The data business is booming in every industry and particularly wireless internet. Many consumers are embracing it and the automotive industry has not been left behind either. General Motors Company (NYSE:GM) has joined the bandwagon and will be offering unlimited OnStar 4GLTE in its vehicles. However, the deal is only applicable to cars sold in the US starting March 3rd.
The car maker says that it is trying to meet the demand for unlimited data plan. This is the first for car owners in the US and the company will be incorporating AT&T, which will be supplying the internet connection. The users of the unlimited data plan will part with $20 a month but they will not need to have a long-term commitment.
Only GM-branded vehicles will have the unlimited data plan
Chevy has been offering OnStar 4G LTE connectivity in its vehicles since 2014. A section of GM’s websites states that a monthly data plan subscription has been ranging from $10 for 1GB to $40 for 10GB. However, the company had to up its game after realizing that more customers were using more data while in their cars.
The LTE-based hotspots will be available in a wide range of vehicles from Chevrolet the likes of Buick, GMC, and Cadillac. However, the tech is primarily for passengers and not drivers. Notably, there was an increase of 200% of data was used in 2016 from the 2015 usage. This is expected to escalate as the world keeps evolving towards the use of more and more technology. After all more families want to stay connected with their kids and relatives while on the road.
But the technology is also a source of additional revenue for car makers
There has been significant competition between automakers in owing more customers with affordable services. President of GM North America and global head of Chevrolet, Alan Batey says, “With the most affordable unlimited 4G LTE data plan in the auto industry, the widest availability of Apple CarPlay and Android Auto, and new connected services like OnStar AtYourService, our momentum can only grow.”
Nonetheless, apart from boosting the growth of their services, there is a lot to reap in terms of revenue. In the meantime, GM’s stock was trading at $37.76 witnessing an increase of $0.33 or 0.88%.
