Trading Revs For Megahertz- The CarPC Revolution Telematics Conference Detroit May 2006.

Trading Revs For Megahertz- The CarPC Revolution

Telematics Conference

Detroit

May 2006

Agenda

The Car PC Phenomenon

Car PC Killer Apps

Potential Market Impact of Car PCs: Who Cares?

What to Do About it

• Early adopters with needs for advanced features purchase and build Car PCs to satisfy their entertainment and productivity needs.

• Haven’t we been through this before? Yes.


Car PCs: What has changed?• Early Car PC Attempts

– Closed (Perceived threat of consumer changes)

– Unconnected (too early in the wireless game)

– Fixed feature set (underpowered hardware)

– Proprietary device connectivity (lock-in to an aftermarket Brand)

– Uneducated market (what’s an MP3?)

• Car PCs Today– Open, expandable (Wintel-based)– Easily connected to the internet (WiFi,

Bluetooth mobile)– Able to add new features (Gigahertz-class

quiet PCs)– Wide device support (a PC can connect to

all devices)– Educated market (iPod-in-car

phenomena, satellite radio, TiVo, DVD players in the car, WiFi)

QuickTime™ and aTIFF (Uncompressed) decompressor

are needed to see this picture.

“DIY Telematics”

• Ad-hoc, do-it-yourself Telematics is flourishing• Multiple home-grown end-to-end platforms will probably

evolve.• Network service providers need to put these systems in

place or they will be commoditized like ISPs• Wireless carriers and PDA manufacturers know how to

launch an open architecture (such as Symbian) as well as closed architectures.

• An open-architecture option is needed - and an unknown, big or small) could grab this market from the incumbents (i.e. Apple, ?)

Car PC Hardware

• Xenarc• IconTV• Mini-Box• CarBot PC• Infill• Apple Mac Mini• CapuccinoPC• Any Mini-itx/small form-factor

HTPC (HushPC, etc.)













Car PC Concept

• The Car PC is a convergence platform that delivers advanced services and features to cars and enables new Telematics business models.

• The device is sold through the automotive aftermarket, through retail channels, and through partnerships with automotive OEMs.

• Early adopters with needs for advanced features purchase car PCs to satisfy their entertainment and productivity needs.

• End consumers will adopt in-car computing because it solves all aspects of their telematics/infotainment needs.

Car PC Forums

http://www.car-pc.infohttp://www.carmedia.orghttp://www.digital-car.co.uk http://www.carputer.nohttp://www.sirope.comhttp://www.carputer.ithttp://www.mp3car.com

Mp3car.com, the largest, has more than 22,000 registered users and is used worldwide

http://www.car-pc.info/

http://www.carmedia.org/

http://www.digital-car.co.uk/

http://www.carputer.no/

http://www.sirope.com/

http://www.carputer.it/

http://www.mp3car.com/

Car PC Front-end Software

• A.I.M.E.E.• AutoTouch• Centrafuse• FrodoPlayer• iMobile• MediaCar• MediaCruiser• Media Engine• Mobile Impact• MobyCar

• Mobile Media Center• NeoCar Media Center• PyCar• Road Runner• V.O.I.C.E.S



Picture © “Febsperanza” @mp3car.com

Frodoplayer “Britelife” Skins - mp3car.com forums



Frodoplayer “Frigor” Skins - mp3car.com forums



Phone Control - Incoming Call

Centrafuse (Desisolja2) Skin - mp3car.com forums



Centrafuse Skins - mp3car.com forums



Personal Telemetry Example - frodoplayer.com

User Interface

• Achilles heel of Car PCs• As you’ve seen, Car PC front ends are in their

early stages• Little formal or even informal HMI work goes into

these designs• However, the number of potential minds on the

problem is much larger than in the embedded/OEM sector

Navigation

Agenda


Car PC Killer Apps


What to Do About it

What are the “Killer” Car PC Applications?CONNECTEDNESS

1. Connected devices: portable cevice Integration

2. Connected Navigation: navi with map updates, local search, and more flexible networked POI

3. Connected Infotainment: information and multimedia from and to all devices, networks

What are the “Killer” Car PC Applications?

1.Connected Infotainment

2.Connected Navigation

3.Connected Devices

Connected InfotainmentEntertainment• Personal audio library

integration• Personal video library

integration (HTPC/DVD transfer/storage)

• “Tivo-for-Radio” - through hardware recording

• “Podcasting” principle: Purchased, subscribed, and free media is pushed to the vehicle

Productivity:• Most important emails are

synched in real-time and read on delivery

• Blogs, RSS Feeds, Podcasts are automatically downloaded to the vehicle

• A “Mix CD” of your daily information diet- stock portfolio, custom filtered news, just like your personal home page

• Outlook Schedule changes and SMS messages are spoken to you safely

Future: Connected Navigation

• Social networking + NAV: Navigational “Buddy-List” - shows where children/spouse/friends are on your map

• Waypoint sharing: (from Traffic cameras to favorite restaurants - anything is possible)

• Local Search: Google/Yahoo map information integration (real-time driver-safe localized search in the car)

• Navi-Mobile Integration: Better-than-OnStar location aids (beam that address to my NAV system, a la carte information via mobile phone)

• Auto-download of new maps and waypoints (maps are always up to date, and advertisers can be tempted with a line to the subscriber)

• Real-time traffic condition two-way reporting with wireless connectivity (why not have the guy in traffic report on traffic conditions there)

Thank You!

www.carpchacks.com• Damien Stolarz• Chief Technology Officer, • StreetDeck.com

http://www.carpchacks.com/

Consumer Electronics vs. Automotive

• Consumer electronics has a 6-12 month development cycle

• 80% of innovations in the car are in electronics• OEMs do not want to take on steep development

costs, but need product differentiation• This puts the power increasingly in the hands of

the software developers: OEM, aftermarket, and now, end users

Device IntegrationMobile Device Disconnect

• Bluetooth support very slow to emerge• Consumers can connect and control iPods - to newer

cars• Anyone with a non-iPod is out of luck• Little connectivity for portable video• No standards for MP3->car• Bluetooth barely working for Phone->Car• Inconsistent address book support• No support for mobile device DATA (contacts, calendar,

email, etc.)

Future: Wireless Broadband

• WiFi, 3G, WiMax are going to proliferate and come down to mass consumer pricing

• StreetDeck delivery infrastructure allows content to be pushed wirelessly to the vehicle

• Broadcast content (XM, Sirius) is the past – Personalized content is the future

• Podcasting principle: Allows the scripting of the flow of information for completely customized listener experiences

Connected InfotainmentEntertainment• Personal audio library

integration• Personal video library

integration (HTPC/DVD transfer/storage)

• “Tivo-for-Radio” - through hardware recording

• “Podcasting” principle: Purchased, subscribed, and free media is pushed to the vehicle

Productivity:• Most important emails are

synched in real-time and read on delivery

• Blogs, RSS Feeds, Podcasts are automatically downloaded to the vehicle

• A “Mix CD” of your daily information diet- stock portfolio, custom filtered news, just like your personal home page

• Outlook Schedule changes and SMS messages are spoken to you safely

Connected Devices

• Car PCs serve as the “Digital Glue” that connects any device to the vehicle

• Car PCs can connect to the widest array of Heterogeneous wireless standards:– Bluetooth– USB– Wi-Fi– As they emerge: Wi-Max / UWB / Wireless USB

Center Console Plugs - USB, CF, iPod





Photos © Matt Turnerhttp://tunertricks.com

Mac Mini -Custom Install





Photos © Matt Turnerhttp://tunertricks.com

ipod - Custom tray

Photo © http://tunertricks.com



Agenda


Car PC Killer Apps


What to Do About it

Car PCs: Why now?

• Early Car PC Attempts– Closed (Perceived threat of consumer changes)– Unconnected (too early in the wireless game)– Fixed feature set (underpowered hardware)– Proprietary device connectivity (lock-in to an aftermarket Brand)– Uneducated market (what’s an MP3?)

• Car PCs Today– Open, expandable (Wintel-based)– Easily connected to the internet (WiFi, Bluetooth mobile)– Able to add new features (Gigahertz-class quiet PCs)– Wide device support (a PC can connect to all devices)– Educated market (iPod-in-car phenomena, satellite radio, TiVo, DVD

players in the car, WiFi)

Unfulfilled Consumer Demand

• But Car PCs provide the features that aren’t being met by the market

– Non-iPod device integration

– Mobile device (PDA, phone) integration

– Localized Search (Yahoo/Google/consumer-built networks)

– Internet based-Radio

– Blogs, RSS Feeds, Podcast synchronization

– “TiVo” for radio

– Email

– OBD-II live display

– Personal Telemetry/Rear View Cameras/personal surveillance

Car PC Features & Benefits

• Open System software can be upgraded, protecting investment

• Open Hardware can be upgraded• Can bring in music, movies more easily for users• Devices can be integrated more easily over any

connection system• Future proofing - not only new devices, but new

applications and connectivity• State of the art (not 2-3 yrs old)

Car PC Cost Savings

• Substitute Solution Pricing– Navigation with Traffic report (2000 – Pioneer Avic-N2)– Entertainment (300 + 200 iPod + integration / $2000 Alpine

DVD)– Phone integration (750 – BMW, Audi, MB)– Aftermarket automotive NAV (around 700+)– Current price of upgrade to 6-Disc CD changer: 600 (BMW)

• Car PCs can deliver all these features at once– Car PC hardware (500-1000)– Car PC Navigation software (250)

Market Size

Global Telematics revenues are estimated at $6.5 billion in 2008Car PCs address every one of these market segments

Source: Telematics Research Group

Alpha Carbuyers

From “Spotting Alpha Carbuyers”, By Mark Dixon Bünger, Forrester Research

Form-Factor Facts

• Dispelling the “double-DIN” myth: – 6.5” or 7” screen + optical + buttons do not fit in 2-DIN– Even when the screen folds out or over, Double-DIN cannot be

relied upon for many vehicles because of custom HMI

• Portable & Temporary Installation– There are no easy solutions for TomTom, Garmin, and other

systems– UMPC, good7 inch screens, all require different, awkward

mounting from vehicle to vehicle– Aftermarket NAVI now has to confront making custom kits for

each car– Market wants 6.5” to 7” built-in screens; – temporary installs are prone to theft

Wireless Broadband

• WiFi, 3G, WiMax are going to proliferate and come down to mass consumer pricing

• StreetDeck delivery infrastructure allows content to be pushed wirelessly to the vehicle

• Broadcast content (XM, Sirius) is the past – Personalized content is the future

• Podcasting principle: Allows the scripting of the flow of information for completely customized listener experiences

Car PC Radio Threat

• In-Stat has found (2004 survey) that:– The features offered by digital radio that were most appealing to survey

respondents were the ability to receive news, weather, and traffic information on demand, along with more programming choices.

– Survey respondents who were familiar with satellite radio but did not own one, said the monthly subscription fee was the primary deterrent for purchasing a satellite radio.

• This means open platforms, based on commodity bandwidth or ad-hoc networking, are a threat to large, provider-based

infotainment/telematics offerings • In a couple years, where will network providers be, if consumers

bypass the provider and go straight to the content? • Subscription radio services with high amortized deployment costs

are particularly vulnerable to an Internet radio threat

Demands on a Telematics Software Platform (part 1)

• Open, Standards-based• Safety-oriented HMI (Human-machine Interface)• Music, Video, Sat. Radio, DVD, Vehicle, Diagnostics• Navigation• iPod integration• Non-iPod integration• Plug-in architecture• Portable, cross-platform design• Multi-zone (front seat/rear seat)• Head-unit integration• Text-to-speech for navigation

Demands on a Telematics Software Platform (part 2)

• Bluetooth Mobile Phone/Device integration• Portable MP3/Video Device Integration• Broad “Bring your own Bandwidth” support via mobile

phone• Connected navigation• Connected infotainment• ViiV/Fairplay/PlayForSure DLNA/Home Theatre PC

integration• Audio/Video DRM integration• Multiplatform deployment

Multiple Car PC Market Segments

1. Customizer segment: replace screen, radio, everything and “pimp” the ride (install time: weeks)

2. “Add-on” segment: enhance the ride beyond what I already have (install time: days)

3. Upgrade Kit segment: bolt-in solution that looks “factory” made for that specific car (install time: hours)

4. Lease install: Clean factory installs - need to be able to remove it when 3 years are up; uses factory HU, screen, buttons with car pc (install time: hours)

5. Temporary: Bolt-on solutions - suction cup to windshield, portable from car to car (install time: minutes)

F-Series Press Release

Rear SeatRear Seat

In –DashIn –Dash

Substitutes/Alternatives to CarPCs

• Navigation– Handheld/phone systems (too small)– OEM NAV systems (out of date maps and features)

• Personal Media/Infotainment– iPod integration (only for iPod!)– DVD players (currently simpler to use)– Portable players (hard to integrate; don’t use car screens)– Aftermarket all-in-one head units (clunky interfaces; doesn’t integrate

well with modern cars)– OEM car media centers

• Mobile phone– Single-function bluetooth handsfree adapters– OEM phone integration

Anti-Car PC Arguments

1. “In the end, no one buys a convergence platform”

2. “No one wants to run (insert desktop OS) on their car” (BSOD jokes)

3. “Great, now I can have viruses on my car”

4. “No, all the applications are going to be delivered by (insert mobile convergence device here)”

Anti-Car PC Rebuttals

1. The Home PC is a convergence platform.

2. The defacto standard car-pc platform is Wintel today. Car PCPC installs number in the tens of thousands, possibly hundred thousand range - against significant obstacles

3. Cars already get viruses and have security issues with the current design paradigm

4. The anti-convergence argument is probably the best argument for Car PCs. Only a car PC can connect all the myriad unconverged moble devices that consumers want to safely use in the car

Car PC Revenue Models1. Hardware: Car PCs

• Direct Sales, Partnerships, Aftermarket

2. Software Licensing Revenue• Royalties on per-unit deployed basis

3. 3rd Party Applications and Services• Single-purpose applications that don’t warrant a standalone

hardware• Value-added data delivery that doesn’t warrant new hardware• Transaction Revenues from mCommerce

4. Data Aggregation• Automotive OEMs, Insurance

5. Transport• The current Car PC Model is BYOB (Bring your own

Bandwidth) but this could change when car connectivity is standardized

Open Platform Future

• Telematics platforms will open up sooner or later - the complexity is too high for vertical integration to survive

• A similar open evolution happened in the PC software world from the 1960’s to the 1980’s, and continues to happen in any mature software market

• Carve out your niche (or fence-in your competitors niche!) in the future open platform world today



Picture © GreenBeast @ http://www.digital-car.co.uk

Trading Revs For Megahertz- The CarPC Revolution Telematics Conference Detroit May 2006.

Documents

Transcript of Trading Revs For Megahertz- The CarPC Revolution Telematics Conference Detroit May 2006.