During the automaker's Tuesday earnings call, CEO Mary Barra highlighted the rapid growth of GM's in-vehicle software and subscription business. In the past nine months, GM's software generated $2 billion, and customers have already signed up for about $5 billion in future subscriptions. The company said it now has 11 million subscribers for its OnStar safety system, up 34% from a year earlier. Another half a million customers are also paying for Super Cruise, its hands-free driver-assistance system.
Once a customer bought a car, that software could stay locked in a box and never need to be updated unless something was wrong (and then it was a trip to a dealership). That strategy worked great right up until cars became rolling data centers on wheels. Now automakers are starting to stare down the reality of what complex hardware and connected software really meanboth the advantages and disadvantages. And the consensus? Maybe platform sharing and open-source software was the right idea all along.