(Image Credit: iStockPhoto/graphicnoi)
Mobile industry analysts at Chetan Sharma report that in the first quarter of 2016 more cars were added to U.S. mobile networks than new phones.
According to Sharma’s research, nearly a third of new connections—32%—were vehicles, while phone activations closely followed at 31%. Tablets accounted for 23% of new connections and M2M (machine-to-machine) devices made up the remaining 14%.
This trend reflects an established mobile market where many consumers keep their existing plans and only upgrade handsets. At the same time, connected cars have become increasingly common, with many first-time car buyers choosing vehicles that include cellular connectivity out of the factory.
AT&T, the U.S. telecommunications provider, has positioned itself as a major player in this space. The carrier reportedly has about eight million connected cars on its network—likely the largest number held by any operator worldwide—and is adding new vehicle connections faster than its competitors combined.
AT&T offers a range of dedicated connected-car solutions that appeal to automakers and their customers. The company has signed connectivity agreements with at least nine of the roughly 15 or 16 major car manufacturers active in the United States. Beyond commercial partnerships, AT&T also supports research and develops its own concepts and prototypes for consumer-facing connected-car products.
One example began as a student project: Nancy Dominguez, an engineering student at the University of Texas and an intern at AT&T’s Plano Foundry, explored ways to prevent tragic incidents of children being left unattended in hot vehicles. She developed a prototype that places sensors in a car to detect the presence of a living passenger and trigger an alarm. AT&T has continued refining that prototype toward a potential commercial solution.
Surprisingly, many drivers remain unaware their vehicles are already connected. A survey of 3,700 drivers in Europe by TNS and the BearingPoint Institute found that about four in ten respondents did not realize their cars included connectivity features. Among the remaining six in ten, connected features had influenced their decision when buying a vehicle.
Are you surprised by how quickly cars are being connected to mobile networks? Share your thoughts in the comments.