PSA and IBM partner to develop services for connected cars

PSA Peugeot Citroën and IBM today announced a partnership to help various industries within the Internet of Things economy to analyze data to deliver new services from connected cars.

This entirely new ecosystem of connected services allows PSA to develop new business opportunities for a variety of industries, including automotive distribution, smarter cities, and retail. For example, drivers and car passengers can benefit from new information improving the safety and the comfort of their mobility, while Smarter Cities can develop an advanced communication service that warns of roadwork, new traffic patterns or congestion right in the car.

The number of connected cars worldwide is expected to grow significantly to a quarter billion by 2020.1 Until now, however, most of the innovations available have primarily focused on smartphone apps, navigation and roadside assistance. IBM and PSA will share the responsibilities of developing, selling and marketing, as well as delivering and implementing connected services with new and existing clients.

“We realized early on that connected cars, as part of the Internet of Things, were a key factor in the improvement of the customer experience towards our Brands,” said Brigitte Courtehoux, PSA Peugeot Citroën. “In partnership with IBM, we are unleashing connected services to the masses, so consumers can experience a new level of comfort and convenience from their cars, while industries seize new opportunities to deliver personalized services.”

The companies are expanding their partnership announced last year to develop connected services for PSA vehicles by now enabling other industries and companies to propose new added values services in their vehicles. The seven-year agreement will focus on commercializing services and building next-generation technical solutions necessary to deliver connected services.PSA connected services

At the first Innovation Center in Paris, employees from both companies will co-create with clients to develop connected solutions that meet the unique needs of their business and customers. These clients will benefit from constant interactivity with PSA connected cars to enhance their own business, adding new revenue streams and developing innovative economies. Drivers will also discover efficient and economical services to enhance their mobility experiences.

“The ways we facilitate our lives and work has changed dramatically with the rapid adoption of mobility and the rise of the Internet of Things,” Dirk Wollschläger, General Manager, Global Automotive Industry at IBM. “Under this partnership with PSA Peugeot Citroën, we are pushing the boundaries of mobility even further to give a broad set of industries the opportunity to tap the promise of the connected cars.”

1.  Alfonso Velosa, “Predicts 2015: The Internet of Things,” Gartner, December 30, 2014.

Source: IBM

Romain’s opinion:

I think that partnering with IT companies is the best way to avoid frontal competition with these and PSA understood it. Many traditional car-makers are afraid of the venue of Google or Apple in the automotive industry. Do you think that PSA will succeed with IBM and offer better connected car services that would do Apple or Google that have more experience in the Internet of Things?

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