Computer giant Sun Microsystems, Inc. has gotten its foot in the door as the automotive industry moves to incorporate consumer electronics and telematics. Sun's chairman and CEO, Scott McNealy, confirmed during a speech Monday at Convergence 2000 that it has joined with OnStar to bring more personalized services to OnStar customers. This is the first time Sun will produce products for use inside a vehicle. According to McNealy, Sun is seeking additional partnerships with other vehicle manufacturers. The software will be based on Java technology, the language developed by Sun Microsystems which is used for writing programs that can run on any computer system. OnStar, a subsidiary of General Motors Corporation, currently has about 400,000 subscribers and is expected to be offered in about a million GM vehicles by the end of this year. The automaker expects for that total to increase to 4 million by 2003. OnStar currently provides drivers with services such as emergency assistance and stolen-vehicle tracking. OnStar is available on more than half of GM's 2001 vehicles, and also on Toyota Motor Corp.'s 2001 Lexus and Honda Motor Co.'s 2002 Acura. General Motors said OnStar and Sun will ask for input from the industry to ensure that the software is available to all users, and the specifications will be released to the auto industry and standards organizations. Sun's McNealy definitely got the audience's attention when he suggested carmakers think about virtually giving away cars, similar to the way cellular companies give away phones, and then make profits off services for electronic devices included in the vehicles. "In our view, the automobile is nothing but a Java browser with wheels," McNealy told an attentive audience of about 500 conference attendees. Positioning Sun as an automotive supplier, McNealy pushed for the adoption of two in-vehicle network platforms to deliver mobile dashboard services and to monitor engine performance. One type would offer dashboard-based Internet services for motorists, such as GM's OnStar and Ford's Wingcast service. Through that platform, motorists could purchase gas, entertainment, and other concierge services from the road. The other type would be an in-vehicle network platform to manage the vehicle's internal powertrain, chassis and parts. The second system could notify drivers to service their vehicles and, for example, provide information to insurance companies about the last-clocked speed of a vehicle prior to a crash. The market for in-vehicle telematics systems is expected to reach $47 billion by 2010, according to one estimate from UBS Warburg market analyst Peter Boardman.
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