Your Phone Has a Car Engine Update

The Wall Street Journal

Wireless Add-Ons Send Performance Data and Trouble Alerts

By IAN SHERR 

Jan. 10, 2014 2:58 p.m. ET

Automatic Labs

LAS VEGAS—Technology that monitors a new car's engine performance and sends detailed trouble alerts to an owner's cellphone is now becoming available to owners of older model vehicles using inexpensive add-ons.

The idea is to give all car owners access to data generated by the diagnostic port that connects to various sensors built into most vehicles. Mechanics at garages have long used that information to help diagnose a car's problems.

A handful of companies including Automatic Labs Inc. and VOXX International Corp.  VOXX +4.42% are offering devices with wireless capability for $100 and up that consumers can plug into that port and route the car's data to the Internet. The gadgets allow car owners to track metrics over time such as the car's speed, fuel economy and to decode the check-engine light.

"The consumer has stepped in front of the car manufacturer's decision process," said Sterling Pratz, head of Autonet Mobile Inc., one of the companies making these connectors. "It is changing the automotive industry and giving people access to information that they didn't have before."

The new technology is a sidelight to an array of new car-technology offerings at this year's Consumer Electronics Show, many of which include ways to connect cars wirelessly to the Web. Most fully electric cars already maintain a constant wireless connection, sending information such as their current electrical charge to customers through a website or app on their smartphone. A few car makers have also offered services to send automated car diagnostic reports to customers through the Web.

At CES, most car companies this week have stressed wireless connections for applications such as enterprise and navigation. Ford Motor Co. F +1.68% showed off a new version of its Sync software, originally developed with Microsoft Corp. MSFT -0.94% , allowing apps to access real-time vehicle data such as acceleration, speed and location.

General Motors Co. GM +1.21% also announced new software that will include a vehicle health app with diagnostic information and appointment scheduling with a dealer sent to the car's dash.

But drivers of most older cars can't benefit from the new technological advances. That is where the gadget makers come in.

Much of the information they generate can be viewed in a companion mobile app, which typically offers a score based on how often drivers drove over a specified speed limit or stopped their cars suddenly.

Nate Klaiber, 32, said the information has given him peace of mind he can more easily diagnose a problem with his car. It has also eliminated his need to keep paper journals of his trips and fuel fill-ups.

"It sits there, out of the way, and every now and then I open the app and look at it," he said.

What remains unclear is whether the devices will attract more than aspiring gear-heads. The latest gadgets have only recently become available at retail, so there is little sales data so far. But Thilo Koslowski, an analyst at market research firm Gartner, is skeptical that customers will flock to buy them.

"I don't see enough value to excite customers," he said. After initial insights gained from the devices, such as revealing driving patterns that contribute to low gas mileage, they quickly lose their value, he said.

Car companies are also turning on similar capabilities in new cars at an increasing pace, Mr. Koslowski said. Within the next six years, between 70% and 80% of vehicles being sold will have the option of being connected to the Internet, he said.

But device suppliers believe they can prove their worth. Mojio Inc.'s product will sport an integrated cellular data chip and allows app developers access to the information its collects and sends. That distinction, the company says, allows customers to use the same apps no matter what type of car they use, instead of relying on the individual car maker's app stores.

"The car companies have never had a way to enhance their existing customer's experience," said Jay Giraud, Mojio's chief executive, whose product is expected to be available in the spring.

Some of the devices upload information to the Internet directly using built-in cellular data chips, while others rely on the wireless connection of a nearby smartphone.

For those that do, AT&T Inc. T -0.48% is opening a center in Atlanta, Ga., with fleets of cars designed to help app developers and other companies test their products. Glenn Lurie, head of AT&T's partnership and new devices group, said these new technologies could encourage customers to connect their devices to their cars in larger numbers. Today, he said, only 20% of customers that can connect a mobile device to their car do.

"Full-time connectivity will bring those next-generation applications in the vehicle," he said.

Dash Labs Inc. is developing an app it plans to offer to customers using nearly any connector, driving costs down below $10 in some cases. It is also planning to work with car companies to be offered as a downloadable app directly connected to the car's systems if the vehicle is already connected to the Internet.

"We can answer the question of who is driving, what are you driving, where are you driving, how are you getting there," said Jamyn Edis, Dash's chief executive. Dash is also planning to offer information such as recommendations for trusted mechanics if the car breaks down.

Autonet has long offered products that can be installed inside a car to offer a variety of features. Now it too is developing a gadget for release this spring, offering wireless connectivity and features such as vehicle health reports of a college student's car.

But others in the car accessories business still aren't convinced. One is John Govgas, head of Carshield Services Inc., which has offered similar products for years at many times the price of these new gadgets. He said less-expensive products often don't include an always-on cellular connection, which makes them unreliable for features like crash detection and theft prevention.

"It is a matter of time before people are demanding more," he said.