ATX Shares Success Factors For Telematics-Based Traffic Info

Drivers want real-time, location-specific traffic information that is actionable, personalized

SPEYER, Germany, Oct. 29 -- Personalization of location-based traffic information that can be accessed by drivers "on the fly" and pushing traffic "alerts" to drivers are several of the key factors driving telematics- based traffic information in Europe and North America. That was the assessment offered yesterday by Josef Heimann, Managing Director of ATX Europe, at an annual meeting here of European mobility service and content providers.

ATX Group is the world's second largest telematics service provider to the automotive industry and, as part of its telematics services suite, provides real-time, location-based traffic information to BMW in Europe and Mercedes- Benz in North America. In addition, ATX provides personalized, real-time traffic information to wireless devices in North America with Vindigo Studios, one of the best-known publishers of consumer applications for wireless devices.

Based on ATX's six years of experience in providing in-vehicle traffic information, Heimann emphasized that drivers are less concerned with how traffic information is delivered to them (i.e. via satellite, short message service, broadcast) and are more concerned that traffic information is relevant to their driving situation, is reliable, and provides effective re- routing around congestion. In addition, Heimann says a provider can't expect to design a program solely predicated on a driver pre-planning a route. Traffic "happens" and doesn't always follow a reliable pattern. Customers often need immediate, actionable traffic information.

"We've learned you have to offer options for set-up and delivery, including 'on the fly' delivery," said Heimann. "Drivers don't want to take the time to check traffic flows every time they get into their car. Their need for traffic information is very episodic, so they place a higher value on location-based and/or real-time traffic information that is available on- demand and/or pushed to them as an alert. They also see value in providing effective re-routing around congestion."

Simple Interactive Voice Response (IVR) interfaces in accessing and delivering information, reliable and seamless coverage, flexible updates of services and applications and avoiding unrealistic or incorrect expectations of the service by drivers are also critical factors in the eventual success of telematics-based traffic information.

Heimann also detailed the key differences in providing telematics-based traffic information between Europe and North America. Despite the contrasting approaches, both markets were similar in that they were reliant on human data collection methods, infrastructures that were expensive and still required a lengthy build-out, public and private initiatives for data collection, and a close relationship with map data providers for integration into vehicle navigation systems. He also noted that floating car data -- using in-vehicle GPS location systems to produce real-time traffic movement data -- still hadn't matured to a point where it can be effectively evaluated as a viable means for traffic data collection.

"Nobody has come up with the killer traffic application yet," noted Heimann. "But we are a lot closer than we were just two years ago and the increased collaboration on the lessons learned from the European and North American markets will allow us to get to there much more quickly."

ATX will be releasing within the next three months a "White Paper" summarizing its findings to date in the real-time, location-based traffic information market.

ATX partners with digital mapping and traffic content providers, Tele Atlas and NAVTEQ, in the delivery of real-time, location-based traffic information in the North American market and PTV for the European market.

About ATX: Based in the Dallas-Fort Worth, Texas, area and Dusseldorf, Germany, ATX is the world's second largest provider of telematics services for the automobile industry, serving both North America and Europe. ATX telematics services are designed to provide enhanced safety, security and driving convenience to vehicle owners. These services include location- specific emergency and roadside assistance, automatic collision notification, stolen vehicle recovery, remote diagnostics and real-time traffic and navigation assistance. ATX, the largest independent telematics provider not owned by an automobile manufacturer or telecommunications firm, also provides telematics services designed to help automobile manufacturers and their affiliated dealerships to use telematics data to reduce costs, enhance vehicle servicing, and more closely manage customer relationships. ATX services are provided to vehicle owners through the brand names of its customers -- Mercedes-Benz, BMW, Maybach, and Rolls-Royce Motor Cars. For more information, visit http://www.atxg.com/ .