Modern Journeys, Intelligent Rides: A Fresh Look at the Modern Day Automobile
Steve Lalla, EVP at Verra Mobility: Turning Your Car into a Digital Wallet
Ever find yourself at a toll booth, frantically searching for your wallet? Forget about it - your ride's got your back. Welcome to the era of connected cars, where your vehicle handles transactions for you seamlessly. Although data privacy concerns loom, the same transformation we witnessed in mobile phones is bound to ease these worries and excite folks about the endless possibilities.
Say Goodbye to Driving, Hello to Connected Cars
With a 30-year history in tech leadership roles at Motorola and Dell, I've witnessed transformations - from flip phones to smartphones and from standalone PCs to always-connected hubs. Now, at Verra Mobility, I'm observing another transformation, this time in the auto industry. Connected cars are evolving from mere transportation devices to high-tech computers on wheels, and integrating these smart features will make the commute more convenient and efficient.
Today's automobiles come loaded with sensors, processors, and connectivity features, often featuring large screens. Many think of a connected car as mirroring the phone's screen on the car's infotainment system via Apple CarPlay or Android Auto. However, the next level involves transforming the car itself into a fully functional, integrated computer using wireless connections.
We've been collecting data for years to boost road safety and provide discounts on insurance. New cars receive over-the-air updates, incorporating new features and security improvements. If you own a newer vehicle, you likely have an app that lets you remotely start, lock, unlock, and adjust climate control settings—all thanks to the car's connectivity.
Data Ownership: A Traffic Jam of Complexities
A smooth transition to connected vehicles faces several hurdles. First is the sticky issue of data ownership and control. Unlike smartphones, where the user takes ownership of the data, vehicle data involves various stakeholders such as manufacturers, service providers, and drivers. This complex web of ownership creates perplexing questions about who gets access to what data and for what purpose.
Cybersecurity poses another critical challenge. Connected vehicles, essentially rolling computers, are tempting targets for hackers. Breaches could result in privacy violations, loss of sensitive data, or even physical danger.
Standardization is a significant issue. Manufacturers use proprietary systems, causing difficulties in creating unified services across vehicle brands. Fragmentation slows down adoption and limits the advantages of connected vehicle technology.
The Road Ahead: Navigating Challenges and Opportunities
Research reveals that 76% of Americans are open to sharing driving and location data for select benefits. This indicates that, with adequate safeguards and compelling value propositions, consumers are willing to embrace connected vehicle technology. Forty-five percent of Americans find the concept of a vehicle functioning as a "digital wallet" intriguing, and a majority would utilize this feature if offered.
The industry is already witnessing promising developments that enhance the driving experience. However, before we experience the full potential of connected cars, we need to tackle these challenges:
- Infrastructure Upgrades: Cities must modernize their infrastructure to support vehicle-to-everything (V2X) communication, involving substantial investments and cooperation between transportation agencies.
- Digital Divide: As cars become more connected, it's crucial to bridge the gap between new and old vehicles. Developing after-market devices that provide similar location and billing information, as a connected car does, is essential to avoid creating a two-tier system.
- Privacy Standards: A unified privacy framework that protects consumers while fostering innovation is needed. The industry must collaborate to develop standardized security protocols and strong data protection strategies.
- Educating Users: Drivers need to understand not only the benefits of connected vehicles but also their responsibilities to ensure safety and enjoy the benefits.
Revving Up for the Future
The connected car revolution is still in its infancy. Success demands collaborative efforts from the automotive and tech sectors, focusing on enhancing user experience, optimizing data security, and creating benefits that customers can appreciate. The goal isn't merely to make driving more intelligent, but to revolutionize the whole driving experience - making it safer, more efficient, and more delightful.
By reinventing our relationship with vehicles, we're fundamentally changing the way we interact with the world. Our immediate task is to create an ecosystem that empowers individuals while prioritizing safety and privacy. The future of mobility isn't just about reaching our destinations; it's about transforming the journey itself.
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- Steve Lalla, EVP at Verra Mobility, is ready to navigate the challenges and opportunities of the connected car revolution, drawing upon his 30-year experience in tech leadership roles at Motorola and Dell.
- Steve Lalla, at Verra Mobility, realizes the potential of turning a car into a digital wallet, even as he acknowledges the data privacy concerns that may arise with this transformation.
- In the future, Steve Lalla envisions a connected car ecosystem where drivers can easily and securely manage transactions, such as tolls, directly from their credit lines, while maintaining the privacy of their personal data.
