HERE Out-Googles Google
Google’s search engine is well known for collecting and analyzing browsing data for the purpose of delivering more relevant Internet advertising to its users. Automotive map maker HERE is doing the same thing for drivers of cars – only without the intrusive advertising experience.
As part of its pending acquisition by a consortium of three German auto-makers, HERE announcements suggest that the company is stepping up its efforts to aggregate vehicle data to improve the quality and accuracy of on-board maps while making driving safer. On Monday, Nokia announced an agreement to sell its HERE digital mapping and location services business to a consortium comprising Audi AG, BMW Group and Daimler AG for EUR 2.8B. The transaction is expected to be finalized in the first quarter of 2016.
The unprecedented move to shift ownership of vehicle maps to three competing customers that use those maps reflects an industry-wide shift to greater collaboration. It also reflects the growing importance of location awareness in vehicles along with accurate positioning.
Location has a very different meaning for a car company than it does for someone browsing on their phone or PC. Location accuracy in a car can and will mean the difference between life and death.
It is for that reason – for the purpose of creating increasingly safe driving experiences, mitigating distraction, and avoiding collisions – that three German car companies were willing to take the extraordinary step of acquiring HERE. Google may help you find a doctor, but HERE will one day save your life – maybe on a daily basis.
According to Nokia’s press release: “The acquisition is intended to secure the long term availability of HERE’s products and services as an open, independent and value creating platform for cloud-based maps and other mobility services accessible to all customers from the automotive industry and other sectors. The three partners will each hold an equal stake in HERE; none of them seeks to acquire a majority interest.”
The objective for HERE, now, will be to expand and enhance its automotive search capabilities, refine the accuracy of its data collection, and explore the development of network-based location technologies to build an Internet of Things-oriented solution. As car companies explore autonomous vehicle operation and communication between cars and between cars and infrastructure, the role of on-board maps will grow as it changes.
The acquisition by the three German auto companies, once finalized, will ensure that HERE’s development of these industry-specific solutions are pursued beyond the distractions of advertising and privacy violations widely associated with Google and on a secure platform. The acquisition marks an industry-wide turn away from Google as a source of embedded location services.
Digital Product Management
9 年Achievable in not so near future should be the idea that the car recommends a good sushi or Tikka masala based on time of day and knowing your profile which you input. .Take the idea further and it calls the nearest tire repair if it detects a flat, a tow if it knows you are about to run out of gas and nearest gas is beyond the limit. Stops drivers with too much alcohol on their system and recommends nearest motel/hotel to crash while maximizing loyalty points earned. Possibilities are endless. .can't wait
Program Director-Project Management Lewis University College of Business
9 年Amazing move...
Partner & Key Accounts
9 年This German Automaker Consortium is less than an ideal arrangement for the long term success of HERE, mostly due to the high cost of continuous investment and development required to keep the map data as fresh/accurate as possible, and as suggested, evolving into HD maps. It makes some sense for these primary OEMs to own the map, but at what level of cost? Is it reasonable to assume that OEM competitors will contribute to their success thru licensing, and help supplement the consortium's costs? Who is a bigger enemy, or represents a greater threat to a car maker, other car makers or Google Maps? Autonomous vehicles will require autonomous maps.
Sales Director @epicnpoc | Automotive | Digital Cockpit | UX / UI | HMI | POCs & demonstrators | Software & Services
9 年With the German consortium announcing they'll offer HERE for free to Fiat, Chrysler, Renault, Peugeot, Ford, Toyota and GM. It's a real game changer in the Automotive map (& associated services) industry!
Vice President of Digital Connected Solutions at KPIT
9 年It is an automotive "prepay". They have already committed to spending at least that much in map licenses from here over the next 4 years. They could not move the technology forward at all and still come out ahead.