On 27 May, the BMW Group announced the launch of a connectivity platform that would allow third parties to offer their services directly within BMW cars. Labelled “BMW CarData”, the platform was officially launched on 30 May. Through this move, BMW wanted to position itself strategically within this technology in the short-term and then use the platform to generate profit in the long-term.
According to BMW CEO Harald Krüger, BMW will be the first carmaker to offer such a service. “The connectivity of our vehicles will reach a new level with BMW CarData”, he said in an interview with trade journal Automobilwoche.
The platform will provide data to third party service providers such as car repair shops or insurers, provided the car user has agreed to this. BMW will not allow direct data access to the vehicle but will instead provide it through its own server, citing safety reasons for this.
CEO Krüger said “the protection of car data is part of our identity as a premium brand offering advanced connectivity”.
BMW will require third parties to pay 29 cents per retrieval of their service. This will be capped at €5 per month and customer. The carmaker is planning to turn the platform to profit in the long-run but first wants to position itself strategically in the market.
Just like telematics services from other companies, CarData will give the vehicle user the option to share their driving habits with insurance companies – giving more tailored, and hopefully cheaper premiums. BMW has said it could even speed up other processes like scheduled car services, as dealerships will know which parts to order before they even open the bonnet. Third-parties won’t get direct access to the car, instead, they will get encrypted data from a secure BMW server that sits in the middle of both parties.