Connected Cars – The Challenges And Benefits

The Future Of Connected Cars & IoT 

Internet of Things is transforming the automotive world by developing connected car technologies that offer significant benefits to carmakers and consumers alike. Generally, connected cars are meant to reduce traffic congestion, fuel consumption, emissions and most importantly, road accidents.

It seems the phrase “reduce waste, loss and cost,” is a mantra to the automotive sector, and automakers are among the most enthusiastic proponents of IoT. Almost all the automotive OEMs along with mobile operators are investing in connected cars programs.


It is largely due to increasing proliferation of embedded in-vehicle connectivity and smartphone integration platforms that are allowing companies to invest and combine automotive technology with our phones, watches and computers.

The latest investment is done by Gemalto, a digital security company that has joined forces with China Telecom to develop a proof-of-concept for subscription management in connected cars. According to the press release, Gemalto's LinqUs On-Demand Connectivity (ODC) subscription management solution will be integrated in vehicles, which will facilitate China Telecom's automotive customers to offer instant connectivity on cars. The embedded SIMs allows drives to have safe drive.

China, the world’s fastest growing automotive market, has high demand for advanced telemetric, navigation, and safety features in vehicles, in order to minimize traffic congestion and provide safe drive with facility to select service subscription throughout the entire lifecycle of their cars.

Speaking about the recent development, Dr. Liu Yuan, Vice Chief Engineer at China Telecom Corporation Ltd., said in a statement, “With an international standards organization specifying a single, uniform remote provisioning architecture for embedded UICC, there will be no need for our customers to plan for unique subscription at the manufacturing level, or build device variants for different operators. This will simplify their supply chain logistics for quick worldwide deployment across different service providers, and greatly boost the development of IoT globally.

Last month, Gartner, a leading IT research and advisory company predicts that by 2020a quarter billion connected vehicles will enable new in-vehicle services and automated driving capabilities”.

With unified standards, we can help China Telecom to leverage their 4G networks to capture this strong growth potential market and offer innovative solutions for a safe and pleasant driving experience”, he added.

Challenges for connected cars:

The opportunity for connect car market is huge. An article published on Forbes points out many challenges and issues that will hamper the adaptability of this technology. Some of the concerns are given below:

  • Are consumers prepared to pay for the numerous capabilities of tomorrow’s connected car?
  • What about the safety? Can it be hacked easily? The most crucial threats to connected cars are malware, full data injection, odometer fraud, intrusions, vehicle theft, fraudulent warranty claims.
  • Is the car dealer tech-savvy? Car dealers have a bad reputation when it comes to explain technical details to consumers. So the car dealers should be tech savvy teach customers how to use their car's advanced technology.
  • How many applications access should drivers be able to access?

It would not be easy for automakers and the auto industry in general which is almost in ‘denial to reluctant mood’ to accept these challenges in making connected cars. However, I believe consumer backlash against security features in connected cars will compel automakers to implement real innovative security features that can eliminate threats.

By Todd Franks


Established in 2009, CloudTweaks is recognized as one of the leading authorities in cloud connected technology information and consultancy services.

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