• Email Us: [email protected]
  • Contact Us: +1 718 874 1545
  • Skip to main content
  • Skip to primary sidebar

Medical Market Report

  • Home
  • All Reports
  • About Us
  • Contact Us

GM aims to build Netflix-sized subscription business by 2030

October 6, 2021 by David Barret Leave a Comment

General Motors said it expects its in-car subscription services to generate nearly $2 billion in revenue this year and will reach as high as $25 billion by the end of the decade, an amount the company said Wednesday will put it in the same league as Netflix, Peloton and Spotify.

The automaker has 16 million vehicles on the road in the U.S. and Canada. About a quarter of those vehicles — 4.2 million — have owners that pay for subscriptions services today, Alan Wexler, SVP of innovation and growth at GM, said during a presentation at the company’s investor event Wednesday.

GM expects that number to grow, especially as it gears up to launch its Ultifi end-to-end software platform in 2023 that will enable an enhanced subscriptions platform and over-the-air software updates.

GM’s current subscription platform supports services like OnStar, a subsidiary of the company that provides in-vehicle security, emergency services and navigation.

The company said its customers’ average willingness to select multiple services is high. GM conducted a study with several thousand customers, offering them 45 different feature and service options. On average, customers chose a bundle of 25 different products and services.

“Our research indicates that with the right mix of compelling offerings, customers are willing to spend $135 per month on average for products and services,” said Wexler.

By 2030, GM predicts it will have 30 million of its vehicles in the U.S. will have connected car technology, leaving it with a serviceable addressable market of $80 billion. Wexler said GM aims to generate additional incremental revenue of $20 billion to $25 billion, $6 billion of which will be from insurance and the rest from one-time purchases and subscriptions.

Aside from OnStar, GM intends to target customers interested in Maps+, an in-vehicle, app-based navigation solution that was rolled out in April and can be activated with Alexa voice control. GM also sees a big opportunity to earn revenue off of its commercial customers, specifically with its existing service, OnStar vehicle insights that can help both GM and non-GM mixed fleets with fleet management.

“Just this service alone meets the needs of a massive market,” said Wexler. “Hundreds of thousands of connected fleet vehicles with data from millions of trips, and hundreds of millions of miles, all of that data provides huge monetization opportunities. We stand apart for the scale of data that we have to work with, and we plan to leverage it.”

Wexler teased more details and early KPIs on GM’s subscriptions services, which he said would be “the bedrock for a growth opportunity and recurring revenue,” for the company, with more news coming as soon as tomorrow.

Source Link GM aims to build Netflix-sized subscription business by 2030

David Barret
David Barret

Related posts:

  1. Printify bags $45M, led by Index, to ride the custom printing boom
  2. Cathay Pacific to close London pilot base, review U.S. bases
  3. Latin America’s second wave of digital transformation
  4. Recruiting operations platform ModernLoop lands $3.3M to create better technical hiring experiences

Filed Under: News

Reader Interactions

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Primary Sidebar

  • The Bizarre 1997 Experiment That Made A Frog Levitate
  • There’s A Very Good Reason Why October 1582 On Your Phone Is Missing 10 Days
  • Skynet-1A: Military Spacecraft Launched 56 Years Ago Has Been Moved By Persons Unknown
  • There’s A Simple Solution To Helping Avoid Erectile Dysfunction (But You’re Not Going To Like It)
  • Interstellar Object 3I/ATLAS May Be 10 Billion Years Old, This Rare Spider Is Half-Female, Half-Male Split Down The Middle, And Much More This Week
  • Why Do Trains Not Have Seatbelts? It’s Probably Not What You Think
  • World’s Driest Hot Desert Just Burst Into A Rare And Fleeting Desert Bloom
  • Theoretical Dark Matter Infernos Could Melt The Earth’s Core, Turning It Liquid
  • North America’s Largest Mammal Once Numbered 60 Million – Then Humans Nearly Drove It To Extinction
  • North America’s Largest Ever Land Animal Was A 21-Meter-Long Titan
  • A Two-Headed Fossil, 50/50 Spider, And World-First Butt Drag
  • Interstellar Comet 3I/ATLAS Is Losing Buckets Of Water Every Second – And It’s Got Cyanide
  • “A Historic Shift”: Renewables Generated More Power Than Coal Globally For First Time
  • The World’s Oldest Known Snake In Captivity Became A Mom At 62 – No Dad Required
  • Biggest Ocean Current On Earth Is Set To Shift, Spelling Huge Changes For Ecosystems
  • Why Are The Continents All Bunched Up On One Side Of The Planet?
  • Why Can’t We Reach Absolute Zero?
  • “We Were Onto Something”: Highest Resolution Radio Arc Shows The Lowest Mass Dark Object Yet
  • How Headsets Made For Cyclists Are Giving Hearing And Hope To Kids With Glue Ear
  • It Was Thought Only One Mammal On Earth Had Iridescent Fur – Turns Out There’s More
  • Business
  • Health
  • News
  • Science
  • Technology
  • +1 718 874 1545
  • +91 78878 22626
  • [email protected]
Office Address
Prudour Pvt. Ltd. 420 Lexington Avenue Suite 300 New York City, NY 10170.

Powered by Prudour Network

Copyrights © 2025 · Medical Market Report. All Rights Reserved.

Go to mobile version