February 7, 2006

OnStar to get Turn-by-Turn directions

So, while the GPS market is white hot, GM has announced that they are adding turn-by-turn directions to the OnStar service which will allow users to get automated directions from the service without the need for an add-on GPS unit. How good the experience will be, is yet to be determined. So, while the audio only directions will be a nice upgrade to the already impressive service that started out as not much more than a way to unlock your car. At a time when car makers increasingly need to cut prices to attract consumers, the OnStar service can offer other revenue streams that can be very profitable for the auto maker.

How does it work? Read on.....

Many OnStar subscribers now can get turn-by-turn directions from an adviser. This technology is different: The subscriber gives a destination to an adviser, who then sends step-by-step directions directly into the car.

At that point, the adviser disconnects and the vehicle takes over. It will emit audio directions through the stereo. For example, an automated voice will say something like, "Turn right in 500 feet at Maple Avenue." You can also ask to hear the directions again, and hear a preview of upcoming turns.

"We know customers like knowing that if they get lost they can get directions and routed somewhere," says Chet Huber, OnStar president. "We know the frustration of cost and usability of the screen GPS systems. This should be another opportunity to differentiate GM vehicles and OnStar in the competitive marketplace."

The technology will debut in the 2006 models of the Buick Lucerne and Cadillac DTS and STS sedans in March, Huber says. GM will start producing those vehicles this month. The technology will be available on nearly 1 million 2007 models across most GM brands and expand for the 2008 model year. GM will begin building its 2007 models this fall.

OnStar Turn-by-Turn isn't available retroactively. Other than the initial Buick and Cadillacs, users must own a 2007 or later GM vehicle equipped with the so-called "Gen 7" OnStar platform and anti-lock brakes -- a potential market of 1 million vehicles.

The technology is not costing OnStar more money because there is no additional hardware required for it, Huber says.

While GM is not saying how much subscribers will pay for this capability, Huber guesses that it will fall between the current $199 a year "safe and sound" service and the $399 a year "directions and connections" package.