The impact of the connected car on our travelling experience

1. How connected navigation
Introducing PTOLEMUS
will change car travel
Strategies for Mobile Companies
ITS Future Vision - University of Portsmouth
Presentation
Frederic Bruneteau - 5th November 2009
August 2009 - Confidential
PTOLEMUS Consulting Group

2. PTOLEMUS is the first international strategy
consulting firm focused on location
Our services Our areas of expertise
Strategy definition Positioning / Location enablement
Licence application Navigation
Board coaching & support Location-based content
Telematics, e.g. connected
& services, e.g. maps, traffic,
Business plan development car, fleet management, PAYD,
fuel prices, speed cameras,
road charging, e-call
weather, parking, etc.
Due diligence
Intelligent transport systems
Product & services development
Mobile content and social networking, e.g. application
Product & services launch stores, content sourcing, crowd-sourcing
Business development M2M
Response to RFPs Connectivity (sourcing, MVNO, ESP, etc.)
PTOLEMUS

3. How to achieve Intelligent Transport Systems
without Intelligent Cars?
• Since the 70's, cars have gradually become a
"necessary evil", that should be
contained
• This is due to a number of factors, notably
- The number and the use of cars is
difficult to control for governments
- Traffic flows are very difficult to predict
• At the same time, car drivers feel
increasingly powerless to avoid traffic jams Transport of passengers by cars in EU27 (billion pkm)
4.700
- Most cars do not receive up-to-date
traffic information 4.500
- Most cars are not aware of specific
roadworks or events 4.300
4.100
3.900
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
PTOLEMUS Source: European Commission

4. Why did drivers feel powerless?
• They did not know where they
were and sometimes where to go!
- They were using paper maps, generally
outdated when you buy them! Watching
the map while driving was a challenge
- You did not know where you were on
the map!
• They were not aware of their
environment
• No up-to-date information on what
other drivers would do, i.e. traffic,
accidents, etc.
• Little understanding of key parameters
such as weather, the location of gas
stations or the next restaurant
• No understanding of government-led
policies, events or roadworks
PTOLEMUS

5. The 7 components of an optimal A to B trip
1 Where is A? Accurate positioning technology
A
What is the shortest Accurate digital map with up to date
2 route to B? geometry and directions
Road speed profiles (historical data)
What is the fastest
3 route to B? Traffic, weather and events
Motorway tolls and parking prices
What is the most
4 economic route to Safety camera locations
B?
Fuel prices
Road geometry and safety data
What is the nicest
5 route to B? Routes
POIs (restaurants, etc.)
What is the most Location-based car consumption
6 ecologic route to B? statistics
Local search
7 What / where is B? B
Parking availability
PTOLEMUS

6. Many of these require 1 or 2-way connectivity
Where is A? Accurate positioning technology
A
What is the shortest Accurate digital map with up to date
route toway to B? geometry and directions
Road speed profiles (historical data)
What is the fastest
route to B?
Traffic, weather and events information
Motorway tolls and parking prices
What is the most
economic route to B? Safety camera locations
Fuel prices
Road geometry and safety data
What is the nicest
route to B? Scenic routes
POIs (restaurants, etc.)
What is the most
Location-based car consumption statistics
ecologic route to B?
Local search
What / where is B? B
Parking availability
PTOLEMUS

7. Why did drivers feel powerless?
Driver experience quality (out of 100)
100
2000
80
60
40
20
0
Where is A? Shortest route Fastest route Cheapest route Nicest route Greenest route What/Where is B?
PTOLEMUS Source: PTOLEMUS

8. What satellite navigation devices brought
Driver experience quality (out of 100)
100
2000
2006
80
60
40
20
0
Where is A? Shortest route Fastest route Cheapest route Nicest route Greenest route What/Where is B?
PTOLEMUS Source: PTOLEMUS

9. For example, in 2006, in-car guidance systems did not provide a
reliable traffic information and avoidance service
Current navigation systems still fare poorly
Avoid all traffic in terms of helping drivers avoid traffic jams
jams
Avoid all
unnecessary traffic
jams
Estimate delays
caused by traffic
jams on own trip
Inform of existence Standard PND
GARMIN with
of a traffic jam RDS-TMC
In-car RDS-
TMC System
Complex END-TO-END Simple
USER EXPERIENCE
PTOLEMUS

10. What has changed in the last 18 months?
• Up-to-date travel information
- Static content (maps, POIs, etc.)
- Dynamic content (traffic, weather,
etc.)
• Historical speed data
- Average speed based on general
patterns
- Real speed based on historical data
• Connectivity from / to the car
- One-way: RDS-TMC, MSN Direct,
DAB
- Two-way: GPRS, 3G
All these technologies enable vehicles to be "aware"
of their environment along their journey. What's new is that
this info is generated by the car itself
PTOLEMUS

11. Mapping 2.0 has arrived
Revolution of the mapping business
• Acquisition of the 2 leading map
content suppliers by 2 leading device
vendors
- TomTom will «improve» Tele Atlas
maps thanks to crowd-sourcing from
milllions of customer devices (starting with
Map Share)
Number of Map Share map corrections
- Nokia aims at improving Navteq maps
with its base of 1 billion mobile terminals
(planned) Map Share user base
25
TomTom HOME users
• Google is TomTom customer base
- initiating an open-source development 20
model to map-making with Map Maker
- giving free access to its Google Maps and 15
Google Earth APIs
10
• Open Street Map is bringing open
source to mapping 5
- Maps are not yet navigable
0
Jan-07 Apr-07 Jul-07 Oct-07 Jan-08 Apr-08 Jul-08 Oct-08
PTOLEMUS

12. Historical speed information is also
revolutionizing routing
• With the launch of IQ Routes, TomTom
uses historical speed profiles to provide
best routing
• Instead of relying on theoretical average
speeds, TomTom uses real records
of speed on each segment of the
road to provide the best itinerary
• This data has been generated by millions
of TomTom PND users (500 millions
measurements per day) during the last 2
years
• Today, TomTom has accumulated 600
billion measurements, allowing to
launch products with enhanced routing
capability
PTOLEMUS

13. TomTom launched connected devices from 2008
TomTom LIVE Services
PTOLEMUS

14. Almost all PND competitors have followed suit
Clarion 3G MID
Garmin
PTOLEMUS

15. As a result, traffic guidance has much improved
Current navigation systems still fare poorly
Avoid all traffic in terms of helping drivers avoid traffic jams
jams
Avoid all
unnecessary traffic
jams
TOMTOM
XL LIVE TOMTOM
GO LIVE 950
Estimate delays TELENAV
GARMIN with
BE-MOBILE
caused by traffic SHOTGUN
jams on own trip
GARMIN
NUVI 1490T
Inform of existence GARMIN with
MSN Direct
of a traffic jam
BMW iDrive
NOKIA with Maps 2.0
Complex END-TO-END Simple
USER EXPERIENCE
PTOLEMUS

16. Connectivity will also increasingly come from
smart phones...
PTOLEMUS

17. So what has changed?
Driver experience quality (out of 100)
100
2000
2006
2009
80
60
40
20
0
Where is A? Shortest route Fastest route Cheapest route Nicest route Greenest route What/Where is B?
PTOLEMUS Source: PTOLEMUS

18. Conclusion
• The car has now access to the wealth of the Internet
• It will also increasingly generate information that will be
aggregated so as to make road traffic smarter (XFCD)
• As a result, the car navigation experience has dramatically
improved, which generates less pollution, productivity
gains, etc.
• We expect permanent vehicle connectivity to become the
norm by 2020
• This opens up numerous opportunities of new services for
private and public authorities (e-call, electronic tolling,
PAYD, etc.)
PTOLEMUS

19. Thank you
Strategies for Mobile Companies
Frederic Bruneteau
fbruneteau@ptolemus.com
France +33 6 69 60 42 31
Belgium +32 4 87 96 19 02
Netherlands +31 6 44 46 53 85
PTOLEMUS Consulting Group
55, rue Cervantes | Brussels - Forest 1190 | Belgium
www.ptolemus.com
PTOLEMUS Consulting Group