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Go Dual-Purpose with Your Data

Name: Go Dual-Purpose with Your Data
Uploaded: 2019-02-20T17:13:12+00:00
Duration: 1 min 41 s
Channel: GHION.AI
Description: In this segment, the speaker emphasizes the massive amount of data being generated by modern vehicles and its untapped potential. He outlines how…

20 Feb 2019 · 2 min

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In this segment, the speaker emphasizes the massive amount of data being generated by modern vehicles and its untapped potential. He outlines how vehicle‑to‑vehicle (V2V) and vehicle‑to‑infrastructure (V2I) connectivity can dramatically improve safety, reduce emissions, and help cities alleviate traffic congestion. From a business perspective, he contrasts traditional automaker profit margins (6‑12% on vehicle manufacturing) with the substantially higher margins (20% or more) achievable through data‑driven services such as ride‑hailing and mobility platforms. He argues that the automotive industry should pivot toward leveraging big data to create high‑margin service offerings that benefit both customers and society.

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There is so much data being generated right now. And when you think about the goodness of how that data can be used, right? And Raj touched on a lot of different elements, right? It could be the element of data use in terms of smart vehicles for lower emissions. Clearly from a connectivity standpoint, vehicle to vehicle, vehicle to infrastructure, you could really address safety concerns and address the accidents. When you talk about vehicle-to-infrastructure, how are you linking in with other entities outside of the industry to ensure that that data is being used by cities to help out with congestion? So I think that there's huge opportunities from a social standpoint to use data moving forward. From a business standpoint, just to throw some numbers out there, so to produce the box, automakers throughout the world, and you name it, if it's US automakers or European or Asian automakers, 6 to 12% profit margin is considered, at the high end 12%, is considered really good, right, in terms of building that box. When you talk about getting into the services, and I know Raj is probably not gonna divulge the profit margin of Lyft, but I'll tell you what, when we look at the profit margin associated with the use of the vehicles, right, it's 20% profit margin easily and higher. So when you think about that, if people are moving more toward those types of vehicle uses, The profit margin's a lot higher. We have all this data available to do some amazing things for customers and for services. The industry is really starting to say, we want to get in that, on that right-hand side, really use that big data to our advantage.