Published: 02 November 2016
Data is the new gold. It has become valuable and its value is only going to increase in coming times.
The connected cars can be a huge source of data which can be utilised by the different companies to acquire more customers and to provide them with more customised products.
A study by Gartner says that one-fifth of all autos on the road, and a great majority of new vehicles being produced worldwide, will have wireless network connectivity by 2020. This will be a source of huge amount of data.
In order to acquire data a company in order will have to make multiple deals with different companies from manufacturers, OEMs to other service providers. This is where the companies like Otonomo come into the picture. Otonomo, a start-up based in Israel, acquires and sells data from different players.
It has recently raised $12 million in venture funding to scale its technology and business. Bessemer Venture Partners led the round, joined by StageOne Ventures, Maniv Mobility and LocalGlobe.
Amit Karp of Bessemer ventures said “If a company or developer wants to build a service for connected cars, today they will have to deal with all the original equipment manufacturers, attain the data, normalize it, and strike all kinds of commercial agreements with automakers. Otonomo, is a neutral third party they can go to instead,”
It has also roped in Steve Girksy, a former vice chairman of GM, and Mary Chan, a former general manager of OnStar as its board of advisors. Andy Geisse, who previously ran AT&T Business Solutions, joined Otonomo’s board of directors, as well.
On the questions of privacy, Ben Volkow, the founder said “Inside our policy engine we have hundreds of rules configured. We work with lawyers and know all the different regulations and rules. If a car maker shares data with whoever, they know we check all the parameters, then blur, anonymize and otherwise make sure they can share the data without violating anyone’s privacy or rules.”