Strategy Analytics: Despite EU Push, eCall Makes Little Progress

2009-10-27 18:26:02 -

The implementation of the eCall mandate, while underpinned by good intentions, is fundamentally flawed, according to the Strategy Analytics Wireless Enterprise Strategies report, “ eCall Gets the Green Light: But It's Bad News for Wireless Carriers and Automakers : cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Ftin .. .” Neither vehicle makers nor wireless carriers will benefit from eCall.



If car makers fail to make the required application available

on a voluntary basis by 2012, the EU will mandate the availability of the eCall system as early as January 1, 2014. Moreover, the use of the voice channel, while meeting primary needs, will limit the ability of suppliers to add services at low cost. The problem is that the eCall mandate specifies the technology required for eCall, even though at least four European car makers have introduced their own connected safety systems.

“It is hard to argue the virtue of saving lives and speeding assistance to crash victims. But in a free market, the value of such a system or service, if demonstrable or self-evident, should not require a mandate and should not be free. It is unfortunate that the European Commission could not simply have mandated the eCall system without mandating the technology,” commented Andrew Brown, Director of Wireless Enterprise and co-author of the report : cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Ftin .. .

“Each attempt by the European Commission to create more clarity on eCall inevitably creates more confusion and delay,” said Roger C. Lanctot, Senior Analyst for the Global Automotive Practice at Strategy Analytics.

“A funding measure for service providers is still necessary to make this a reality, and some member states will never sign on.”


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