capabiliti es in their vehicles. they need to access it in order to pro- changing the way they develop features Having a solid HMI, as menti oned pre- vide further services to their customers and vehicles. viously, is absolutely criti cal in providing like updates or aft er sales. On the other EB Automoti ve is involved with every a good experience and interacti on with hand, the drivers need to maintain their crucial step of the car’s technology the vehicle, similar to how consumers privacy and their own content. development – from initi al soft ware interact with CE devices. The legislatures have raised po- architecture, development and inte- Q Can you share your thoughts tenti al concerns around remote grati on to the managing and testi ng of Q about OTA updates for vehicles? hacking of vehicles (consider the applicati ons. We are an extension of OTA soft ware updates will be com- famous Ed Markey’s report). Do the automoti ve OEM’s team. For exam- A monplace in new cars over the next you think that OEMs have not ple, for Mercedes, we have created the few years, and delivering those up- done their part on securing the so-called “soft ware factory”, where we dates securely is most important. Our vehicle? manage and test all driver assistance soft ware products, including EB GUIDE, Automoti ve cybersecurity is some- features for its enti re carline, world- are ready today for secure OTA updates. A wide. For Ford, we are the global soft - thing all automoti ve OEMs (and In additi on, our navigati on product EB suppliers) are very concerned ware integrator, combining, testi ng all street director is capable of being up- the soft ware components. We also help about and working hard to implement dated over the air with new map and soluti ons. Automoti ve OEMs and their Ford localize AppLink in all the regions POI informati on to help the driver stay they are present. suppliers are already using modern se- up-to-date with the latest informati on. curity practi ces from the mobile and IT Do you think the entry of likes of Regarding OTA updates, carmakers also world. Threat modelling and analysis, Q Apple & Google will disrupt the need to consider the amount of data encrypti on with the latest algorithms, connected car value chain? they are sending to the car, the ti me digital certi fi cates, secure communica- A Google and Apple complement when they are performing the update ti on protocols like Secure Sockets Layer the technology innovati on we are (is it peak ti me? Will it aff ect the driv- (SSL), and other approaches are becom- seeing in the automoti ve industry er in terms of cost? ) and the security ing standard practi ce today. Additi onal- today, especially with regards to info- behind the update. Every week we hear ly, most automoti ve OEMs are working tainment. That being said, the Human about hacking and various industries be- on improving their ability to deliver soft - Machine Interface (HMI) which enables ing vulnerable to cyber-att acks. For that, ware updates to the car (such as OTA) to a more enjoyable technology experi- the OTA needs to be extremely well improve the ability to respond to criti cal ence for the driver and passenger will thought through and carmakers need to issues. likely remain a huge diff erenti ator with work with companies that understand There are common standards for Fu- Google and Apple complementi ng but the enti re automoti ve infrastructure, ncti onal Safety, such as IEC 61508 (in- not replacing the HMI. HMI develop- not just one part, like networking, or tended to be a basic functi onal safety ment requires experti se from compa- connecti vity. standard for a variety of applicati ons) nies like EB Automoti ve and the industry Who do you think will have the and its adaptati on for the automoti ve must work together to sati sfy and meet Q ownership of connected car data? industry: ISO 26262. the demands of the automoti ve OEM OEMs, 3rd parti es or consumers? Elektrobit achieved its Functi onal Safety

www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.15 certi fi cati on by the assessment agency exida Certi fi cati on SA for the EB tresos Automotive Cyber-Security: Safety OS. Elektrobit security solu- ti ons are based on AUTOSAR and HIS (htt p://portal.automoti ve-his.de/index. Separating fear from the fact php?lang=english ) and off er support for cryptographic hardware such as Secure Hardware Extension (SHE) and Hard- ware Security Module (HSM). We believe than an open and stan- dards-based approach to security imple- mentati ons (e.g. peer reviews outside of individual OEMs) will prevail over the more secreti ve and closed implementa- ti ons that we have seen in the past. In general, techniques for securing our systems and soft ware go well beyond just the automoti ve industry. There is already collaborati on happening among carmakers around safety and security, but we also have to look outside our industry at the successful technologies and soluti ons used else where that can Franz Tschimben Sridhar Reddy Business Development Savari Networks be applied to automoti ve. Savari Inc. What is the role of aft er market in Q telemati cs value chain? yber security has been a big issue to Miller and Valasek3, a successful hack for the fast evolving automoti ve depends on remote att ack surfaces, cy- A The aft ermarket ecosystem will sti ll be very important especially as we C market ever since electronics be- ber physical features and in-vehicle net- see Apple CarPlay and Google’s came a crucial part of the vehicle, but work architectures were the identi fi ed. Android Auto gaining tracti on. In some only made it into mainstream media in The industry has given priority to the 1 regions, like South America and Asia for July 2015. Miller and Valasek exposed threat and works towards creati ng a example, carmakers are developing ve- the weak points of regular cars on the system that reduces hacking threats by hicles that don’t have high-end telemat- streets by wirelessly and remotely hack- closing down entry points. Importance ics systems, making the aft ermarket ing into a Jeep Cherokee for demonstra- is given to soluti ons with soft ware that ecosystems very important. ti on purposes. Testi ng was conducted can be conti nuously updated and there- on a total of 20 car models released fore strengthened. How sustainable do you feel are from 2014 to 2015 from diff erent manu- Q the new telemati cs & connecti v- OEM’s, suppliers and specialized auto- facturers – the problem is universal and moti ve cybersecurity companies like ity-based business models like involves the whole industry. car-sharing, smart mobility? Argus and Towersec, are developing The hacking demonstrati on of the car and marketi ng soluti ons. Furthermore, I think they’re very sustainable. A happened through the center piece of the Auto Informati on Sharing and Anal- Many carmakers including Ford, today’s connected cars: the infotain- ysis Center (ISAC) has been established GM, Daimler and Audi are explor- ment system and its cellular connecti on. for major automakers in July 2015. Its ing these new business models and As cars will get more connected and au- chairman, Tom Stricker from Toyota, ex- are invested in expanding their off er- tonomous in the years to come, more plained that the group will act as a cen- ings – especially in urban areas. There entry opti ons will be given to soft ware tral hub for gathering intelligence that is a great opportunity for the mobile specialists with malicious intenti ons. allows to analyze, share and track cyber Research of the Automoti ve Security Re- threats and spot potenti al weaknesses apps ecosystem to deliver unique ap- 2 view Board , led by Intel, shows that 15 4 plicati ons to the auto industry around in vehicle electronics”. exposed att ack surfaces exist in the next As the industry is intended to decrea- parking and safety, in additi on to generati on smart car. se the threat of cybersecurity by bun- other areas. Everything is becoming One of the biggest and most widely re- dling forces, so does legislati on by work- more and more connected and the car- garded benefi ts of the connecti on and ing on a new draft bill – ti tled “Securi- makers are smart to invest in such busi- automati on of cars – reducing total fa- ty and Privacy in your (SPY) car act of ness models. tal car accidents – is at stake. According 2015”5 that aims at establishing cyber-

PG.16 | Smart Automoti ve | March - April 2016 www.telemati cswire.net Airbag OBD II Remote ECU USB Bluetooth Link Type App DSRB- Based Receiver(V2X ) Smartphone Passive Keyless Entry

Remote Key

TPMS

ADAS System ECU Vehicle Access System ECU Engine and Lighti ng System ECU Steering and (Interior and Exterior) Transmission Figure: Exposed att ack surface in car Braking ECU ECU security standards for car companies cess to the CAN bus. In the future a V2X and penalti es for hackers. sensor may not only be used for deter- The combined eff orts of mining the situati onal awareness for It is crucial to ensure that standards industry and legisla on will keep getti ng bett er over ti me and evolve a vehicle but also for actuati on of the just as smart cars are improving and be- vehicle. One way to ensure more secu- raise the bar and make it coming more dependent on electronics rity at the CAN level is to create diff er- more diffi cult for program- hardware and soft ware and hackers are ent priority levels to system IO access. mers to hack the car. improving their skill-set. This way, even if the system is compro- mised, the hacker cannot gain control to guidelines and certi fi cati on. This enables Security risks exist not only in terms of such vital ports. This approach is likely security to be considered early on in a hacker taking control of the vehicle to require a combinati on of both Hard- the lifecycle, soft ware requirement, ar- but also with the aim of negati vely im- ware and Soft ware. The OEMs are also chitecture & design, and testi ng. Errors pacti ng the applicati on or service. Sa- looking at making the car more secure or hacking mechanisms that can cause vari is working at the forefront of IEEE by having a secured CAN bus by using buff er overfl ows or similar can now be 1609.x V2X technology, which relies on authenti cated CAN messages, multi ple prevented by incorporati on of design periodic broadcast of over the air mes- independent CAN buses in order to re- and development practi ces. There are sages between vehicles to vehicles and duce the att ack surface. many such tools, components and prod- between vehicles and infrastructure. ucts available which can be leveraged. As a result, V2X provides yet another Much of the above mechanisms require Operati ng system vendors for example, gateway in and out of the vehicle. We, engineering implementati on of these e.g. Greenhills and QNX, are providing at Savari believe that it is crucial for Tier soluti ons and safety features. Suffi - OS with hypervisor and virtualizati on I/II automoti ve suppliers to also take an cient learnings were gained from the support to run safe executi on of trusted acti ve role in ensuring that soluti ons vulnerability of computers, especially and criti cal soft ware side-by-side with are secure. Threats such as “man in the from the earlier days of Linux. Crippling untrusted applicati on. middle”, vehicle spoofi ng, etc., could all Linux servers in the past (and even to- have a detrimental eff ect on the fi nal day) took the form of Denial-of-service user applicati on. It is criti cal to prevent (DOS) att acks, source spoofi ng to email Reference: rogue users from accessing the security programs that in turn allowed hackers to take control over the systems. Many 1. h p://www.wired.com/2015/07/hackers-re- certi fi cates. In this regard, on the tech- motely-kill-jeep-highway/ nology side, incorporati ng secure tech- of these not only require specifi c imple- mentati on of features but also require 2. h p://www.intel.com/content/www/us/en/ nologies like hardware security module automo ve/automo ve-security-best-prac ces- (HSM), trusted platf orm, secure boot specifi c process of development and white-paper.html quality assurance. Across the industry and secure updates should be a manda- 3. h p://www.wired.com/2015/07/hackers-re- tory minimum. Furthermore, it is vital well defi ned engineering practi ces are motely-kill-jeep-highway/ being adopted to follow safety and se- that security soluti ons build in features 4. h p://www.autoalliance.org/index.cfm?objec- such as reporti ng, certi fi cate revocati on curity standards and best practi ce guide- d=2A25D140-7826-11E5-997E000C296BA163 mechanisms, etc. lines. This includes compliance to MISRA 5. h p://www.markey.senate.gov/imo/media/ The V2X soluti on also incorporates ac- C, automoti ve SPICE and ISO 26262 The doc/SPY%20Car%20legisla on.pdf

www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.17 INTERVIEW Building India’s Driverless Car bots for numerous industries starti ng the price of electronic components and from factory automati on to consumer sensors are coming down drasti cally. Al- electronics robots. My PhD was in the most all the car manufacturers are going same domain on multi -mobile robot in- to adopt ADAS and limited self driving teracti on. This helped me in grooming as a feature within the next 5 years. up my team members to reach a com- Apart from these, the infrastructure to petency on some of the niche areas in support these technologies is getti ng Roboti cs. developed in an exponenti al rate. For On top of these, the enti re crew was instance, faster mobile networks, more passionate enough to develop a proto- precise GPS, etc. Dr. Roshy John type at least to this scale. What were the hurdles faced This project is Practi ce Head Q during the years of leading this Tata Consultancy Service project? “ funded by my A The major problems we faced are: savings and the mon- Q When did you start working on The rapid rate of batt ery consump- driverless car? ti on of the driverless car computer ey I pooled in from my I started working on this project Actuator latency and backlash for patents. A more than fi ve years ago, as a hob- the pedal robots by, aft er having a near death expe- Hardware failure when tested for Q In our regional context of India, rience in a taxi cab with an overti red and extreme test cases what is the uti lity you see for driv- sleepy driver. Inability of radars and LIDAR iden- erless car or semi-autonomous cars/assisted driving? Is this project funded by any re- ti fying certain dynamic obstacles, Q search insti tute or industry? viz. other moving vehicles or pe- There are tremendous opportu- A niti es in India and there are two The whole project is funded by my destrians A savings and the money I pooled Developing the AI algorithms on ways to look at it. One is for cater- in from my patents. I took up this decision making to react during an ing the local market - here the growth is project more as a social commitment as emergency scenario exponenti al where every manufacturer I aspire to do my part by coming up with Finding the probability of pedes- is releasing newer versions/variants of a technology to reduce road accidents. trians, two-wheelers and autorik- vehicles every year. The second aspect What were the guidelines in se- shaws taking unpredictable lane is bringing more jobs to India. Through- Q lecti ng the team of engineers to changes out my career, I have focused on bring- work with you on this driverless Having successfully demonstrated ing these types of high-tech jobs to In- car project? Q the driverless car, what is the next dia. We can develop all these advanced technologies for supporti ng the foreign The concept of autonomous ve- step? manufacturers or OEM suppliers to do A hicles is largely based on mobile We have made a small leap towards A this at a fracti on of the cost. robots, where we use soft ware driverless car. There are numerous algorithms on digital fi lters, probabil- issues which have to be addressed, Q Would you like to comment on the ity theory and advanced mathemat- such as making cheaper and energy ef- ecosystem in India for such proj- ics. Apart from these, one should have fi cient hardware and smarter soft ware ects? which could handle Indian road scenar- deep knowledge in advanced electron- A We need to scale up our capabili- ics. When I started my career, one of ios. If the driverless car technology can ti es, resources and investments to successfully work in Indian roads, it will the most important things I did was to execute projects like these which groom up team members to gain experi- work in any part of the world! have a lot of potenti al in the interna- ence in the above said domains. What according to you is the fu- Q ti onal market. If my small team can con- ture of driverless car or say assist- A robot typically has 20% of hardware tribute this much by making a driverless ed driving? and 80% of soft ware, irrespecti ve of its car, imagine what the bigger research mechanical complexity. I have years of There would be tremendous de- groups in India are capable of! working experience in developing ro- A velopment in this domain since

PG.18 | Smart Automoti ve | March - April 2016 www.telemati cswire.net www.telemati cswire.net March - April 2016 | Smart Automoti ve | Future of Mobility and Personal Transportation

n the early 20th century, Henry Ford So you don’t pay for the car. You pay sengers is evolving rapidly, incorporati ng said, “Any customer can have a car for the usage or the miles. It’s a par- informati on about observed behaviours Ipainted any color that he wants so adigm shift in the way the world has to improve rider experience. Not only long as it is black.” Not only did he limit viewed mobility. Rates of motor-vehicle will death and major injury from traffi c the choice of color, but also the choice licensure have already dropped among accidents drop drasti cally, autonomous of model. Ford wanted to produce only young Americans. And the obligati ons cars could contribute $1.3 trillion in an- the Model T. His goal was to expand car and costs of transportati on—which is nual savings to the U.S. economy alone, ownership. To do that, he needed to an esti mated average 17% of house- according to Morgan Stanley[5]. And make the car both aff ordable and reli- hold budgets[4]—are probably added global savings are in the range of an in- able. And he did this by limiti ng varia- incenti ves to share rather than buy. And credible $5.6 trillion. Level 4 AV technol- ti on in the producti on of cars. In 1908 it’s not just the USA, even traditi onally ogy, when the vehicle does not require his 1,900 workers produced over 6,000 car-ownership-driven markets like Italy a human driver, off ers the promise of cars. In 1911 his 4,100 workers pro- now boast of car sharing faciliti es being enabling transportati on for millions on duced almost 35,000 cars. By nearly available in over 15 citi es. the margins including the disabled, the tripling producti vity, Henry Ford opened Also, according to a Frost and Sulli- elderly, the working poor or those too car ownership to the working class. His van study, the average speed at which young to drive. The benefi ts for these vision was to literally put every Ameri- people travel around the world in cars groups would include independence, can household on wheels. is about 25 miles per hour[3]. So if you and access to essenti al services. Almost a century aft er the Model T, are riding in your car for a couple of 2016 is not just the year in which GM the world conti nues to display a vora- hours every day, maybe you don’t just invested money in a partnership with cious appeti te for the automobile—as want to stare at the traffi c, maybe you the express directi ve of killing the idea an emblem of social status, an icon of have bett er things to do with your ti me. of car ownership. 2016 is also the year blazing independence. Smart, sleek, el- You could watch a video or chat with where fossil fuels are expected to enter egant cars of today combine technology, friends or family or check work mails. their terminal decline. Earlier in 2015, luxury and class and that has fuelled this Automoti ve OEMs are not viewing when Toyota announced their plan to insati able demand. this new consumer behaviour as a transiti on to hybrid and fuel cell vehicles According to Stati sta, the world is like- threat, but more as an opportunity to by 2050, to radically reduce emissions, ly to hit 100 million cars in 2017[1]. expand the automoti ve value chain and it wasn’t exactly a shock. And though That’s a lot of cars. But here’s an inter- diversify. They are transforming them- Toyota may be scepti cal about electric esti ng stati sti c - the uti lizati on rate of selves into service providers who off er vehicles, because they take too long to automobiles in the U.S. is about 5%[2]. integrated mobility soluti ons. Recent recharge, today the bestselling car in So a hundred years later, when Sherly proof of that was when earlier in 2016, Norway is not made by any of the top Connelly, resident futurist at Ford Motor General Motors invested $500 million auto OEMs of the world. It’s the Tesla Co says, why buy the car when you can in ridesharing company and Uber com- Model S, the world’s fi rst premium elec- rent it, borrow it, loan it, lease it?[3]; peti tor Lyft . And GM’s president, Daniel tric sedan. One driver even proved it’s she’s echoing the senti ments of many Ammann commented that they think possible to drive all the way from Oslo young consumers who are perfectly there’s going to be more change in the to Kirkenes (over 1100 miles) at an elec- comfortable sharing or leasing some- world of mobility in the next fi ve years tricity cost of just NOK 400 (less than thing, unlike earlier generati ons who than there has been in the last 50. $50). But in Norway, the vast majority had a mental roadblock towards buying Before the passing of this generati on of the country’s electricity is generated something second hand, renti ng or bor- automobiles will be built with what’s through hydropower. For other coun- rowing it. Owning a car is almost passé. known as Level 4 autonomy—full tries that generate electricity from coal, Automobile fi nance and low interest self-driving arti fi cial intelligence for cars. it’s possible that electric cars might put rates have ensured that most cars today Autonomy will make it possible for un- more pressure on an already overloaded are fi nanced through att racti ve leasing manned automobiles (of your choice) energy grid. and buyback schemes. to be called, via app, to your locati on The next generati on of cars will not Globally we are moving towards a –cleaned and fuelled. The technology be isolated pieces of metal moving “Shared Economy”. The race is to share that goes into matching the rides to pas- independently but smart hardware resources as opposed to owning them. which would be connected with other

PG.20 | Smart Automoti ve | March - April 2016 www.telemati cswire.net cars as well as the larger ecosystem - a automobile culture and led to the cre- move which is essenti al to the concept ati on of citi es, bridges, highways etc. of “Smart Citi es” to manage traffi c and designed for the age of personal road infrastructure intelligently. Tech- transportati on that was kick started nology fi rms are driving much of the by the Model T. change. These fi rms are the disrupters, A peek ahead into the future who believe that the system’s key source – a hundred years from now we of value could be in creati ng and manag- may see something none of us ing the vehicle’s system and commuti ng could have thought possible ex- experience as well as in mining the data cept in Sci-Fi movies. The Ehang generated. KPMG in their Annual Au- 184 (or its next gen versions) – a tomoti ve Survey 2016[6] commented human-sized AAV (autonomous “Automoti ve OEMs of today will be the aerial vehicle) might be the next contract manufacturers of technology truly disrupti ve mode of mass per- companies tomorrow.’’ Almost every sonal transportati on. This technolo- OEM today has already ti ed up or is in gy introduces three-dimensional trans- the process of tying up with small start- portati on that no longer confi nes us to ups or large tech players to get a handle moving about on an earth-bound grid. on the next gen technology in their au- With a maximum alti tude of 11,000 tomobiles. feet, the Ehang 184 leverages Coming to mining the data generat- a great deal more space ed - twenty-fi ve gigabytes: that’s how to transport people much data a connected car will upload from point to point. to the cloud every hour. Connected Also the Ehang 184 Cars are morphing into mobile data makes use of rapidly centres. They are creati ng and using increasing advances data, while communicati ng with their in drone tracking environment. This data is about every- and sensing tech- thing - route, speed, the wear and tear on its components, and even road con- Aloke Palsikar diti ons. Vehicles today have multi ple Sr. Vice President & Global Head of the Manufacturing Verti cal microprocessors and dozens of sensors Tech Mahindra that collect telemati cs and driver be- A Digital Transforma on Leader and a growth driver having over 28 years of experience in IT, So ware Services haviour data, and that data can be ana- & the Engineering Industry, he is currently focused on driving Digital Transforma on (DT) in the manufacturing sector, immersed in technologies around IoT, Mobility, Connected Products and Industry 4.0, with an ecosystem lyzed in real-ti me to ensure the vehicle’s of technology partners and start-ups alike. performance, effi ciency, and safety. It also provides vital feedback about traf- nologies. Each Ehang 184 is able to use fi c volume and roadway design. Other GPS technology to accurately pinpoint [1] - Outlook on worldwide light vehicle sales from than the safety aspect, there’s also the its own whereabouts, and to keep track 2011 to 2020 quality of life component – infotainment of everything else fl ying in its periphery. h p://www.sta sta.com/sta s cs/267128/out- and entertainment - passengers can look-on-worldwide-passenger-car-sales/ Able to compute, set its opti mal fl ight [2] - Could Self-Driving Cars Spell the End of log onto social media, view vehicle info, path, and be fl exible enough to adjust Ownership? and connect other apps to their car. But in emergencies, the Ehang 184 can be- h p://www.wsj.com/ar cles/could-self-driving- who owns all this data? The ownership come a failsafe personal transportati on cars-spell-the-end-of-ownership-1448986572 is being keenly contested – from OEM to [3] - The Future of Car Ownership and Autono- technology. It is perhaps a vision today mous Driving dealers and 3rd parti es who are getti ng but it is a vision of a safe, autonomous h p://www.cheatsheet.com/automobiles/the-fu- into this game. We seem to be in for quadcopter drone for human point-to- ture-of-car-ownership-and-autonomous-driving. some exciti ng days ahead as this contest point fl ight. html/?a=viewall unfolds but I am sure ulti mately it will be [4] - Private car ownership is on the road to Ever since mankind has invented the becoming a rarity the consumer who will sti ll rule as the wheel, the concept of transportati on h p://www.marketwatch.com/story/get-ready- king and have the last laugh. has changed over successive genera- to-share-not-just-the-road-but-the-car-2015-12- As much as the world focuses on Uber ti ons. Today we are on the cusp of an- 14?link=MW_latest_news [5] - Autonomous Cars: The Future Is Now and Lyft , electric vehicles, hybrids and other revoluti on in mobility and trans- h p://www.morganstanley.com/ar cles/autono- autonomous vehicles, these technolo- portati on which will undoubtedly build mous-cars-the-future-is-now gies are incremental, not disrupti ve. The a smarter, greener and safer planet,and [6] – KPMG Global Automo ve Execu ve Survey last truly disrupti ve mass personal trans- take humanity forward in their journey 2016 h ps://www.kpmg.com/CZ/cs/industry/Automo- portati on technology was the Ford to explore new fronti ers. ve/Documents/KPMG_GAES_2016_locked.pdf Model T. Ford’s innovati on redefi ned

www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.21 INTERVIEW Building robust security framework for connected car

How has your role changed aft er HARMAN umbrella and driving broad the biggest challenges the automoti ve Q the acquisiti on of Symphony Tele- industry usage, HARMAN’s combined industry faces at the moment. As cars ca by HARMAN? technology portf olio will seamlessly en- become increasingly connected to the Aft er the acquisiti on of Symphony able safe, secure OTA updates for a vari- outside world, the threat of potenti ally A Teleca by HARMAN in 2015, I was ety of on-board HARMAN and non-HAR- lethal cyber att acks is becoming a very appointed the Country Manager MAN automoti ve systems – whether real possibility. At HARMAN, fi nding for HARMAN India, responsible for the embedded or downloaded -- speeding soluti ons to this problem is a key prior- overall development and executi on of the pace of innovati on to automakers ity for us. HARMAN’s strategic intent and plans for and the industry. Over the last two years we’ve made India. TowerSec’s technology will be integra- massive inroads by way of acquisiti on My prioriti es include enhancing HAR- ted into HARMAN’s 5+1 security archi- as well as organic innovati on. We have MAN’s mind and market share across tecture aimed at protecti ng the criti cal been working on building a robust 5+1 four business units: Connected Car, Life- points of vulnerability in the connected security framework which has been very style Audio, Professional Soluti ons and and autonomous car, including hard- well received by industry stakeholders. Connected Services in India. In additi on, ware, network and Over the Air (OTA) HARMAN 5+1 Security Framework is I’m responsible for building a strong en- updates. the industry’s most robust and in-depth gineering and development team in the Can you share your views on con- security framework for connected cars. The multi layered architecture provides country, which drives advanced technol- Q nected and autonomous car de- a “defense-in-depth” model with each ogy work for both domesti c and inter- mand? nati onal customers. I also conti nue to layer acti ng as a defensive perimeter The demand for connected, and that an att acker has to surmount to serve as the CFO of HARMAN Connected A eventually autonomous cars is ac- Services division. launch an att ack successfully. celerati ng quickly and it is expect- Does HARMAN have any plan to How do you think the recent ac- ed that more than 90 percent of vehicles Q Q increase investment/manufacture quisiti ons by HARMAN strength- on the road will be connected by 2020 ens its hold in the connected car under the ‘Make in India’ initi a- (Frost and Sullivan). Automakers are ti ve? market? under increasing pressure to provide With more than 7,500 employees, All of our recent acquisiti ons in- consumers with all the high-end con- A India is home to HARMAN’s largest A cluding Symphony Teleca, Red necti vity features that they want, but in concentrati on of soft ware engi- Bend and TowerSec have been stra- a manner that does not compromise on neers and designers, focused on devel- tegic milestones in enabling a seamless, safety and security. oping innovati ve systems and soluti ons secure, and connected lifestyle from Why are Tier 1 suppliers acquiring work and home to car and mobile. Q that leverage cloud, data and analyti cs soft ware capabiliti es into their to advance the connected car, connect- The acquisiti on of Symphony Teleca was business? a transformati ve step for HARMAN that ed enterprise and connected lifestyle. The Internet of Things (IoT) is ush- We have offi ces and R&D centers gave us immediate scale in soft ware ser- A ering in a rapid convergence of ex- vices. With the additi on of cloud, mobil- across seven citi es in India, as well as a periences, content and commerce state-of-the-art manufacturing facility ity and analyti cs competencies, we are and advancing technology from digital poised to accelerate soluti ons for the and acousti cs lab. Located in Pune, the to connected to intelligent systems. plant has the advantage of being close connected car and for a broader set of Soft ware is driving this evoluti on and as industries and markets. to a large base of automoti ve OEMs and a result, soft ware soluti ons and services has a producti on capacity of 400, 000 RedBend’s soft ware management will be key to the success of Tier 1 sup- soluti ons and hypervisor-based virtual- car sets per annum. The acousti c lab pliers like HARMAN. which is also located in Pune, is home izati on technologies for cyber security Recently, few white-hat security are widely adopted in mobile devices Q to state-of-the-art fabricati on, tuning researchers have menti oned info- and listening rooms and features an ar- and ideally suited to meet the rising tainment head units as the most demands of the connected car. Impor- ray of proprietary hardware / soft ware vulnerable part for cyber att acks. tools to cater to existi ng and emerging tantly, RedBend soluti ons also serve as How is HARMAN coping with this? criti cal prerequisites for autonomous demands in the realm of automoti ve au- Cyber security is defi nitely one of driving. By bringing RedBend under the A dio & acousti cs.

PG.22 | Smart Automoti ve | March - April 2016 www.telemati cswire.net HARMAN places a large emphasis on This technology keeps drivers safe by ments. I travel to meet our partners and localizati on, which allows it not only to conti nuously monitoring cogniti ve load. customers very oft en. Finally, I like to customize soluti ons exclusively for the This new proprietary eye and pupil engage with R&D teams Indian market, but also opti mize costs tracking system measures high at HARMAN every day to meet the market requirements. cogniti ve load and mental as they are working Could you tell us about HARMAN’s multi tasking in the driver’s on next-generati on, Q recent /upcoming innovati ons? seat, and signals the car’s innovati ve work in We made a number of important other safety systems to our world. A announcements at CES this year. adapt to the driver’s We announced a collaborati on state. with Microsoft to bring producti vity to Q Finally, can you the car. The collaborati on will integrate take us through a key elements of Microsoft Offi ce 365 typical day at producti vity suite capabiliti es into HAR- HARMAN? MAN infotainment systems. A My day starts with With access to relevant Offi ce 365 se- having team meeti ngs rvices through intelligent personal as- to review and update sistant soft ware, drivers can complete on business engage- tasks without compromising safety, in- cluding scheduling meeti ngs, hearing and responding to emails, automati cally joining conference calls without having to manually input the phone number and passcode, and seamlessly managing events and tasks throughout the day. In additi on to this, HARMAN also demonstrated the industry’s fi rst pu- pil-based driver monitoring system.

Pradeep Chaudhry Country Manager HARMAN India

He is the Country Manager for HARMAN India. In this role, he is responsible for the overall development and execu on of HARMAN’s strategic intent and plans for India. Over his 23-year career, Pradeep has held posi ons of increasing responsibility in opera ons, fi nance and management in both India and the United States.

www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.23 VEHICLE BECOMES A PART OF THE INTERNET OF THINGS(IoT)

ver since the fi rst Ford Model T gies, such as sensors, analyti cs, big data, rolled off the producti on line, man- natural language processing and cloud Ekind has been obsessed about what computi ng. the “car of the future” might look like. Connected cars will also bring forth The car of the future will be increasingly an array of digital services created out intelligent, inter-connected and instru- of the vast amounts of data this con- mented, in another word- Smarter. Cars necti vity will unleash. These digital ser- will ulti mately communicate, socialize vices, many of which yet to be imagined, and collaborate with other things, in- are likely to be highly disrupti ve to the cluding other vehicles, traffi c lights, auto industry. They will reinvent exist- parking bays and retailers, thereby be- ing business models, create new mod- coming a parti cipant in a wider “system els, change the auto ecosystem and of systems”. redesign customer engagement and From a pure data point of view, the expectati ons. Along this journey, control car itself is another ‘thing’ in the grand points and profi t pools will change, and scheme of the Internet of Things (IoT) – economic value within the auto industry just a node on a network. In the IoT, the and across adjacent markets will alter. car is literally a big data in moti on prob- The portf olio of connected of connect- Anupam Sharma lem. The connected car is likely to be- ed vehicles is enormous as indicated in General Manager & Industry come the poster child of the IoT revolu- fi gure 1 – Customer Profi ling, Digital Leader-Automoti ve & Electronics ti on because it is part of a wider system Marketi ng, Connected Navigati on, Info- IBM of systems (encompassing not only cars tainment, Personal Health Monitoring, but also citi es, physical infrastructure, Concierge Services, Safety & Security, retail, insurance and many others) and B2B Services, Smarter Citi es, Fleet Man- leverages key IoT enabling technolo-

Figure 1

PG.24 | Smart Automoti ve | March - April 2016 www.telemati cswire.net Figure 2

agement, Remote Access, Vehicle Care ple sources. Big data and analyti cs plat- seek ways to tap into the new natural and Financial Services amongst others. forms are able to capture and integrate resource will have an edge. Future con- Such services will create diff erent ben- data-in-moti on and data-at-rest for a trol points in the auto industry will be efi ts for automoti ve manufacturers as single, integrated view of the vehicle. defi ned by who can best leverage data well as for their customers as indicated Data collected from individual sensors to adapt and improvise business mod- in Figure 2. - including environment insights, driving els, identi fy ways to engage old and new Today, IT platf orms have matured patt erns and vehicle conditi on - as well partners and materially enhance the with capability to securely capture vast as third-party informati on, such as traf- customer experience. amount of data and analyze in real ti me. fi c conditi ons and accident alerts, will be However, the challenges for OEMs to It will assist automakers in turning driver sent to the cloud and analyzed for the successfully deliver Connected Vehicle and vehicle data into something tangi- benefi t of drivers and companies. One Off erings are substanti al and manifold ble and useful in the modern business example is- provide automakers with re- - Compelling Services, Customer Experi- realm. This large quantum of data, now al-ti me insight into how the various ve- ence, Moneti zati on, Security & Privacy, also termed as Big data is characterized hicle systems are performing under spe- Legal & Regulati ons, Multi ple Markets, by the tremendous volume, variety, ve- cifi c driving patt erns and environmental New Entrants and Traditi onal Competi - locity and veracity of data generated by conditi ons. tors. A layered approach to address the a wide array of sources including vehi- Data is fast becoming the world’s new challenges from an integrated perspec- cle sensor data, warranty claims and natural resource. Those in the automo- ti ve is recommended, combining both consumer senti ment data from multi - ti ve industry that recognize this and business & technical aspects.

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www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.25 INTERVIEW Personalization and Contextualization drive the Connected Car of tomorrow

In your opinion, what in-car apps innovati on bring more opportuniti es for Q and connected services are be- a richer, more contextual and more per- yond the hype and make sense to sonal experience in the vehicle. a consumer? Do you think the entry of tech-gi- Lochbridge commissioned a survey Q ants like Apple & Google will dis- A recently that shows consumers are rupt (or even threaten) the con- willing to share their data provid- nected car value chain? ed they know how it will get used and Tech-giants will defi nitely disrupt how they get to benefi t from it. From A and threaten the connected car this research, we see consumer accep- eco-system. This is good for the tance double in many cases where the consumer since this will accelerate in- benefi ts are fully explained. So connect- novati on and product launches, and ed car use cases that make sense to the adopti on of new business models and consumer like usage-based insurance, technologies. In another study we com- producti vity-enhancers, driver behav- missioned last year, we saw a huge gap ior feedback, personalizati on, vehicle in the consumer needs versus industry Raj Paul health, in-vehicle commerce, proac- off erings. Nearly half of the respon- Vice President | Automoti ve & ti ve-diagnosti cs and service scheduling dents, including two-thirds of the Mil- could easily be accepted if the indus- Emerging Technologies lennials, want to access the same apps try clearly communicates benefi ts. In on their phones. Unless the automoti ve Lochbridge additi on, specifi c applicati ons that are industry sati sfi es this need, the door will adapted for the vehicle context, such as be open for technology players, such as social media apps that render in the IHU Apple and Google, to capitalize on the With reference to Connected Cars (in-car), will go beyond the hype while opportunity. Q also delivering a safer driving experi- how does the regions of Europe Q It seems the automoti ve dealer- and North America Compare? ence. ships are missing from the con- There are OEMs in both regions Q In what ways the “personaliza- nected car equati on. What is go- A that have blazed the trail for vehicle ti on” of connected car services ing to be their role in this space? connecti vity and some that have will infl uence the purchase deci- Automoti ve dealerships appear lagged. Given the pent up consumer de- sion of a new vehicle buyer in the A missing from the connected car mand to integrate their digital lifestyles near foreseeable future? Can it equati on due to the fear/percep- with their vehicles, acceptance has been become a “brand diff erenti ator” ti on that connected car adopti on will high. Where many of the forerunners for an OEM as well? impact the dealership sales and ser- have tried to recreate the mobile experi- Infotainment and Telemati cs are vice model. While effi ciency gained ence in the vehicle, we are seeing a new A already sales accelerators and by over-the-air (OTA) updates could be era emerge in which digital content and have become brand diff erenti - perceived as an impact, the pro-acti ve apps are being extended into the vehi- ators. According to a the Lochbridge prognosti cs could drive more traffi c to cle in a much more contextual manner. survey, consumers are very much inter- the dealerships since not all problems Given the advancements in bandwidth, ested in vehicle personalizati on. Half of will be solved by OTA. There is a big op- IHU display and processing capability, consumers indicated that they are will- portunity for OEMs and their dealer net- OEMs on both regions have the ingredi- ing to provide their personal data, such works to create diff erenti ate by harness- ents to truly innovate and diff erenti ate. as their locati on and driving behavior, to ing the power of vehicle data to provide And, while regulatory diff erences exist tailor their vehicle experience to their a bett er ownership experience for their between regions, the challenges are preferences. So, this is a big opportunity mutual customers. fundamentally similar. for the OEMs to capitalize on. As such, Who do you think will have the we will see the next wave of automoti ve Q ulti mate ownership of connect-

PG.26 | Smart Automoti ve | March - April 2016 www.telemati cswire.net INTERVIEW

ed car data? OEMs, 3rd parti es or consumers? The consumer will always own the Telematics solution A data. Having said that, if the OEM is transparent about using the con- sumer’s data and the value it brings to the consumer, ownership should not be for Indian masses..a an issue. Q How sustainable do you fi nd the new business models enabled by solution provider’s connected cars? A These new business models en- abled by connecti vity will be sus- tainable as strained city infrastruc- perspective ture struggle to support the populati on growth. elemati cs, as a soluti on, is sti ll What would be the impact of gov- considered a niche market in In- Q ernment legislati ons and man- dia, especially when it comes to dates in driving large scale adop- T personal car owners or small business- ti on of telemati cs? es. However, with a steady increasing A OnStar off ering its services for the role of IoT (Internet of Things) in var- past 18 years is testi mony that ious aspects of life, a slow but very government legislati ons do not apparent shift in the way we use tech- impact telemati cs. Some of the priva- nology can be seen, creati ng opportu- cy concerns could draw government niti es for Connected Car soluti on. att enti on, but technology companies, Our view is that there are several val- like Apple and Google, have shown how ue drivers that shall drive the demand privacy concerns can be overcome and of Telemati cs in the Indian market. by letti ng the consumer decide what to However, from a soluti on provider’s share or what services to opt into. On perspecti ve there are certain Indian Kamal Aggarwal a related front, mandates like EU eCall market specifi c challenges that need and Brazil’s Stolen Vehicle Tracking have Co-Founder & CEO to be tackled to really take Telemati cs been a blessing for telemati cs adopti on. SenSight Technologies adopti on to masses, which includes He is an IIT Delhi and IIM Ahmedabad graduate personal car owners, small business- having extensive experience in semiconductor Dealerships appear es and small fl eet operators. Broadly, and high end so ware, R&D services sector. the Telemati cs soluti on for such seg- He was previously with So Jin Technologies, missing from the connect- Cadence Design Systems and Sasken Communica- “ ments of customers needs to combine on Technologies. ed car equa on due to the the various elements of technology fear/percep on that con- including the Telemati cs Device, Cloud thorized usage or route deviati on. nected car adop on will im- based server soft ware and the User In- terface in a seamless and user friendly Safety and Security: Drivers on Indian pact their sales and service manner so that the user perceives the roads tend to be more aggressive than model. soluti on as an easy to use consumer defensive. With the help of telemat- electronic device. ics, driving behaviour can be analysed Value Drivers for Telemati cs In India to know where exactly the driver may How will start-ups fi nd their mar- have faltered in terms of over-speeding, Q In our view, some of the value drivers ket share in an ecosystem full of over-revving, hard-braking etc. Quanti - and use cases that shall drive need for giants? fying driving behaviour can help in grad- Telemati cs for masses in India are: A Though the connected car ecosys- ually improving driving practi ces and tem has behemoths, there is sti ll Tracking: Using telemati cs to track keep the roads safer. the locati on of the car is the most room for start-ups. The Auto in- Theft preventi on: A Telemati cs hard- basic use case and shall conti nue to dustry needs an “innovati on boost” and ware in the car at all ti mes can double remain the key driver. Since many per- needs to behave and operate as a lean up as a supplementary anti -theft , help- sonal car owners sti ll employ drivers startup. Start-ups (not just from Silicon ing reduce the risk of theft via igniti on in India, a dedicated telemati cs hard- Valley) can provide that. start/tow noti fi cati ons on mobile. ware is required to know where the car is at all ti mes and prevent unau- Fuel Saving: Indian public tends to

www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.27 look at the fuel mileage of a car when to match demand with supply as well as to the user by deriving meaningful infor- they buy it more than any other feature. track drivers during the ti me driver is us- mati on and insights from the deluge of Being fuel conscious, telemati cs can help ing their App, it leaves out the owners of raw data generated by the Telemati cs determine when and where the excess the fl eet (many ti mes diff erent from the devices. Analyzed and acti onable driving fuel has been consumed and correlate driver). A dedicated Telemati cs device in behaviour can go a long way in helping that to the driver’s driving behaviour. the car is hence needed that helps the the user become a smarter and safer Take, for example, a car owner has used owners easily monitor the usage, driving driver. Predicti ve maintenance sugges- up more fuel on the same trip than he behaviour and effi ciency of their cabs. ti ons can help in preventi ng sudden did before. Aft er reviewing his trip, he Cellular Data Connecti vity: Ideally, and costly breakdowns. Ideally analysis noti ces that he has over-sped and hard- 3G network coverage in all parts of India should be mindful of the user context. braked at certain instances. This leads to would make the telemati cs experience For example, speed alerts should be dif- loss of fuel every ti me the car engine is more seamless, both from the point of ferent within city limits than it should be over-worked. Hence, telemati cs can go view of data connecti vity between the for highway driving. Taking the natural a long way in helping both individual Telemati cs device to cloud server as well limit of over-speeding within city limits and fl eet owners reduce the amount of as between the Cloud Server and App. to about 60kph, long distance driving money spent on fuel. But the reality is that most parts of India exceeds this limit at regular intervals. Adopti on Challenges and Potenti al are covered by 2G network more than Hence, the app should be smart enough Soluti ons 3G. So for the telemati cs hardware in a in determining when and where the Here we discuss certain specifi c issues car has to work across the length and user is to be noti fi ed with relevant data. and challenges involved in adopti on of breadth of the country, relevant data Cost: One of the biggest challenges Telemati cs in India and possible solu- should be sent to the cloud server and telemati cs faces in the Indian market is ti ons to address those from a soluti on to user’s phone even under 2G network controlling costs. From a soluti on provid- providers’ perspecti ve. coverage. Also, to account for GPRS er perspecti ve, there is need to explore Dedicated Telemati cs Hardware: Gi- blind zones or areas where coverage is multi ple business models that could be ven the upfront cost involved in using sti ll spott y, local storage of data in the att racti ve to various segments of users. dedicated telemati cs hardware, one device and upload upon reconnecti on of The common model is the one-off pay- needs to explore the opti on of using the coverage is a must. ment where you can pay for the hard- pure Smartphone based App approach Mobile First: The use of an App on ware at the beginning and then pay for the on-going subscripti ons thereaft er. to Telemati cs. While having the benefi t the smartphone rather than a PC based This has the upfront device cost hurdle of taking away the upfront cost, a pure monitoring platf orm increasingly makes that can leave out a large segment of po- Smartphone based App approach is de- sense in the Indian market as consum- tenti al users who may not be convinced pendent upon Driver being co-operati ve ers tend to have more smartphones of the soluti on benefi ts at the outset. and having the Smartphone with the than personal computers. For majority As a soluti on provider, one needs to ex- App running, charged and connected of personal car owners and small busi- plore alternati ve models such as device to Internet at all ti mes. For commercial nesses, they need to be able to get all rental model where the payment for the car owners and personal car owners the informati on on their mobile devic- hardware can be done in increments so with driver driven cars, this is a major es with appropriate push noti fi cati ons. long as the customer is sati sfi ed with the limitati on. In fact, in our discussion with Here a nati ve App approach targetti ng product. several owners, ideally they would not key platf orms like Android/iOS or even like the drivers to be aware of the pres- a light weight, responsive web app (that Irrespecti ve of the business model, Solu- ence of Tracking device at all. Also, this works fast enough on a mobile browser) ti on provider needs to work a lot oncus- approach cannot give detailed descrip- should be the UI of choice. tomer educati on on using Telemati cs ti ons of the car’s health and the driver’s and multi -channel pre-sales/post-sales Deriving insights from data: Irresp- driving behaviour. support (via phone call, chat or Email) to ecti ve of the class of users, be it individ- help the customers derive the promised From taxi fl eet owners perspecti ve, while ual car owners or commercial car own- benefi ts. some of the App based taxi platf orms ers, the key is to conti nuously add value use Smartphone based App approach

PG.28 | Smart Automoti ve | March - April 2016 www.telemati cswire.net www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.27 Infotainment and connect begin to gain traction in India Analysis of the main producti on models Harman. showcased specifi cally for the local mar- Mahindra & Mahindra, meanwhile, ket, from an infotainment/connecti vity has already become the fi rst Indian OEM perspecti ve: to join the Open Automoti ve Alliance In-vehicle infotainment begins to (OAA), a global alliance of automakers spread… committ ed to bring the Android plat- Maruti Suzuki, the undisputed leader of form to cars. It plans to off er Android India’s passenger vehicle market (with a Auto in fl agship models such as the XUV 47% share), and Tata Motors, the leader 500 and Scorpio before extending the in the commercial vehicle market, are technology to all future platf orms. the two most proacti ve players when …but is it infl uencing buying decision it comes to introducing infotainment yet? technologies to their cars. If the Maru- The trend certainly strengthens the be- Vivek Beriwal ti Suzuki Baleno introduced CarPlay to lief that Indian consumers do not mind Senior Analyst India in 2015, another Maruti Suzuki a touchscreen-based entertainment sys- IHS Automoti ve vehicle, the Ciaz sedan, marked the de- tem in their otherwise bland car dash- but of MirrorLink, back in 2014. Maruti boards but are these infl uencing buying here is certainly a palpable excite- Suzuki has been liberal in expanding the decisions? To answer this, we decided ment around infotainment and rollout of its SmartPlay infotainment to analyze sales of the Maruti Suzuki connecti vity in the Indian auto- T technology, which it co-developed with Baleno, which marked the debut of Ap- moti ve industry with an unmistakable Bosch. Tata Motors, which has long ple CarPlay in India. According to Mohit presence of touchscreen audio or even been struggling in India’s passenger car Prabhakar, manager of a Maruti Suzuki audio, video, navigati on (AVN) systems market, launched in early 2015 the Bolt Figure 1 Touchscreen Smartphone OEM NameplateInfotainment Navigati onIntegrati on In-built Apps

Vitara Brezza  Apple Muruti CarPlay  Suzuki Ignis    Tata Zica    Motors Hexa    Nexon    Kite 5    Volkswagen Ameo MirrorLink  Polo GTI --   Toyota Innova Crysta    Honda BR-V    Fiat Linea 125s   

in nearly all newly introduced vehicles. hatchback, arguably is the fi rst vehicle NEXA outlet in New Delhi’s Dwarka area, While most infotainment systems off er in India’s entry-level car market to off er over 70% of Baleno bookings since the basic phone pairing features like SMS factory-fi tt ed infotainment in any form. car’s launch last October have been readouts and phonebook viewing as The Bolt, obviously, proved to be a pre- for the Delta variant, the one without well as GPS-based navigati on, some also cursor to the new breed of Tata vehicles touchscreen infotainment. However, off er smartphone-integrati on platf orms with all of them incorporati ng iterati ons interesti ngly, the remaining 30% of the like MirrorLink and CarPlay. of its infotainment system developed by bookings were indeed for the top Alpha

PG.30 | Smart Automoti ve | March - April 2016 www.telemati cswire.net variant, which off ers touchscreen navi- phone. Its features include tracking of ment systems in India are expected to gati on and Siri voice control among oth- vehicle locati on, conditi on monitoring, grow at a CAGR of 7.1%, from 2014 to er features over the Delta trim. It is diffi - and performance analysis. The fl exible 2021. cult to perceive what persuaded buyers soluti on works in passenger cars, com- Driver assistance/safety gaining to go for the Alpha trim – the touch- mercial vehicles, off -highway vehicles relevance screen infotainment with navigati on and and is available for newly produced cars CarPlay, or simply other att racti ons like as well as a retrofi t soluti on. The key While acti ve safety and advanced driv- 16’’ alloy wheels, LED dayti me running benefi ts of this platf orm also include er-assistance systems (ADAS) have lights, a decent spatt ering of chrome, or fl eet management, essenti al and emer- largely been confi ned to high-end cars something else. gency services, off -road applicati ons, in India, automakers are slowly but Toyota Connect launch and intelligent transport soluti ons as surely making basic tracti on and stabil- ity control systems like Anti -lock Braking Recently Toyota launched its cloud- part of smart-city soluti ons. System (ABS) and Electronic Brake force based telemati cs services for India un- IHS Automoti ve’s Perspecti ve Distributi on (EBD) more mainstream. der the brand name of Toyota Connect. IHS Automoti ve has a fairly opti misti c Most automakers looked committ ed to Toyota Connect is supported by a new view on spread of automoti ve interface bring at least the basic passive safety sys- dedicated premium call centre and also technologies in the Indian market unti l tems to the buyer, like passenger and/or integrated with Toyota’s dealer network 2021, with the number of vehicles fea- co-passenger airbags. While these basic and service providers. Toyota car own- turing any form of center stack display safety features were not available to car ers will be able to access Toyota Con- expected to breach the million-unit buyers not so long ago, they have now nect through a smartphone applicati on. mark in 2020. Sales of total infotain- become standard or opti onal fi tment in Services will commence from mid-2016. Toyota Connect off ers a host of services like 24x7 Assisted Navigati on and Live Sales of Total Infotainment Systems in India Traffi c Informati on, 24x7 GPS Locati on based Road Side Assistance, Online (In ‘000s) Maintenance Appointment Booking, 2000 Live Check of Service Progress, e-Pay- 1,334 1,397 1,440 1,462 ment, etc. 1500 1,236 Bosch’s iTraMS 1,130 902 1,017 Bosch presented what it calls the Intel- 1000 ligent Transport Management System (iTraMS) at the Bosch Technology Expo- 500 siti on. It is a comprehensive connecti vity platf orm soluti on that can reduce a ve- 0 hicle’s fuel consumpti on, foresee when maintenance is needed, and display 2014 2015 2016 2017 2018 2019 2020 2021 everything on the car owner’s smart-

www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.31 INTERVIEW

Total vehicles in India with ©2015 IHS Center Stack Displays (in’000s) Connected C 2000 1500 1,589 1,176 How do you see the market of Q Connected Cars in India as com- 1000 874 641 pared to relati vely developed 498 markets ? 382 500 Are the North America, EU market 121 236 A more developed or simply larg- 0 er? I think when it comes to IoT and connected cars, the playing fi eld is 2014 2015 2016 2017 2018 2019 2020 2021 prett y even. We are talking about con- venience that every car owner will fi nd att racti ve irrespecti ve of the geography. Total vehicles in India with While America and EU are large mar- ©2015 IHS kets, Asia is not small, I would say that’s Head-Up Displays (in’000s) a sizable populati on. 100 Is there a sustainable business Q model for connected cars in In- 83 86 80 73 dia? 63 We at CarIQ believe that connect- 60 45 51 A 36 ed cars is an ecosystem play. It 40 34 cannot be seen in isolati on. Some- 20 one like CarIQ can build a platf orm that can connect OEM, owners, and uti lity 0 providers in a seamless and meaningful way. It is a Win-Win situati on for every- 2014 2015 2016 2017 2018 2019 2020 2021 one. OEM’s are genuinely interested in promoti ng communicati ons with their most newly introduced cars. Two parti c- One cannot deny that the Indian auto- customers and what bett er way than us- ular technologies are being seen - Cruise moti ve market is in relati vely early stag- ing a connected car platf orm. Control and Hill-Start Assist – both hav- es of adopti on of in-car technologies, Q Do you think the ‘aft ermarket’ ing potenti ally widespread applicati ons and its proliferati ng faster than predict- telemati cs devices can serve as in India. The Maruti -Suzuki Vitara Brezza ed. The automoti ve industry in India is an interim soluti on? and the Volkswagen Ameo are the fi rst witnessing a new wave of technological Most cars do not have embedded industry products in the subcompact revoluti on, which is boosti ng the idea of A telemati cs device and an ‘aft er- (sub-four-meter) vehicle segment to of- connected cars. As the car buyers get ev- market’ device is the way to go. fer Cruise Control. It is only a matt er of er-more addicted to their smartphones, For OEM’s to come up with a pre-mar- ti me when the mass market vehicles in spread of internet accessibilitybecomes ket soluti on, a clear ROI will have to be India will have their fi rst acti ve safety or imminent to bring an array of real-ti me set and established. Aft ermarket devic- driver-assistance systems. Some ADAS services to the car. Consumer awareness es and soluti ons can help bring in that technologies have high relevance in the about connecti vity in cars is rising quick- clarity. traffi c scenario in India, which has the ly and the current government is fo- What will be the role of tech dubious disti ncti on of having the maxi- cused on promoti ng digiti zati on – both Q start-ups in the connected vehicle mum number of annual road fataliti es in potenti ally crucial factors in the spread value chain? the world. Although infrastructural bot- of in-car infotainment and connecti vi- Tech startups are going to be su- tlen ecks will prevent some technologies ty technologies. India’s connected car A per vital in this value chain. While to gain tracti on, some like Automati c ecosystem, however, needs more ti me it has been established that each High Beam/Adapti ve Head lamps, Blind to evolve into a robust convergence of ecosystem partner stands to gain in the Spot Monitor/Lane Change Assist and players, including automoti ve OEMs, value chain, the primary leader for es- Rear Cross-Traffi c Alertare fairly relevant telecom operators, soluti on providers, tablishing this is unclear. A tech startup in the Indian context. soft ware vendors and service industries can play that valuable role of the links to Conclusion such as insurance. form this value chain. Big data, storage

PG.32 | Smart Automoti ve | March - April 2016 www.telemati cswire.net Car an Ecosystem Play

and security will be primary concerns. taken salary hits, given up lucrati ve Tech startups are in the best positi on to corporate jobs to pursue this dream help build these soluti ons. of building India’s fi rst connected car Drivers are not comfortable being platf orm. We have around 10 Million Q “tracked”. How they can be edu- supported cars and adding another 3 cated about the benefi ts of con- Million every year. This is India alone, nected cars? add the Asia market and it becomes se- riously big. We believe that drivers are uncom- A What CarIQ is doing in the motor fortable being ‘monitored’. CarIQ Q allows the end car owner to stop insurance sector? locati on tracking. I think only about CarIQ can add value to enterprises 25% of the value added benefi ts need A and specifi cally insurance. Insur- locati on. This locati on can be picked up ance companies are looking up to ‘only’ during usage of the feature thus start off ering UBI in India. However the Sagar Apte Co Founder & CEO completely side stepping monitoring. connected car market has moved ahead CarIQ Experts have raised privacy con- and insurance companies will have to off er customers that will give them val- He started CarIQ in 2012 to build connected Q cerns with the OBD-II dongles. Do car pla orm. Sagar has over 16 years of you think it will deter customers? ue every month, every day. Insurance experience in product management, sales, buyers won’t wait for a year for rewards. support, opera ons and marke ng. Yes, anyone who will fuel sci-fi sce- In this age of immediate grati fi cati on, A narios will deter the adopti on of where are the rewards? CarIQ helps ad- such systems. But then aren’t all in my opinion is just the technology. A dress this by making driving an engaging technologies required to pass the de- generic name for getti ng, interpreti ng, experience and connect the car user to terrents test? The car ECU system is in- storing, and making car access avail- avenues beyond insurance. tended for specifi c data to help car driv- able on the Internet. The play will be ing become safer. There are many ways Tech startups are in the services and ‘usage’ of the con- to ensure privacy and address security nected car platf orm that will matt er. systems. Are systems vulnerable? Yes going to be super vital but then isn’t online banking vulnerable “ Will workshops use them to connect to too. The sheer advantage and value that in connected car value customers? Will insurance companies connected cars bring, will out weigh the chain. While it has been use them to off er bett er value? There associated risks. I think we are sti ll away are hundreds of pain areas that can be from scenarios where someone can established that each addressed through such technology. Ev- remotely start driving a car and create eryone will need it and adopt it. Think of havoc. Intrusion detecti on system can ecosystem partner stands be built and any technology can be fi re to gain in the value chain, it like an email. We use it for communi- walled. cati ng. Purposes are innumerable. the primary leader for es- What can the industry expect from Q How do you think telemati cs Q and connecti vity can change the tablishing this is unclear. CarIQ in the near foreseeable fu- OEM-dealer-driver equati on? ture? How has been the response of Absolutely. I think that OEM-Deal- Q A CarIQ believes connected cars are A er-Driver relati onship can be based your OBD-II dongle? the future and true value can be on a more open and truthful ex- It has been encouraging. We have derived only through adopti on of A a steady growth of users on our change of data. OEM’s can build thought this platf orm by various service pro- leadership and build lifeti me loyalists by platf orm. Customers are becom- viders. You will soon see multi ple car understanding what is needed and build ing aware and want to understand and custom soluti ons targett ed towards it. learn. service providers on our platf orm off er- What potenti al does connected How do you think the connected ing services to end customers. We see Q car hold in terms of att racti ng tech Q car market in India will shape in this world prett y much connected and enthusiasts and entrepreneurs? days to come? would not like to see cars left out of it. A We believe in it. A team of 26 has A That’s a tough one. Connected car

www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.33 Connnected Car - A New Era of Automotive Industry

he car is well on its way to become connecti vity over features such as en- gency calls, concierge services, remote the most sophisti cated mobile de- gine power and fuel effi ciency. Detailed door unlocking and remote diagnosti cs. T vice in the Internet of Things (IoT). fi ndings include: Most in-car telemati cs soluti ons are Linked to the cloud by way of wireless 65% would like to use an in-car fea- managed by service providers through technologies, smart chips, onboard ture that enabled them to read and dic- call centers. computers and mobile apps, connected tate emails while driving 2. Advanced Driver Assistance Systems vehicles are driving new business mod- 50% of drivers are already using con- (ADAS): These services focus primarily els and disrupti ng old ones. By 2020, nected traffi c informati on—and only 6 on accident avoidance and driving effi - there will be a quarter billion connect- percent are not interested in it ciency, and do not always require inter- ed vehicles on the road, enabling new 70% are interested for in-car e-learn- net connecti vity. However, more recent in-vehicle services and automated driv- ing or educati onal services ADAS innovati ons are increasingly le- ing capabiliti es, according to Gartner, veraging cloud connecti vity to augment 86% are already using in-car search Inc. the informati on gathered from embed- and point-of-interest (PoI) services, or Over the coming years, social and be- ded onboard systems. Falling prices are are interested in doing so havioral changes will conti nue to rede- boosti ng adopti on, and future services 95% are using or would like to use a fi ne the basis on which people decide will focus on autonomous driving capa- recovery tracker for stolen vehicles to buy a car, with vehicle technology biliti es. becoming relati vely less important, and As connected vehicle capabiliti es con- 3. Mobility services: These soluti ons in-car digital services—and the conve- ti nue to evolve and roll out, the con- collect vehicle-specifi c data through var- nience of the selecti on process— play- nected car developments conti nue to ious technologies—positi oning technol- ing a growing role in consumers’ choice center on seven functi onal areas: ogy, wireless communicati on modules, of vehicle. Accenture’s connected ve- 1. Telemati cs: Vehicle telemati cs enco- vehicle sensors and mobile device inte- hicle study shows technology opti ons mpass a wide range of computi ng and grati on—and then leverage it by linking trump vehicle performance. It is found communicati on services located within it to an internet-based applicati on via that majority of buyers are no longer a car. They focus on safety, security and mobile connecti vity. Mobile services prepared to even consider a new vehicle convenience, and include features as include vehicle access as a service, and without Internet access, and prioriti ze varied as stolen vehicle recovery, emer- usage and mileage-based services. The

2020 2015 2025 2030 Limited Semi- Fully Passive Autonomous Autonomous Autonomous Autonomous Driver intervenes Driver att enti on Driverless cars with Driver and in criti cal situati ons required with manual no driver backup parking override assistance C2X communicati on Fully autonomous systems mode shared- Fully autonomous commuti ng Mercedes S-class

2016 Google Audi A8 driverless cars piloted driving Renault--Nissan Mercedes autonomous cars F105 prototype

2016-18 2022 BMW Baidu Non-premium OEMs semi-autonomous to adopt the semi/ prototype Possible ti me line of autonomous car innovati on from Strategy & Analysis fully autonomous technology

PG.34 | Smart Automoti ve | March - April 2016 www.telemati cswire.net most current mobility services are op- Today, as modern automobiles have erated by non-automoti ve vendors, but evolved to moving machines bristling this may change as OEMs extend their with sensors, soft ware, processors and off erings. networks, future predicti ons are all 4. Infotainment: This category includes about technology, cars will be much informati on services— like navigati on, more personalized in 2016, thanks to traffi c services, weather, mobile apps, algorithms and context-aware soft ware. email—and also entertainment. Info- But today, as modern automobiles have tainment features can be off ered ei- evolved to moving machines bristling ther via technology embedded in the with sensors, soft ware, processors and vehicle or via device-to-vehicle integra- networks, future predicti ons are all ti on, using consumers’ separate mobile about technology and cars will be much devices as a hub for accessing internet more personalized in 2016, thanks to based content. These off erings focus algorithms and context-aware soft ware. strongly on ease of use and safety-relat- 8. The Birth of Algorithm-based Every- ed services. To off er infotainment ser- thing: Intelligent technology is the driv- vices, OEMs generally collaborate with er of personalizati on, but this is just one non-automoti ve vendors. aspect of how smart soft ware will move Dinesh Patkar Director - India 5. Well-being: Opti mizati on of the driv- into the vehicle world. Year 2016 will see Quectel Wireless Soluti on er’s health and competence. The grow- the start of algorithm-driven businesses in which companies will focus on off er- He has 24 years in Indian Semiconductor Industry. ing group of affl uent older drivers will He has been instrumental in se ng up India pay for technologies that monitor their ing fl exibility and personalizati on in all opera on for Quectel wireless solu ons in 2012. well-being while driving. There is a sig- aspects of their services. nifi cant potenti al to prevent accidents In automoti ve insurance, as an exam- only will car receive soft ware updates and save lives with systems, which de- ple, machine learning algorithms will Over The Air (OTA) like mobile phone tect conditi ons that impair driving abil- predict insurance premium based on an in order to e.g. improve fuel effi ciency iti es. Examples include electronic alerts individual’s driving abiliti es and behav- through the latest and greatest releases, that detect or miti gate fati gue, and oth- ior as well as the driving conditi ons for it will also be able to share informati on er forms of individual assistance. the area. about user patt erns and driving. This 6. Home integrati on: Links to homes 9. Ethernet Reaches The Car: Having a data will start going back to the cloud offi ces, and other buildings. As the Inter- single network — the Ethernet — in the and give car manufacturers and app net of Things connects more household car will be a big disruptor. To begin with, makers a world of informati on and the appliances and systems to the Web, it will be applied in areas like infotain- drivers a superior driving and owning consumers are embracing home auto- ment audio and video, highly impacti ng experience. mati on, which in turn will drive demand the content available in the car. But the Connected cars are the leading edge for integrati on of these systems with the real signifi cance is down the road. of disrupti ve technology that changing car. Examples include the integrati on of not only the automobile, but the nature the automobile into home alarms or en- Social and behavioral of the automoti ve industry. As connec- ergy monitoring systems. changes will redefi ne the ti vity paves the way for autonomous 7. Autonomous driving: Operati on of “ driving, digital content and services have basis for buying car, with the vehicle without a human driver become the industry’s primary source at the controls, existi ng only on a par- vehicle technology becom- of growth. These services not only cre- ti al basis. Examples include self-park- ing rela vely less important ate new opportuniti es for auto mak- ers, but also for technology companies ing cars, motorway assistance, and the and in-car digital services— transportati on of goods by trucks on such as Google and Apple. To succeed, well-delineated routes. playing a growing role. auto makers must not only shift more investments to digital content, but also Autonomous driving is the fastest-gro- Imagine the benefi ts of moving from one change their business models, build new wing connected car feature. Many tech- megabit to gigabits of network speed in capabiliti es, and drive cultural change nologies are developing faster than the vehicle. Cars need speed to handle through their organizati ons. More fun- expected. There is a strong demand in capabiliti es like automati c braking in damentally, OEMs oriented to their tra- China. Automakers and tech fi rms are case of hazards and other features, and diti onal role as product manufacturers researching Self-Driving Cars. It is a great looking further, this is a must-have tech- must embrace a new identi ty as service oppotunity for auto makers and also a nology for the semi-autonomous and providers. Those that can make this shift long journey for fully automati on since autonomous vehicles that will collect — while providing the security assuranc- it faces the challenges of unclear legal and process data from a large array of es consumers demand — will fl ourish in and regulatory frameworks and liability radars, cameras and other sensors. the digital era. issues. 10. Over The Air Updates : In 2016, not

www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.35 M2M/ IoT in Automotive Sector

s per projecti on by GSMA (GSM with only about 14,500 getti ng traced, WLAN (IEEE 802.11), Bluetooth Low Associati on) and Machina Re- oft en in un-roadworthy conditi ons, with Energy (BLE), Near Field communicati on A search (World’s leading advisor many components missing, (NFC), Dedicated Short range communi- on M2M, Internet of Things and Big The rapidly increasing vehicle populati on cati on (DSRC) for short range communi- Data), there may be around 24 billion in India puts a heavy demand on traffi c cati on. connected devices in the world around management in metropolitan citi es and Cellular 2G/ 3G/ LTE / Satellite for 2020, with a business impact of around other towns. Intelligent Transportati on Long range communicati on depending US $ 4.3 trillion. Later on CISCO / Erics- System is an established route to ad- upon the applicati ons. son / ITU projected this to be around 50 dress this and minimize traffi c problems. Wire line BB / Lease line to connect billion. Such projecti ons enti ce the in- Traffi c jams cost huge loss in terms of infrastructure dustry to explore and tap a wide range ti me, money & polluti on. More lanes of opportuniti es that the M2M (Ma- Low Power RF for LAN / FAN such is not the long term soluti on. Use of chine to Machine) communicati on / In- as 6LowPAN, Zigbee, Zwave etc and Low M2M / IoT technology along with ICT ternet of Things (IoT) concept off ers, en- power RF for WAN: LoRa, Sigfox. infrastructure can help / solve the jams abling novel business cases, enhanced Embedded SIM: The normal SIM occurring to a large extent. With lim- workfl ow, effi ciency and improved qual- card is not suitable for harsh conditi ons itati on for growth infrastructure there ity of life. These devices may be in vari- of vehicles like vibrati ons, temperature, is a strong need to depend on technol- ous verti cals such as Power, Health care, and humidity. GSMA has created speci- ogy (IoT/M2M) to address challenges, Automoti ve, Safety & Surveillance, Intel- fi cati ons for embedded M2M SIM, with currently faced by the industry. M2M ligent buildings, Smart Water distribu- Over-the-Air (OTA) provisioning. Tem- enabled transportati on system include ti on, Waste management, Smart homes, perature variati on range is from -40 de- telemati cs and all types of communica- Environment monitoring and Polluti on gree to +125 degree Celsius. Embedded ti ons in vehicles, between vehicle and control etc. These verti cals will work SIM technology off ers big opportuniti es citi zens/Authoriti es (car to applicati on), as a pillar in the smart citi es. India may for auto manufacturers as the life cy- between vehicles (e.g. car-to-car), and have around 2.6 billion connected devic- cle of an eSIM is, around 10-15 years. between vehicles and fi xed locati ons es by 2020. Power sector and Automo- Internati onal standards for eSIM have (e.g. car-to-infrastructure). ti ve Sector will have major deployment evolved. Embedded SIM will be quite of M2M devices. M2M Communicati on can leverage sen- useful for vehicles. sor ecosystem, communicati on mod- M2M communicati on / IoT will make the ICT infrastructure, public and private ules, network channel, real-ti me pro- verti cals smart by providing the data in clouds for storing and sharing data, Big cessing, big data and cloud computi ng real ti me and will enable to take the de- data analyti cs. to opti mize emergency services and cision for planning, operati on and other Stati c IP for the devices / Gateways save lives, reduce congesti on on roads related acti viti es. to be connected directly to PSTN / PLMN and generate revenue, provide road switches:- IPv4 addresses are going to Automoti ve sector is the back bone of safety to commuters and to monitor and exhaust. Standardizati on and adopti on any country. In India due to rapid rise regulate driving behaviour, manage traf- of IPv6 in telecom and ICT organizati ons in number of vehicles with respect to fi c by opti mizing route. existi ng infrastructure and slow rate of will provide an opportunity of having bil- Furthermore, M2M adopti on results in development in infrastructure sector re- lions of devices which can be IP enabled enhancing convenience to use public cent studies show that India faces: and seamlessly addressable through transport, connecti ng para transit and An average Indian spends about 90 min- mobile or wired broadband connec- mass transit modes, monitoring and ti ons. utes a day travelling in major citi es, with managing personal car, enabling vehicle RFID based Electronic Toll Collecti on an average speed of 10km/hr on some manufacturers to provide VAS to con- devices have been deployed in India on major roads, sumers, creati ng Vehicle to Vehicle and Delhi- Mumbai Nati onal Highway, in the In India, around 5 lakhs road accidents Vehicle to Infrastructure communicati on sub Ghz band 865 MHz – 867 MHz band. happen, causing a loss of around $20 bil- systems, monitoring and reducing traffi c lion, with 6 lakhs people injured and 1.5 violati ons, enabling parking assistance DSRC (Dedicated Short Range Com- lakhs killed, and road tolling. municati on):- This technology is based on IEEE 802.11p WLAN standards, called A loss of approx. Rs. 600bn ($10.8bn) a Enabling technologies for M2M as Wireless Access in Vehicular Envi- year due to congesti on, slow speed of Sensor networks, Radio frequency freight and waiti ng ti me at toll plazas, ronment (WAVE). It is working in the Identi fi cati on (RFID), Global Positi oning frequency range 5.850 -5.925 GHz. FCC Every year, nearly 36,000 vehicles are System (GPS), Locati on-Based Services has allocated 75 MHz spectrum in the stolen, which amount to Rs. 115 crore (LBS), etc. 5.9 GHz band and European Telecom-

PG.36 | Smart Automoti ve | March - April 2016 www.telemati cswire.net municati ons Standards Insti tute (ETSI) Geographic Informati on System has identi fi ed 30 MHz spectrum in the (GIS): GIS plays an important role in cre- 5.9 GHz band for ITS. It also supports ati ng maps, model, query, and analyse low latency, Vehicle to Vehicle (V2V) and large quanti ti es of data within a single Vehicle to Infrastructure (V2I) communi- database according to their locati on. It cati on. is a powerful tool to create maps, inte- Main uses of V2V and V2I communica- grate informati on, visualize scenarios, ti on services are to transmit informati on present powerful ideas, and develop ef- for: fecti ve soluti ons. Road side beacons Various use cases in Automoti ve Traffi c signals sector: There may be a large no. of use Toll collecti ons cases depending upon the local require- Petrol pumps and charging centers ments. Important use cases are Vehicle (for electric vehicles) tracking, e-call (911 in USA and 112 in Europe), V2V and V2I applicati ons, Traf- Digital signage fi c control, Navigati on, Infotainment, Safety applicati ons like red light Fleet management, Asset tracking, violati on, overloading or crossing Manufacturing and logisti cs, Intelligent speed limit transport System, Waste management, Sushil Kumar Water distributi on, Smart parking etc. eCall (911 in USA and 112 in Eu- Dy. Director General (IoT) rope) A no. of use cases have been described Telecommunicati on Engineering Center Maintenance in detail in the Technical Report on M2M Department of Telecommunicati ons enablement in Intelligent Transport Navigati on System, (www.tec.gov.in/technical-re- Its main uses are Vehicle Safety service, ports/). Commercial transacti on via cars, Toll Technologies for sustainability / long life Government initi ati ve: Governm- collecti on, Traffi c management etc. batt eries is required for sensors. Sensors ent of India has already mandated to This technology is being used in USA, operates on DC batt eries of very small install GPS/GRPS devices with video Europe, Japan, Korea and Singapore etc. size. Most of the sensors are unmanned camera and panic butt on in all public and can not be charged using electrici- LTE Technology: 3GPP release 12 transport with cellular connecti vity to ty. A lot of research is being done for which talks about LTE direct / LTE MTC police stati ons for woman safety in pub- charging the batt eries using solar cells, (machine type communicati on)/ LTE lic transports. vibrati on and also to bring the sensors in D2D (device to device) and further im- KYC: KYC process should be linked sleep mode when not transmitti ng the provements have been proposed in to the RTO formaliti es, which will ensure data. 3GPP Rel 13 and 14. that the ownership transfer is in Sync There is a need to generate indigenous 5G will bring: Ultra-high reliability, ul- both for vehicle and connecti on. IPR for creati on of standards and further tra-low latency, high security network. Aadhar based Driver Identi fi cati on: contributi on in global SDOs. Combinati on of ultra-low latency and Aadhar based Driver Identi fi cati on sys- Slow deployment of IPv6. high reliability is not achievable with tem should be implemented. Standardizati on at Global level: ET- current wireless technologies. However Challenges: Due to lack of standard- SI(Europe), TTC, ARIB (Japan), ATIS, TIA 5G will be the ulti mate soluti on. izati on and interoperable technologies, (USA), TTA (Korea) CCSA (China) had The standards for 5G will be frozen in Industries are working in silos and on come together and created a partner- 2020 and may take further 5 years for proprietary soluti ons. There should be ship project OneM2M, to avoid creati on implementati on. interoperability at device, network and of competi ng M2M standards. They In future there may be more techno- applicati on levels. are working to create standards for the logical development and LTE may work There is need to create standards for common service layer. From India, TSDSI in multi ple bands to communicate with sharing of data being generated by var- is the member of OneM2M. DSRC equipment. ious ITS initi ati ves. The authoriti es can 3GPP, WHO, Conti nua, ISO, IEEE, High end vehicles are using a no. of share this data and this can be available W3C, cen etc are also contributi ng in sensors for diff erent applicati ons such to multi ple users/applicati ons and also OneM2M. as moti on sensors, weather sensors, for planning and opti mizing the trans- At present there are around 250 mem- parking sensors, tyre pressure sensor, port infrastructure. A framework needs bers in OneM2M. road status, temperature sensors, fuel to be created for developers to use this OneM2M has released fi rst set of speci- sensors, temperature sensors and door data for various applicati ons like con- fi cati ons in Jan 2015. sensors etc. gesti on maps, accident hotspots etc.

www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.37 NEWS & UPDATES Internati onal Telecommunicati on 75% Americans are “afraid” gradual experience with these advanced Union (ITU) : ITU is having around 190 of getting driven by features can ease consumer fears. member states and 700 industries as While only one-in-fi ve Americans say members. Any standard approved by autonomous cars: AAA they would trust an autonomous vehi- ITU is accepted globally. ITU has created cle to drive itself, AAA’s survey revealed Study Group-20 to work on IoT and its Three out of four U.S. drivers report that consumer demand for semi-auton- applicati ons including Smart Citi es and feeling “afraid” to ride in a self-driving omous vehicle technology is high. Near- communiti es in June 2015. First meet- car, according to a new survey from ly two-thirds (61 percent) of American AAA. Despite this signifi cant fear, AAA ing was held in October 2015 in Geneva drivers report pitching for at least one of also found that drivers who own vehi- the following technologies on their next and the IInd meeti ng in Singapore in Jan cles equipped with semi-autonomous vehicle: automati c emergency braking, 2016. features are, on average, 75 percent adapti ve cruise control, self-parking Standardizati on work in Telecommuni- more likely to trust the technology than technology or lane-keeping assist. cati on Engineering Center (TEC): TEC those that do not own it, suggesti ng that had created multi stake holder work- ing groups in various verti cals of M2M/ IoT domain such as Power, Automoti ve, Health, Safety & Surveillance and M2M Gateway & Architecture. First set of Technical Reports were released in May 2015 by Hon’ble MoC&IT and then in Nov 2015. These are available on www. tec.gov.in/technical-reports/ Technical report on M2M Enablement in Intelligent Transport System covers the Indian scenario, challenges, use cases, available standards and further course of acti on. Technical Report on V2V/ V2I Radio Spectrum and Embedded SIM has given detail of related technologies in V2V/ V2I communicati on and the spec- trum requirement. Embedded SIM is the innovati on in SIM technology and it is based on GSMA guidelines. These technical reports may be quite useful in preparing eco system for the Smart Citi es. Conclusion: Some applicati ons in Vehi- cle tracking are being used from the last so many years but the standardizati on of data semanti cs is required. All stake- UN adopts new regulation on Quiet Road holders should join the larger ecosys- Transport Vehicles (QRTV) tem, and work towards single nati onal objecti ve. This will ensure wide accept- A new regulati on adopted by the UN- 0 to 20 km/h. Above 20 km/h the noise ability of the technology and economies ECE World Forum for Harmonizati on of of ti res on the road and the wind noise Vehicle Regulati ons (WP.29) requires are audible even from a fully electric car of scale. acousti c warning devices on hybrid and thereby negati ng the need for a warning ITS technologies for India cannot be en- electric cars. It aims to minimize the risk system. ti rely modelled on the existi ng success- posed by silent cars, without creati ng a The Regulati on introduces the mini- ful ITS deployment of other countries disturbing level of traffi c noise. Accord- mum AVAS sound levels, spectrum and as the ecosystem in India is diff erent. ing to the new Regulati on, quiet cars frequency shift , depending on the vehi- Therefore further R&D acti viti es work in should be equipped with an Acousti c cle’s speed forward or backwards speed. this directi on is required. Vehicle Alerti ng System (AVAS) to create It also specifi es the maximum overall arti fi cial noise in the speed range from sound limit

PG.38 | Smart Automoti ve | March - April 2016 www.telemati cswire.net Magnetically levitated “Eagle-360” tire for self-driving vehicles The unique shape of the Goodyear Ea- gle-360 could contribute to safety and maneuverability to match the demands of autonomous mobility. First, sen- sors inside the Eagle-360 concept ti re register the road conditi ons, including weather and road surface conditi ons, and communicate this informati on to the car as well as to other vehicles to enhance safety. Secondly, leveraging Goodyear’s tread wear and pressure monitoring technology, sensors in the Eagle-360 register and regulate the wear of the ti re to extend mileage. The spherical shape of the ti re is key spherical shape of the Goodyear Ea- with spherical ti res to pull into parking to delivering maneuverability. The gle-360 provides a smooth ride by creat- spots. Assuming public parking areas multi -orientati on ti res move in all direc- ing a fl uid, lateral movement. This helps play the same role, this could signifi - ti ons, contributi ng to passenger safety. the car to overtake an obstacle without cantly increase the capacity of public To connect with the body of the car, the changing its driving directi on. Finally, parking areas without increasing their Goodyear Eagle-360 concept ti re relies because 360 degree turns are possible size. The ti re also absorbs water on the on magneti c levitati on. The ti re is sus- with this ti re, it could tackle anti cipated road and ejects water from the ti re foot- pended from the car by magneti c fi elds, parking constricti ons of the future, as print through centrifugal force to reduce similar to magneti c levitati on trains, the less space will be needed for cars fi tt ed the risk of aquaplaning.

Samsung Connect Auto HARMAN eye and pupils tracking for driver monitoring system It measures increase in pupil dilati on as an indicati on of a driver’s mental work- load. Eye and pupil tracking system recognizes high cogniti ve load and mental mul- ti tasking in the driver’s seat, and signals the car’s other safety systems to adapt to the driver’s state. Driver’s pupil dilati on is analysed through proprietary algorithm which monitors the pupil refl ex using fi ltering and signal processing. The fi lter iso- lates and identi fi es responses triggered by cogniti ve load. The calculated outputs are used to adjust user interfaces, like placing mobile devices in do-not-disturb mode or adjusti ng ADAS system interventi on thresholds to minimize physical and mental distracti on to the driver.

Samsung Connect Auto (the OBD-II don- gle) plugs directly into the OBD II port it uses real-ti me alerts to help users im- prove their driving behavior, including increased fuel effi ciency, while off ering a Wi-Fi connecti on to keep passengers online while on-the-go.

www.telemati cswire.net March - April 2016 | Smart Automoti ve | PG.39 BMW Vision Next 100- the futuristic connected car

BMW VISION NEXT 100 Concept de- signed to anti cipate and respond to peo- ple’s future mobility needs. Companion: The intelligent digital part- ner connects driver and car. It plays an important role in driver-vehi- cle communicati ons when the car tran- siti ons from Boost to Ease mode. While the driver concentrates on the road in Boost mode, the Companion remains fl at in the dashboard. But when the BMW VISION NEXT 100 takes control in Ease, it rises up to create an interface means of the green light gradient on the The contact analogue BMW Head-Up with the windscreen. A signal light tells front of the vehicle. Display of the future uses the enti re the driver that the car is ready for fully In Boost mode, the enti re vehicle focus- windscreen to communicate with the autonomous driving. For other road us- es on the driver, off ering intelligent sup- driver. In Boost mode, it focuses exclu- ers, the Companion has a similar func- port to maximize the driving experience. sively on what really matt ers to the driv- ti on, signalling through its own light as The seat and steering wheel change po- er: informati on such as the ideal line, well as that of the vehicle that the car siti on, and the center console moves to turning point and speed. In additi on, full is operati ng in automated mode. In cer- become more strongly oriented toward connecti vity, intelligent sensors and per- tain traffi c situati ons, the Companion is the driver. As the journey proceeds, the manent data exchange allow the Head- in visual contact with other road users, driver can interact with the vehicle via Up Display to generate a digital image of helping pedestrians to cross the road by gesture control. the vehicle’s surroundings.

Hyundai Motors gets a “go-ahead” to test autonomous vehicles in Korea Hyundai Motor has received license from the government of Korea for testi ng its autonomous-driving car on local roads, a move to facilitate the automaker’s plan to commercialize driverless vehicles by 2020. The vehicle is equipped with features including traffi c jam assist, highway driving assist and narrow passage assist. It can easily be switched to manual mode when needed, meaning that a person holding the license has to sit in the driver’s seat while it is on the road. The Genesis sedan is also required to carry a visible sign so that other drivers can be aware of what it is.

Automated lorry convoys will take Driverless “platoons” to be road to Briti sh motorways. UK Chancellor George Osborne pledged last year to in- tested in UK next year vest millions in automated car technol- ogy as a way of improved effi ciency and reducing traffi c congesti on. A stretch of the M6 near Carlisle have been earmarked for testi ng the system, which could result in “platoons” of up to ten computer-controlled lorries being driven just metres apart. And the seed of those plans could come to fruiti on as early as 2017, with a “platoon” of driv- erless Heavy Goods Vehicles (HGVs) set to be tried out along an unidenti fi ed UK motorway. The vehicles have a “highway pilot” – which can be acti vated at the press of a butt on – that helps them avoid other road users via a radar and camera sens- ing system.

PG.40 | Smart Automoti ve | March - April 2016 www.telemati cswire.net PG.40www.telemati cswire.net March - April 2016 | Smart Automoti ve | India Update Acquistions & Alliances

Conti nental to start manufacturing ABS and ESC HERE and Nuance collaborate to enhance in-car connecti vity units in India powered by voice Conti nental’s Chassis & Safety Division will start pro- HARMAN and NXP to cooperate on secure v2x communica- ducti on of ABS and ESC units in India later this year ti on and will be set up in the existi ng Conti nental Auto- LG and Intel collaborate to develop vehicle telemati cs tech- moti ve Brake Systems plant in Gurgaon, Haryana. nology Royace Eye to invest Rs 600 crore in vehicle security General Motors will invest $500M in Lyft for on-demand market in India autonomous vehicles in the US Royace Eye Industries India, a UK-based security soluti ons provider, recently said that it will invest Rs Samsung, SEAT and SAP SE collaborate to develop connected 600 crore in Indian automobile security market. car technology Coal India set to spend Rs 200 crore on upgrading Volvo and Ericsson collaborate to bring streaming content its existi ng GPS tracking system for autonomous cars On a technical overhaul drive, CIL will spend Rs 200 Nissan to use Mobileye’s autonomous driving system crore initi ally on various areas including electronic CalAmp buys LoJack stolen vehicle recovery business for fencing of mines on the lines of best industry prac- $134 million ti ces. Geely to use Ericsson’s connected vehicle cloud for entry Zendrive develops machine learning system to mon- level digital service itor driver’s performance Moovit’s partnership with BMW off ers DriveNow car sharing Zendrive, which has a tech development facility in services Bengaluru and has recently raised $13.5 million from INRIX buys OpenCar to provide standardized in-vehicle app Sherpa Capital, developed a machine learning system platf orm that uses sensors in smartphones to monitor driving. RAC acquires Nebula systems to boost telemati cs off ering PeopleNet (Trimble) Video Intelligence Soluti on Octo Telemati cs joins TSR coaliti on for road safety combines video-monitoring with telemati cs data ZTE and Telia Sonera sign agreement on IoT and telemati cs PeopleNet is going to launch a new Video Intelli- gence Soluti on, a platf orm that brings forward-facing Aston Marti n partners with LeEco to develop electric cars camera technology and PeopleNet’s Onboard Event ST microelectronics and ARCCORE team up for automoti ve Recording (OER) into an integrated system. embedded-processing development HCL Technologies acquires Volvo Group’s external IT Smartwitness teams up with Corcra to off er integrated business telemati cs and camera technology soluti on for fl eets HCL Technologies (HCL) has signed a signifi cant IT AppCarousel and Mobica join hands to enhance connected outsourcing deal with the Volvo Group. The company car app experience has also acquired Volvo’s external IT business, adding Pivotal partners with Ford for soft ware platf orm for FordPass 40 new customers from the Nordics and France to its for cloud-based mobility portf olio. Check Point Soft ware partners with Argus for connected car KSRTC expands its Vehicle Tracking & Monitoring cyber-security System (VTMS) for fl eet modernisati on BMW MINI teams up with US based hardware start-up incu- The state transporter of Karnataka State Road bator for connected citi es Transport Corporati on (KSRTC) has embarked on an MSIG Insurance initi ates a UBI pilot in Singapore in collabo- expansion mode of its VTMS. rati on with CSE Telemati cs IIT Kharagpur students win fi rst prize for driverless HERE and Colorado DOT join hands for I-70 Mountain Pilot bicycle at KPIT Sparkle 2016 project on connected vehicle & C-ITS Few students of IIT Kharagpur have developed a driverless bicycle named “i-bike”, which also won the KT Telecom works with Samsung and CarVI for connected car fi rst prize in KPIT Sparkle 2016. & ADAS Tata Motors & IIT Bombay sign MoU for research in CVTA partners with MusiComm to deliver music to connect- automoti ve industry ed vehicles IIT Bombay and Tata Motors have recently signed a Intelemati cs partners with local European automoti ve clubs fi ve-year MoU to create technological partnership to expands its presence beyond ANZ with an objecti ve to ensure the future engineering needs of the automoti ve industry.

PG.42 | Smart Automoti ve | March - April 2016 www.telemati cswire.net PG.43www.telemati cswire.net March - April 2016 | Smart Automoti ve |