ARMONK, NY — IBM is known for supplying middleware for servers, but the company is quietly and quickly building out a middleware channel for automobiles, as well, according to the Web site, on March 23. The Armonk-based company has a 30-year history in software- and electronics-based support for cars, an industry also known as telematics. The company now has several new projects in the works designed to help drivers improve how they connect with information systems in their vehicles, including navigation, speech interaction and data processing. "It's part of our overall focus for pervasive computing and using things like our car, our cell phone, and our appliances to increase interconnectivity," Eugene Cox, director of mobile solutions at IBM, told Cox said IBM is using a combination of its integration services along with global positioning satellite (GPS) tracking and other wireless communications to help Hyundai in Korea deliver real-time tracking of the vehicles. IBM is also testing out its telematics systems with local insurance companies in the city of Norwich in the U.K. where customers would only pay based on how and where they drive. "We also have a program in play where the vehicle is in a state of constant diagnostic [status] and it takes readings on gas mileage, whether the air bags were deployed and almost any other predictive kinds of services we attach it to," Cox said. "We do this to let the manufacturers know more about their products." The system is slated for eventual use in passenger cars, but is currently being tested by International Truck to see how it manages its fleet and extensions, Cox said. "We are involved in several research projects to increase the ease of use because the dynamics of the vehicle are changing," Cox said. "There are about seven acoustic models created in your average vehicle. Everything from whether the windshield wipers are on or off; if the car has leather or cloth seats; or if the windows are open or shut. What we are doing now is experimenting with cameras that are aimed at the driver's mouth so we can increase accuracy of driver's commands." IBM's most public telematics relationship is with Honda and Acura, which includes voice controllers that help the driver ask for directions to favorite restaurants or some other destination. Cox said IBM is also helping power General Motor's OnStar communications service in nine different auto models right now, with at least 50 more expected in the next auto production cycle. Most of IBM's partners are keeping their names veiled, Cox said, because of the extremely competitive nature of carmakers. There are currently more than 3 million telematics subscribers in North America, representing over 75 percent of the world's total subscribers, according to ABI Research. On a worldwide scale, Forrester Research expects the telematics market to grow to an estimated $20 billion by 2006. A report issued this past week by TechnoMetrica Market Intelligence found emergency services (34 percent), built-in navigation systems (31 percent), and satellite-based entertainment services (14 percent) are the three most-wanted telematics systems among "likely" car buyers. TechnoMetrica surveyed nearly 5,000 Americans for this study and focused on approximately 1,000 who are likely to buy an automobile within 6 months. IBM's Cox said the company is helping satisfy that demand with its speech recognition product called ViaVoice, which allows the driver to use voice-interactive systems in everyday language.

Originally posted on Fleet Financials