As of today, General Motors is shifting OnStar’s priority to focus on safety and security. Moving forward, the Chevrolet, Buick, GMC and Cadillac brands will carry the connectivity services.
According to an Automotive News report on Sunday, OnStar will also be focused on building revenue through its subscriptions and services. However, it won’t shift what exactly OnStar does and does not offer. Instead, GM hopes the refocusing helps OnStar reach its full potential.
The entire plan is also part of a $1.5 billion goal of GM’s. The automaker hopes to expand revenue for non-core businesses in the coming years. OnStar’s vast amount of data and platform should spawn even more advances such as the Amazon in-car delivery service, or Marketplace system. GM CEO Mary Barra said, through OnStar, that the automaker is “unlocking the value” with services like in-car delivery or in-car shopping or ordering.
Meanwhile, GM vehicle brands will pick up the connectivity and technology message to rival other auto brands.
“It makes sense for our vehicle brands to be the voice of technology. It’s core to what they are,” Gerard Connell, OnStar’s director of sales and marketing, said.
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This doesn’t come as a surprise to me IMO. The OnStar mobile app turned into the MyChevrolet/MyGMC/MyCadillac/MyBuick app last year or so. They used to be separate apps before, but were combined to the brand specific ones. You can do all of the remote functions, navigation sent to your car, book service appointments, etc. all from one app. If anything this confirms what they’ve been up to already.
Also, the 2019 1500 order guide supports this even more, with the new standard feature, Chevrolet Connected Access:
“Chevrolet Connected Access with 10 years of standard connectivity which enables services such as, Vehicle Diagnostics, Dealer Maintenance Notification, Chevrolet Smart Driver, Marketplace and more”
Since it’s fairly topical (thanks, Facebook). any details about security/info sharing/etc?
I know it’s a big ask – maybe I’ll ask the Amazon guy who’s putting a box in my car….
The thing about security is that right now if you have MyChevrolet/MyGMC/MyCadillac/MyBuick it can already remotely unlock/lock your GM vehicle so giving another person like an Amazon delivery person access doesn’t increase the security risk…
I guess it may if the Amazon guy forgets to lock the car after he places your delivery in the car. I have not heard OnStar say they can lock the car, only that they can unlock it. Also, it only a matter of time before the “Porch Pirates” move to breaking your car window and stealing your fresh delivery. Just thinking ahead.
You’re shooting from the hip, every single day more surveillance cameras come online than are taken offline…Who do you think is the most likely customer of this delivery service, the complex dwelling millennial who drives an Chevy Trax ordering a three pack of Axe Body Spray or a $100K Escalade owner who wants to buy his girl a coach purse? Whenever Amazon mentions this service, they also mention this is an option to combat front door package theft…A “porch pirate” talented enough to hack this system could make far more with less risk by sticking to computers…
Luckily Amazon has already thought ahead by not allowing the courier to see their next delivery until the car is locked and even sends the Amazon customer notifications that your package was delivered and was locked…No one is saying it’s foolproof but delivering to a vehicle is more secure for those who have had their packages routinely stolen from their front door which is the primary goal of this…
Highly debatable to if individualized GM app experience makes any sense…Reality is, it seems like Cadillac will allow you to run your paid Spotify account natively which is going to have very few takers beyond a free trial that’ll most likley be introduced…
GM charges unlimited internet for $20/mo, every Caddy could offer this for say 36 months, this is how you get Joe Q Public hooked on the connected car…
Sean’s summary doesn’t really cover the topic. Click the AUTOMOTIVE NEWS to get the devil in the details.
I was hopeful something smart was going to happen and instead it’s more of GM FIRST, CUSTOMER SECOND. For instance —
GM would like to allow Amazon and others into your car and take their cut for doing so (GM FIRST) but they do not want to give you basic key fob products for free (CUSTOMER SECOND). In both scenarios GM only sees this: $$$$$. They don’t ask themselves what they would want as customers.
Key fob services cost NOTHING. They should be GIFTED to OnStar users INDEFINITELY in exchange for maybe slipping adware into our cars. Making us aware that Amazon or Dominos or Chipotle or Whole Foods or Safeway or Bevmo can deliver orders to our cars IS advertising. Strategic partnerships while taking revenue cuts.
I’m okay with that (providing they don’t get $$$$$ and ad us to death) but in exchange for this access it’s more than fair for EVERY OnStar user to get free key fob, diagnostics, all that stuff which costs nothing. INCLUDING having OnStar ALWAYS CALL YOUR CAR FOR FREE if it appears you’ve been in an accident.
THAT product. I just described. Would be the FIRST time I’d recommend OnStar as a GREAT product to anyone. Word of mouth like this matters.
Good luck growing Onstar. They cut the commission to dealer salespeople by 40%. I now no longer even offer Onstar packages for customers or go out of my way to endorse the product.
Onstar always treated me like a revenue stream. That all stopped when I didn’t get my “free” truck upgrade done, with only a $250/year service plan.
Really??? GM should be thinking “how can we take care of our customers”, as opposed to “how can we take our customers…some more”
IMHO, this sounds like OnStar is going to be faded away as the service name. The telematics will, instead, be branded under the make (i.e. Safety/Security by Chevy, by Buick, etc.). In fact, this could be a harbinger of GM realizing OnStar had its day, but smart phone technology has raced far past it, and it’s time to phase OnStar out.