Press release

23 Aug 2020

Connected cars are poised to become a common phenomenon in India in the near future: EY India report

Press contact
EY India

Multidisciplinary professional services organization

Related topics Automotive
  • Connectivity features will help owners locate nearby charging stations, improve in-car media streaming, perform over the air vehicle updates and vehicle diagnostics, undertake preventive maintenance and access telematics data among other features
  • An increase in vehicle legislation and industry compliances will also increase the adoption of connected features
  • Current and future mandates such as GPS tracking, dash camera, telematics-based insurance and SOS services will in turn drive the growth of embedded form of connected car solutions

New Delhi, 23 August 2020. Connected cars are poised to become a common phenomenon in India in the near future, according to the EY India report, The car is connected now! But are we safe? This report draws out the relevance of connected cars in the next few years with wide-scale adoption where connectivity features will help owners locate nearby charging stations, improve in-car media streaming, perform over the air vehicle updates and vehicle diagnostics, undertake preventive maintenance and access telematics data among other features.

The report states that an increase in vehicle legislation and industry compliances will also increase the adoption of connected features. Current and future mandates such as GPS tracking, dash camera, telematics-based insurance and SOS services will in turn drive the growth of embedded form of connected car solutions.

Vinay Raghunath, Partner and Automotive Sector Leader, EY India, said, “By investing in the next wave of state-of-the-art connected technology, OEMs have an opportunity to strengthen their customer value proposition and meet some of the ever-changing buyer preferences. Additionally, with the cost of deploying some of these solutions becoming more viable, it forces OEM brands to incorporate connected features and cater to multiple customer segments’ needs.”

Over time, various connectivity solutions have been developed by car manufacturers and service providers, such as the machine-to-machine (M2M) connectivity platform. Further, for OEMs, connected cars represent a new era for automobiles. OEMs must drive customer adoption to embrace the connected car opportunity. Focusing innovation on developing powerful and easy-to-use software and services will give OEMs the edge in sales, open new revenue streams and offer a direct relationship with customers.

The connected car industry needs a road map for cybersecurity

Connected cars and in-car connectivity have moved from being buzzwords to becoming ubiquitous asks by the Indian consumer. The industry is focused on multiple aspects of this transformation, which include making connectivity a standard feature (as opposed to being an optional add-on), creating new business and pricing models for connectivity solutions and working with regulatory bodies to establish standards to enable a faster roll out. Today’s tech giants, ambitious start-ups, traditional suppliers and industry OEMs are looking to recruit talent and invest heavily in a dynamic industry.

Burgess Cooper, Partner, Technology Consulting said, “As more connected cars are designed, it’s time to see security as a positive business differentiator for car innovation rather than a perceived hindrance. Time is therefore right to seek advice from security experts to ensure that the industry will continue to drive innovation and competitive edge and at the same time ensure that cybersecurity controls are firmly in place.”

Connected cars are generating an ever increasing amount of data that is exchanged, processed and stored. This leads to a potential rise in the number of attack vectors; with personal, financial and car data becoming vulnerable and attractive to hackers. The problem isn’t so much about accessing the car to drive it away; it’s about remotely accessing the critical infrastructure of a highly connected car and compromising the safety of the vehicle and its passengers. Vehicle manufacturers therefore need to adopt a cybersecurity approach that addresses not only the distinct exposures in their car’s software, but also the hidden vulnerabilities.

Tomorrow’s car needs a secure cyber architecture

To effectively build cybersecurity into the design of a car, there is a need to develop an appropriate lifecycle process from concept through production, operation and decommissioning. Applying a defense in depth strategy will entail having multiple layers of security in place to mitigate the risk of one component being compromised.

-end-

Notes to editors

About EY

EY is a global leader in assurance, tax, transaction and advisory services. The insights and quality services we deliver help build trust and confidence in the capital markets and economies the world over. We develop outstanding leaders who team to deliver on our promises to all of our stakeholders. In so doing, we play a critical role in building a better working world for our people, for our clients and for our communities.

EY refers to the global organization, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients. For more information about our organization, please visit ey.com.

This news release has been issued by EY Services Limited, a member of the global EY organization that also does not provide any services to clients.