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KTH, School of Information and Communication Technology (ICT).
2014 (English)Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

The Internet-of-things (IoT), which describes a network of devices and sensors, is being built today. Billions of devices will be connected on the internet and thus, new opportunities and revenue streams appear in the industry. What if carmakers would like to take advantage of that unique opportunity and work together with telecommunications and other stakeholders providing services in connected cars?

The Connected Vehicle Cloud (CVC) of Ericsson, targets to work with the automotive ecosystem stakeholders, and bring new innovative services for connected cars. Ericsson uses five categories to sort these services: Infotainment, Charges and Fees, Traffic Efficiency, Traffic Safety and Vehicle Interaction. Traditional business models are not capable of handling these services because of the complicated ecosystem that create. It is difficult for many stakeholders to work together in order to create and capture value, thus it is of high importance to deploy new, innovative business models. Additionally, these business models should be very carefully deployed in such a way to attract stakeholders to invest and customers to be willing to purchase them.

The first purpose of the thesis is to present and analyze business models for connected car services. Seven services from the five categories were selected and business models for each one were presented. The services are Remote Diagnostics & Software Updates, Charging Support for Electric Vehicles, eCall, Alco-lock, Mediaroom, Insurance Services and Car-sharing. For the business models presentation and analysis, the Business Model Generation framework from Alex Osterwalder was used. The interviews that were conducted were also used as input for the business models.

The second purpose of the thesis is to find the value of these services for drivers and passengers as well as for carmakers and telecommunications. A market research was also conducted to find the market status of each service. The research showed how important the connected car services for the automotive ecosystem are. A series of interviews were conducted with several stakeholders and research papers were also taken under consideration for this first phase of the thesis.

Through those findings, a comparison of the business models is presented and analyzed. The comparison aimed to find how these services correlate and what the overlaps are. Using these overlaps, a business model for eCall, Alco-locks and Insurance services is proposed, in terms of optimizing value proposition, cut off the cost structure and increase revenue streams.

Place, publisher, year, edition, pages
2014. , 64 p.
TRITA-ICT-EX, 2014:79
Keyword [en]
business models, IoT, Remote Diagnostics & Software Updates, Charging Support for Electric Vehicles, eCall, Alco-lock, Mediaroom, Insurance Services, Car-sharing
National Category
Computer and Information Science
URN: urn:nbn:se:kth:diva-177162OAI: diva2:871660
Available from: 2015-12-08 Created: 2015-11-16 Last updated: 2015-12-08Bibliographically approved

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