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Even though the advantages of Android Automotive OS appear to be magnificent, several BMW experts raised doubts against the option. BMW would lose control over the development and rollout of a central component of its cars and would have to rely on Google’s decisions regarding new features, bug fixes, and also new version rollouts. Moreover, Google would control which models or markets should first receive any OS version. Besides these strategic decisions, experts mentioned that BMW would lose an important customer contact point. While Android Automotive OS provides options for user interface customization, customers might think of Google, not BMW, as the system’s provider. The customer experience during a car ride would no longer be exclusively designed by BMW, but a large part would be determined by Google. Strong brand bonding is especially important in the automotive market because cars and driving are especially associated with customer emotions.
Furthermore, experts elaborated that the implementation of Android Automotive OS implicates relinquishing any ambition on digital business model implementation inside BMW’s cars. Since Google would manage all transactions on its platform and capture a predefined percentage of each transaction, the car manufacturer would not be involved. In line with the smartphone market in which manufacturers’ value capture is limited to the sale of the device itself, BMW’s business model would be limited to the sale of the individual car and several associated maintenance services. The role of a platform owner with scaling platform businesses is obsessed by Google. Experts from BMW’s strategic departments link this aspect to the changing nature of the automotive market. While large parts of this business are conducted with sales or lease contracts, an evolution toward a more usage-based business model is expected. Even though selling cars is expected to remain as a lucrative business in the future, the market share of mobility services will grow. Independent of specific solutions such as car-sharing, ridesharing, and ride-hailing, these businesses are usually used and managed via online apps. As soon as digital platforms are available, the integration of these services with cars appears as logical step. However, the implementation of Android Automotive OS would mandate these transactions to be exclusively managed by Google. BMW would not be involved in such business models.