manufacturers. It connects over two million vehicles in over fifty countries to provide services such as
remote user commands, intelligent route guidance, emergency call, breakdown call, stolen vehicle
tracking, remote diagnostics, and remote lock/unlock etc. Its top customers include Volvo, Rolls-Royce,
BMW, Daimler, Audi, and Nissan and earns some $50 million in annual revenue.
The business model innovation -
With the available technologies like 4G LTE, Embedded systems, and back office server services, it is able
to provide safety, productivity and entertainment values to the end consumers.
The company operates in a connected car industry. The estimated global revenue of connected
car industry is $52.5 billion in 2017, and is expected to grow at an annual rate of 24.3% to reach
an estimated $155.9 billion in 2022. Automakers see BRIC nations as markets with great potential
for sales of connected cars, but they still won’t outgrow the value potential of the EU & US. The
connected car value potential of EU & US in 2017 is about 70.8%, which will decrease slightly to
66.5% in 2022. In the case of the BRIC nations, the value potential of connected cars increases
from 23.5% in 2017 to only 27.3% in 2022.
Five Forces Analysis-
New Entrants (High) - Telematics is the future of vehicular transportation, and is in its nascent
stage globally. There are already many telematics service providers vying for market share in
the industry, and as telematics becomes the norm in every car over the coming years, we
expect more entrants into the market. The WirelessCar brand equity will help it keep a good
portion of the market share especially after SBD, an independent, technical market research