Wheels of fortune

The auto industry sees the value of music

What?: The automobile industry is making its move on music and it feels long overdue.

* Ford Motor Co. is to install high-definition digital radio in virtually all of its 2008 model Ford, Lincoln and Mercury vehicles. Hyundai Motor Co. BMW AG, and Jaguar have all previously announced plans to offer HD radio.

* Sony BMG and Honda are teaming up on an online branded music player to jointly promote new video releases and the Honda Civic model. The player will feature Avril Lavigne, Christina Aguilera and Dido amongst others.

* Introducing the Twingo Nokia, a music- enabled phone on wheels. The new car features an MPS-compatible radio and CD player (with USB, jack and iPod inputs), steering wheel controls; hands- free Bluetooth phone control; and GPS navigation system via the new Nokia 6110 Navigator phone. *

* Apple is allegedly in talks with VW over the possibility of an iCar. According to reports, a Volkswagen representative has stated that Steve Jobs met with VW CEO Martin Winterkorn and the concept is in the early stages. VW is planning a new sub-compact car to retail at $10K.

So what?: In a digital age where the CD has virtually been abandoned, the automobile industry is still weighed down with old media.
However, the tide is changing. Both Nokia (Twingo) and Apple(iCar) clearly view cars as yet another device – and a potentially lucrative one at that.

Teenagers, according to a recent study, view most cars as a noisy, messy throwback to the last century. “Everything is digital, so we had to find a way to reconnect to this generation,” says Mixim creator Francois Bancon. Nissan’s latest concept car, Mixim, models itself on a gamer’s experience of driving, complete with an xbox-styled steering wheel. The Nissan Pino offers buyers drag and drop pimping of the car’s interior. Choice is the new driver here.

“You need to think of automotive as a distribution channel,” said Stephen White of Gracenote at Popkomm recently. As this happens in-car, downloads and new advertising streams become viable business models.

The car needs to be viewed as a digital device, a mobile Internet-enabled hub first and foremost and a means of getting from A to B second.

Let’s put the fun back into function.

www.twingoconcept.com

www.smart.com