Connected Car opportunities from a Telco’s Perspective

Connected Car

opportunities from a

Telco’s Perspective

Dr. Bernhard Kirchmair

Head of New Business Strategy & Planning

Telefónica Germany

Dec 2014

We are Germany‘s largest mobile network

operator, since the merger with E-Plus Group took

place.

We offer innovative mobile, fixed line and internet

services for private and business customers.47Mio. customer accesses

41 Mio. mobile network

accesses

8 Bn. EUR

Revenue 2013

Telefónica Germany

Digitization changed our life


50 Mio

adopters


Telefónica Connected Car Industry Report 2014

Spain, Germany, UK, Brazil, USA

> 5.000 drivers 18+

7 OEMs


said connected car features were

critical when buying their next car50%

Snapshot

80%expect same connectivity experience from car as from

home, work and on the move

71%say they are

interested in using or already using connected car services


of drivers say

safety & diagnostics most critical.73%

Snapshot

54%of UK drivers say

usage-based insurance models valuable

Across all markets surveyed

One third of drivers expect not to own their

own car by 2034, but predict to

use alternative options such as

car

sharing

Opportunities for Telcos – The first Wave

ConnectivityLocation &

EmergencyContent

Opportunities for Telcos – The second Wave

Maintenance Performance Commerce

Connected Car @ Telefónica –

Tesla, S-Drive & O2 Car Connection

O2 Car Connection

O2 Car Connection

Vehicle Diagnostics Driving behavior Driver scoring Vehicle locator

O2 Car Connection

GeofencingMovement

detectorGroupsLogbook

Challenges

OEMs cautious towards open app systems

Built-in vs. brought-in connectivity

Data ownership and control for connected cars

Data security, malware protection

Collaborative business models btw OEM,

operators, content providers to be created

Change of traditional dealership models

New ownership models through connected car

(e.g. car sharing)

Technology

Connected Car opportunities from a Telco’s Perspective