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Strategy Analytics: Auto Suppliers Feel Heat of Smartphone Competition


Nokia and RIM Target $4B Auto Connectivity Opportunity

Boston, MA - April 26, 2010 – Strategy Analytics predicts that it will become increasingly difficult for traditional automotive system suppliers to stay competitive as smartphone and Internet companies increasingly target automotive multimedia opportunities.  Nokia’s automotive Terminal Mode and RIM’s acquisition of QNX follow Microsoft and Google into an increasingly crowded market.

The Strategy Analytics Global Automotive Practice report, “Nokia and RIM Push Into Automotive as 'Apps' Competition Mounts,” explores the major challenges for car makers and traditional automotive suppliers surrounding which vehicle-device connectivity, apps and apps store solutions to select as consumer adoption of smartphones starts to rocket.

“Apple led the early vehicle-device market with iPod and iPhone connectors, but simple product opportunities are dying out fast,” remarked Joanne Blight, Director, Strategy Analytics Global Automotive Practice. “If traditional system suppliers are to compete better with the new entrants they must leverage their core automotive strengths far more effectively, particularly in HMI, ergonomic design and their understanding of car maker demands”.

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