Carriers are focused on getting you to drive a connected car. They are striking deals with automakers left and right to maximize the chances that a customer gets a vehicle with a wireless connection built-in. The structure of a network is one of the biggest factors for an automaker when striking a deal.
AT&T, Verizon, Sprint, and T-Mobile combine for fifteen deals altogether. The two latter carriers have two and one deals, respectively. Verizon has four, but AT&T has more deals than anyone with eight. It goes to show how serious carriers are taking the automobile industry's latest opportunity.
Why does the largest carrier in the United States sit behind AT&T? Global availability. The CDMA technology that backs Verizon's network is inferior the AT&T's GSM network. Automakers seek a standard to use across multiple markets. A GSM network is global and that makes it extremely easy for an automaker to adopt.
The fact that Verizon's 3G network does not allow simultaneous calling and internet access does not help either. Because of this, customer support could be a big problem with connected cars utilizing Verizon's network. The good news for Verizon is that LTE networks do give multitasking functionality. The wait may just be a bit of time.
Traditionally, an automaker works out deals on a model-by-model basis rather than signing away everything at once to a single partner. So everyone still has a fair shot at making a dent in the automobile industry.
Source: Reuters
