Market Snapshot

WILL TECHNOLOGY KILL OUR LOVE OF CARS?

According to Trends Magazine, the information highway will have a major impact on the automotive industry as we know it today. 

Last May, Avis began offering wireless Internet in vehicles it rents at locations in four major cities with plans to expand the service to seven other cities in the near future.

This past January, Ford announced a partnership with Microsoft to provide an in-car communications and entertainment system. They called it “Sync,” and it is based on the “Microsoft Auto” operating system.

These are just two developments that point to the sweeping technological changes that will overtake cars and redefine how we use them—and it will happen sooner than you may think. And don’t think it will be limited to entertainment. Many are projecting that cars and trucks will soon be able to communicate with each other and the infrastructure as part of the navigation process and to avoid collisions.

Given the recent developments, Trends Magazine offered six forecasts.

  1. In the near term, expect automobiles to embody every kind of communication and entertainment device imaginable.
  2. Cars will become the focus of virtual data storm in the near future.
  3. All this technology will spark controversy in more ways than one.
  4. Cheap bandwidth and processing power will permit automakers to incorporate anticollision technology similar to that used to prevent midair collisions.
  5. During this time, technology will eliminate much of the work of driving so that motorists can use all of the new functions that will become possible.
  6. Technology, demography and attitudes will evolve to make fully autonomous automobiles commonplace in the United States by 2037.

If the forecasts are correct, there are a world of opportunities and challenges ahead for the automotive performance parts and accessories industry. As vehicles gain more and more power to control themselves, there is the potential that consumers will loose the love of driving and owning cars and light trucks. That could potentially damage the industry. At the same time, all of the technological developments will offer opportunities for the proliferation of products in the aftermarket. Depending on where you are in the industry and the products you work with, the near future offers a lot of changes that demand watching in order to ensure the success of your business.

Source: SEMA Market Research