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Discussion Starter · #1 ·
I am curious what kind of subscription/OTA options GMC will offer with the Hummer? We know they will probably sell satellite radio, Onstar, and Supercruise after three years. Apparently Mercedes will allow users to upgrade their rear wheel steering. I assume that Hummer will either have 10 degree steering or not, but maybe offer that later?


OTA subscriptions and paid upgrades is supposed to be the future for car makers to make ongoing revenue. I would see some possible games from the Google system. Spotify or other music apps could get them some ongoing revenue. Any other ideas?
This is aside from all the good light bars, floor mats, pet carriers, etc!
 

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Discussion Starter · #4 ·
We will be paying about $25 a month though after 3 years to keep using Supercruise, and Onstar premium connectivity for navigation. but this is pretty standard these days, Tesla is 9.99 a month after 1 year, or 3 months if you buy the short range models.

$25 a month ($300 a year) seems a bit steep, but if it also included Supercruise updated mapping, updates software etc, that is reasonable. What about Ultracruise? Will Supercruise 2 equipped vehicles be able to update to Ultracruise? That might be a premium upgrade in the future. When I start thinking about all the ways GM can charge us $$ in the future as a customer I put my hand on my wallet, before they steal it, but as an investor I am hearing cash register sounds in the future ringing loud. I mean think about this, by next year, GM will have a million of these digital platforms on the road that can all generate at least $25 per month, I can see GM's entire business model change and valuation as well, as they have never generated residual income off of sales before, this is game changing for GM. This software as a service business could at some point make so much money it's better to sell cars at a loss, to capture more marketshare and percentage of this software as a service revenue. The ability for GM to scale this through their products is almost magic, starting on the current Escalade, and Sierra And Silverado will have the digital platform early next year, Hummer, Lyriq... etc..
You are correct, that is the main reason for the ridiculous valuations of Tesla as they like to think of themselves as a technology company. Other car makers have figured this out as well are talking about software. VW had big plans in this regard as well:

Nobody just wants to sell just hardware anymore. 😢
 
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