Road are most valuable public assets in the world, and their condition is not systematically monitored. Predictive maintenance of road network requires up-to-date information.
Our customers are public road authorities (many ongoing projects), road maintenance operators (better efficiency with real time information), weather forecasting companies and all business customers in the field of road traffic information ecosystems (OEMs, HERE, Garmin, TomTom, Mediamobile, Google Maps, car makers). We are not planning to deliver information directly to consumers and we are keen on partners willing to do that.
Final value of Connecter Car applications is going to the society, industry, owners of vehicles and road users. However, our intension is not to provide information or services directly to consumers, but we plan to sell information to companies working with road weather and traffic information systems.
The overall plan to enter the market is to start providing data to road maintenance, because they already benefit from our local coverage at the beginning. When our geographical coverage increases, we start to attract new customers from traffic information providers.
In addition to the above estimations, there are much more optimistic figures available as well. They note that currently 70 % of sales come from premium auto-brands but may drop less than 50 % because of “many of today’s manufacturers and suppliers lack the skill, agility, and boldness to turn their companies digital quickly enough to take advantage of this change”. Clearly, the challenge for individual company is not the total market size, but to get a segment of it. We estimate that by 2024 we will have acquired a 19 % share of the total Connected Car total offering where the annual reoccurring revenue (ARR) of the market is 327 million euros. We justify high 19 % share by being one of the first non-OEM data providers and patent family (see IPR section for details) on road weather and data fusion that gives protection until 2028.
Currently there is no provider for anonymized real-time vehicle data. Some data about the movements of road users is available e.g. from navigator (both device and App providers) that can track their users. However, they mainly use information (travel times) to support their own systems and according to our sources the information is extremely expensive if one wants to buy it. It is also questionable if they even have right to even sell the information to third party. Google Waze collects input directly from their users e.g. about traffic jams, but the problem is that they are still local and user updates are very subjective and even false. It is also questionable to ask drivers to use their smart phone app while driving.
