General Motors Company (GM - Free Report) recently signed a partnership deal with Alphabet Inc. (GOOGL - Free Report) to roll out in-vehicle technology, in a bid to boost overall customer experience. Financial details of the deal, however, have been kept under wraps.
General Motors will use embedded Google technology for voice assistant, navigation and other in-vehicle applications available through the Google Play store to all compatible Chevrolet, Buick, GMC and Cadillac vehicles brands across the globe, beginning 2021. The automaker plans to roll out more models in the following years.
Notably, the partnership will likely provide a better experience to drivers, even without their cellphones being connected to the in-vehicle infotainment system.
The integration of Google technology and service into General Motors’ vehicle infotainment systems will foster a more efficient driving experience. Further, General Motors will offer the unique infotainment features in the company’s vehicles, such as vehicle health status, service recommendations and in-vehicle commerce, while also complementing its offerings with the Google applications and services. General Motors’ infotainment features are currently powered by Android.
With the built-in Google Assistant, drivers will be able to make phone calls, text, listen to favorite radio stations, operating garage door and even change the car temperature.
Furthermore, the built-in Google Assistant will continue to evolve over time, such that drivers can use their voice to renew the OnStar or Connected Services plans, check the tire pressure or schedule services.
Through the embedded navigation feature, Google Maps will help drivers navigate with real-time traffic information, automatic re-routing and lane guidance. With the voice assistant, drivers can use it to navigate home, share their ETA, as well as find the nearest gas station without any requirement of phone.
The integration also includes Google Play Store, which will enable drivers to find their favorite apps and services specifically designed for in-vehicle applications. Drivers can listen to podcasts and audiobooks in the vehicle as at home and also stay connected with important contacts on communication apps.
General Motor’s earnings and revenues declined year over year during the June-end quarter. Nevertheless, the sale of Chevrolet Silverado and GMC Sierra light-duty crew cabs grew year over year in double digits in the quarter. The automaker strives to excel in its products and technology, expand the Chevrolet and Cadillac brands globally, fortify the company’s presence in China, as well as boost the GM Financial segment’s performance.
The sale of crossovers and trucks has grown modestly in the United States and China since 2015. In order to bank on this trend, General Motors revamped its crossover line-up.
General Motors Company Price and Consensus
Zacks Rank & Other Stocks to Consider
General Motors currently carries a Zacks Rank #2 (Buy).
A few other top-ranked stocks in the Auto-Tires-Trucks sector are Lithia Motors, Inc. (LAD - Free Report) and SPX Corp. (SPXC - Free Report) , each carrying a Zacks Rank of 2, at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Lithia Motors has an expected earnings growth rate of 12.8% for 2019. The company’s shares have surged 61.7% over the past year.
SPX has an estimated earnings growth rate of 14.5% for the ongoing year. Its shares have rallied 19.1% over the past year.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Click here for the 6 trades >>