The internet has redefined how we communicate and interact with the everyday items around us. Ordinary objects can now connect to the internet, from phones to home appliances to cars.

With cars being able to connect to the internet, there are plenty of benefits. But as is common with disruptive technology, there are risks and challenges involved. In this guide, we’ll explore all there is to know about the future of connected cars—the good, the bad, and the in-between.

What Is a Connected Car?

A cloud-connected car utilizes a branch of cloud technology generally called the Internet of Things—more specifically its automotive equivalent known as the C-V2X (cellular vehicle-to-everything). Such a vehicle can therefore connect to the internet and consequently collect and share data with other connected devices and systems.

It doesn't end there. Connected cars also have the ability to make autonomous decisions based on the data they collect or share. With vehicles that are this smart, a new world of possibilities opens up.

The Benefits of Connected Cars

Your cloud-connected car could communicate with other vehicles on the road, monitor the environment and surrounding infrastructure, and update you with real-time information based on all the relevant data it picks up. That prospect would have significant upsides that would improve how we commute. Let’s explore how.

1. Traffic Prediction

Image of Traffic Lights

In a reality where our roads are filled with cloud-connected cars, your vehicle could access a database of real-time information to provide a more nuanced analysis of traffic. This will be supplied by sensors, cameras, smart infrastructures in the city, and other connected cars along the highway.

With the information collected, cars could increasingly become better at providing you with traffic updates. It could go one step further by offering each driver a personalized route recommendation in a way that generally reduces congestion. As soon as it notices an inconvenience or obstruction on that route, it automatically redirects you to the best alternative route. This could significantly reduce travel time and ultimately lower your carbon footprint.

Some advanced navigation apps like Waze already do this to a degree, relying on a combination of satellite data and information collected from those who are actively using these services. They will not only create a personalized route for you, but they will take you around traffic jams and even change your route on the fly when they detect a change in the flow of traffic or an accident.

2. Emergency Assistance

A smart vehicle may provide as much information as you need to prepare for most situations, but unforeseen events occur anyway. In such an instance, your cloud-connected car could offer much-needed assistance using its telematics data and infotainment systems.

If it's an accident, it could help place a call to the relevant emergency unit. If it has a faulty part, it could also alert nearby service centers to come to your aid or signal vehicles within a particular radius to maintain a reasonable distance from your vehicle. If there aren't other vehicles or service centers close to you, your car could walk you through the basic steps of a quick fix.

Suppose intruders are trying to force their way into your vehicle. In that case, your car may not just stop at sounding an alarm that attracts attention from other motorists; it could alert the relevant authorities for help all on its own.

3. Remote Software Updates

A person operating a Tesla vehicle.

Manufacturers fix bugs or improve performance in cloud-connected cars using over-the-air updates. This process is similar to how you download and install software updates on your phone and laptop. This means you may not need to return your vehicle to the dealer to resolve certain issues, as these will be taken care of remotely.

Over-the-air updates also change the notion of what a recall is. Before this feature existed, if car manufacturers discovered issues that could be fixed through a software update, they still had to recall thousands of vehicles for servicing.

4. Predictive Maintenance

Vehicles already alert you of most faults or that an oil change is due, but a cloud-connected vehicle could collect and process its own data and provide a more detailed analysis of your car's health. That way, it would warn you about minor issues before they became a menace. Even before a part becomes faulty, your car could change certain settings or offer practical maintenance suggestions to avoid unnecessary wear and tear.

And when it comes to general maintenance, the same way your computer occasionally collects information about a system error, these vehicles could relay vital information to manufacturers concerning critical issues, consequently leading to timely intervention.

5. Easier Parking

Once vehicles become connected, they will drop you off at your desired destination, then carry on autonomously and find a parking spot. Cars already have self-parking functions that allow you to just press a button and sit back as the vehicle parks itself. However, until they are able to safely drive autonomously, they won't be able to offer you the full experience.

6. Improved Infotainment

BMW i7 with the Theater Screen lowered

Most modern cars already assist drivers in executing simple tasks such as taking a call, getting a better view of blind spots, or playing music. With Apple and Google collaborating with certain manufacturers, we should see a rise in advanced in-vehicle voice assistants to help drivers focus on driving while completing a broader range of tasks.

Drivers will even be able to complete these actions without lifting a finger or using their voices, but merely with gestures, using systems that expand upon more basic gesture control solutions that already exist in cars. Automakers may also further extend the range of services and subscriptions available on your vehicle’s infotainment to take advantage of the vehicle's data transfer capabilities.

There are already cars that have augmented reality technology, projecting graphics right on the windshield and overlaying the information over what you see. They can project navigation route guidance right in front of you, as well as point out other road users or obstacles. Solutions like these will evolve to negate the need for conventional screens in cars and transform the experience of traveling.

The Risks and Challenges of Connected Cars

Just as there are cool features that drive interest in this car technology, there are also risks associated with cloud-connected vehicles. These are issues that drivers need to be wary of and address if they arise.

1. Connectivity Problems

One thing is key for cloud-connected cars to operate smoothly: cellular solutions that can provide reliable, steady, and snappy coverage. Mobile phones, the most common cloud-connected devices we use today, occasionally lose signal in certain areas, leaving us temporarily disconnected and unable to even make a quick phone call.

In order for these vehicles to work like a dream, we must see a more reliable, low-latency network become the industry standard. But this could take years to achieve.

2. Lack of Infrastructure

Black SUV driving alongside grey hatchback approaching crosswalk.

There's much infrastructural work that needs to be done at a local level. These cars won’t work in isolation—they can only be as efficient as the city in which they’re deployed. Consequently, cities are going to get a lot more advanced, and developing smart roads with embedded sensors and tracking devices could prove vital for achieving this.

3. Data Management

The sheer amount of data generated each day once cloud-connected vehicles become popular is bound to be enormous, just as Tesla has discovered since launching the Full Self-Driving beta program.

Some experts estimate that the exchange of data between connected cars and the cloud could total 10 exabytes a month by 2025. Herein lies a major challenge: finding the most effective framework for managing all that information to avoid overworking the network.

4. Data Privacy Concerns

road with binary code alongside
Image Credit: metamorworks/Shutterstock

One of the biggest challenges in an increasingly data-driven and interconnected world is the protection of consumer data. As these vehicles develop a capacity for collecting and sharing data, certain questions come to mind, like how much control drivers would have over their personal information.

Would policies be put in place to ensure that companies are ethical in their handling of driver data? The list of companies that are extremely curious to take a peek at all that data (from insurance to advertising companies) is certainly long. This makes you wonder whether a connected car future would create a scenario where automakers double as data miners.

5. Security Concerns

The flip side of this innovation is how vulnerable these systems may be to cybercriminals. As more consumers share their data over these networks, it becomes increasingly possible for hackers to steal valuable, private details.

Malicious individuals may exploit flaws in the systems to manipulate vehicle parts such as the steering or brakes. Drivers may even become victims of targeted attacks once their current location is discovered.

So, how security-sensitive would these vehicles be? How quickly and efficiently would car companies respond to bugs? How often would security patches be deployed? Adhering to the highest industry standards and safeguards, along with rigorously testing products before deploying them, would certainly be a good start.

Data Drives the Future of Connected Cars

Cloud-connected cars could significantly improve your quality of life. Commuting could become more efficient, seamless, and enjoyable. You can spend less time on the road and focus on more important areas of your life.

Still, one thing is clear: data would drive any major development in this area. However, such a stride should be accompanied by a much-needed conversation about privacy.