Toyota Motor Corp. (TM) struck a deal with Microsoft Corp. (MSFT), in which the latter will help building the automaker’s next generation in-car technology. The partnership deal will enable Toyota to deploy its telematics system, powered by Microsoft’s Windows Azure and ultimately establish a global cloud platform within three years.
As a part of the deal, the two companies will jointly invest $12 million in Toyota Media Services Co., a subsidiary of Toyota that provides digital information services to owners of Toyota vehicles.
What is Telematics?
Telematics services render communication technology, including Global Positioning System (GPS), multimedia and telecommunication. Speaking in terms of vehicles, it deals with navigation, hands-free telephone, data access, safety communications and driving assistance systems.
So far, Toyota’s owned telematics unit, Toyota Media Services, is exclusively available for Lexus owners. However, no sooner the partnership works out than the telematics services will be transferred to Microsoft’s Azure platform.
Initially, the transformation will be for electric and plug-in hybrid vehicles of 2012 model year. By 2015, Toyota intends to provide telematics services to most of its customers.
Apart from Toyota, General Motors Co. (GM) and Ford Motor Co. (F) offer similar telematics services to its customers. GM’s renowned OnStar telematics service allows customers to make calls, lock their vehicles remotely and receive data on navigational routes. Ford has also developed its Sync service on the same line with the help of Microsoft.
How Azure Will Work
Azure platform is a cloud computing operating system that allows users to handle complex operations on the internet, which are hosted and managed via Microsoft’s data centers. Cloud computing do not require end-user knowledge of the physical location and configuration of the system that delivers the services.
Azure has been a good choice for automakers as Microsoft’s servers are shared by a large number of clients. As a result, the platform provides with an inexpensive way for companies to access remote computing systems that help running a complex system like telematics.
Will Vehicles Talk?
Toyota’s partnership with Microsoft for telematics service development incorporates a unique feature. It will develop the telematics service in such a way so that it can provide energy management services to the customers, where plug-in cars can “talk” to each other regarding their individual energy requirements.
The “talk” will be done with the help of embedded connectivity technology, which Microsoft is developing. The technology will allow the plug-in electric cars to communicate with one another and the electrical grid as well to ascertain the best time for each car to charge.
The need to “talk” comes from the growing number of electric cars in the future that may overload the electrical grids. For example, if everyone comes to charge the vehicles at the charging stations while returning home, they could possibly crumble the power supply system.
However, with the help of embedded connectivity technology, the vehicles can “talk” and arrange to charge themselves ‘smartly’ in the most environment friendly and cost-efficient manner. If vehicles can be programmed according to their owners’ driving patterns and needs, they can synchronize their charging needs as well.
What’s Next?
In line with the embedded connectivity technology, Toyota revealed that it is launching a “smart center” pilot program in Japan that will help connect people, vehicles and homes to achieve an integrated energy consumption control.
Both the companies also plan to offer their customers with the facility of synchronizing their vehicles using smartphones. This means vehicle owners can gauge the battery life and its corresponding driving range, locate the nearest charging stations and control the vehicles’ other components including air conditioning and lock systems with the help of their handsets.
Previously, Toyota introduced its Entune system in the vehicles that connect them to the Web using smartphones. It helps drivers perform tasks such as making restaurant reservations or a web search using Microsoft’s Bing.com.
The partnership will now take the similar applications to the next level. It will start developing other services using Bing Maps and Microsoft’s “Tellme” voice applications.
No doubt, the partnership will help Toyota to have an edge over others in the future, especially at a time, when it is trying hard to regain its reputation after being ravaged by its safety recall crisis and the recent earthquake and tsunami in Japan.
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