How TomTom evolves for autonomous vehicles

For many, TomTom is a brand synonymous with satellite navigation devices ("Sat Nav") glued to the windshield of cars. But behind the scenes, the Dutch mapping company has built a veritable arsenal of navigation data and high-definition (HD) maps as it prepares for the battle to power tomorrow's autonomous and connected cars.

TomTom may not share the consumer mind of Google Maps, but it does underpin many services you probably use daily, including Uber and Apple Maps. Microsoft also uses TomTom for services such as Azure, Bing Maps, and Cortana.

TomTom has recently established an impressive list of partnerships, as it seems to be able to power a myriad of connected cars and mobility services. Last month, TomTom partnered with Microsoft and the Moovit public transport data platform to pool their resources and create the ultimate multimodal transport platform for developers – an operating platform TomTom's driving and parking data. And just last week, TomTom announced new extended navigation and map offerings with Nissan, Fiat Chrysler and the Volkswagen Group's line of brands in Europe, including Volkswagen, Audio, Porsche, Skoda, Lamborghini and Bentley. In addition, TomTom will now be – for the first time – the service provider of traffic management services for Audi vehicles in China and Japan.

But perhaps most interestingly, TomTom revealed that it had been selected by "many top 10 builders" to provide HD maps, which provide a more accurate representation of the terrain, including the models. track, geometry and traffic signs, with centimeter accuracy. These maps are an essential element of autonomous vehicles because they require a precise knowledge of the situation to be able to navigate by congested lanes. Even the most accurate GPS system on the roads today could have a margin of error of several meters, which is a difference between driving in a lane and driving on a sidewalk.

TomTom's HD cards boast extensive coverage in the US, Japan, South Korea and Europe – all key centers for testing and developing autonomous cars. Although TomTom did not reveal the manufacturers it had subscribed to for its HD cards, this decision will help it strengthen its existing partnerships in Level 1 and 2 automated cars.

Elsewhere in the world, TomTom and Elektrobit, a provider of embedded and connected software for the automotive industry, have launched what they call an HD "map horizon" for autonomous driving. An HD map horizon allows vehicles to reconstruct a detailed virtual image of the road in real time. For example, the car's driver badistance system may know that there is a sharp bend in the road or a more unexpected obstacle, such as debris in front of you.

In summary, TomTom may not be a brand on a daily basis, but it is a discreet giant of the technology and spheres of the automobile, on which car manufacturers can count more and more if they want to avoid to give more control and data to their customers. Google is looking more and more to turn to automobiles.

With this in mind, VentureBeat has caught up with the TomTom Navigation Manager, Heiko Schillingto understand where TomTom stands, how it stands out and where its priorities are at a critical juncture for the automotive industry.

Hump ​​on the road

Schilling joined TomTom at a turning point in its history. The year was 2007 and the company's shares reached a record in November. But after two years, the effect of the iPhone, Android and (more importantly) Google Maps had adverse consequences, the actions of TomTom fell by 95%. They have never completely recovered.

"It was exciting – in a good way, with hindsight," Schilling told VentureBeat, with a slightly ironic smile. "When I arrived, we shipped satellite navigation satellites at a speed of about 35,000 a day – the basement was completely full and we were hiring – it was my first two years. And then the financial crisis started, the iPhone arrived and Google Maps came out. "

Although the iPhone and Google Maps contributed to its loss, TomTom was actually a launch partner of the iPhone 3GS in 2009, the co-founder and then the CTO Peter-Frans Pauwels taking the stage alongside Steve Jobs to present the first turnaround. U-turn navigation app for iPhone. His thought may have been right – "well, we can both adopt this new technology, it will not disappear"- but the rise of smartphones is severely hampering TomTom Sat Nav's hardware business. Why would anyone buy a $ 300 dedicated GPS screen for his car while he could just mount his phone on his windshield?

This is how Schilling's first two years in the company were, to say the least, turbulent.

"There have been restructurings, reorganizations, reallocation of the whole of society," Schilling said. "In fact, it was a good thing, with hindsight hindsight. But if you're in the middle and you do not know where it's going, obviously it's a bit scary. "

Tormented history

TomTom has evolved a lot since its inception in 1991. It began as a B2B software developer for meter reading and barcode scanning, supporting a number of the most popular handhelds of the time, including Palm Pilot and Psion Series 5. By the turn of the century, TomTom had aligned its activities with automotive navigation systems, first transforming "handheld computers" into on-board navigation systems and then selling navigation units. GPS dedicated.

In the years that followed, TomTom has diversified into all areas, including telematics to help businesses manage their fleet, as well as consumer portable equipment. But about 18 months ago, TomTom began a major restructuring of its business to refocus its efforts on its core strengths. In September 2017, TomTom announced the elimination of 136 jobs by moving away from the highly competitive clothing technology market. Earlier this year, TomTom revealed that it was transferring its telematics unit to Bridgestone for $ 1 billion, which would allow it to invest more resources in maps and navigation.

At the time, TomTom had stated that the sale of its telematics unit would enable it to become a "more focused and agile company, shaping the future of driving with extremely accurate maps, navigation software and real-time traffic information and services. " do not mention Google Maps by name, but this is probably one of the factors contributing to the sale. A few months ago, Google signed a major contract with major automakers such as Renault, Nissan and Mitsubishi to integrate Android services – including Google Maps – to their vehicles.

In addition, Harold Goddijn, CEO of TomTom, said dropping his telematics unit would allow him to focus his efforts on autonomous cars.

"After a thorough review of the strategic options, we determined that selling telematics to Bridgestone was in the best interest of telematics and our core business in location technologies," said Goddijn. "We will continue to invest in our innovative card-generation system, enabling faster map upgrades while reducing operational costs, paving the way for autonomous driving."

Schilling added that the sale gave him more direct financial leverage to invest in his core card business – money that would have taken much longer to generate recurring revenue.

"Sell it [telematics business] $ 1 billion means we now have 10 years of future revenues in the telematics sector, which we can also use to invest in some of the technologies around cards. "

Autonomous future

Over the past decade, Google has emerged as the winner of what could be interpreted as the first mapping war, largely focused on the consumer market. The technology giant has sent car squads around the world, capturing new road layouts and new street images to use in its arsenal of products. But with the next revolution of the autonomous car, the other cartographers have found their reason to be.

In the early development of autonomous vehicles, debates erupted over whether cards would be needed for autonomous cars – some argued that cars could run completely with the help of onboard sensors. But it soon became clear that maps would be an essential part of the autonomous car puzzle: they would give the car a level of situational awareness that sensors alone can not safely reach.

"Arguments [for maps] are actually pretty simple, "said Schilling. "The sensors can not look in the corners. You have to know what's going to happen and the sensors can not see through this big truck rolling next to you. There is a wide range of reasons why sensors have limitations. And that's where the card comes in. It brings you comfort and safety inside an autonomous vehicle. "

While advanced driver badistance systems are now commonplace in cars, the automotive industry is entering an exciting phase that takes things to the next level. In December, Google's sister company, Waymo, unveiled its first driverless commercial taxi service, Waymo One. The announcement was a turning point for Waymo, one of the leaders in the self-driving push: Waymo One was its first commercial service that bikers can actually pay for, although as part of an advance access program. But it is a sign of the speed with which the autonomous driving movement is accelerating.

Elsewhere, the technology and automotive industries converge to avoid being left behind in the gold rush. Daimler and BMW have recently entered into a long-term partnership for autonomous cars. The rapprochement of their rivals was marked in several ways, but their collaboration was not new to these giants of the German car industry. In 2016, the duo was part of a consortium that was to acquire the $ 3 billion Nokia Mapping Unit Here. This agreement guaranteed them sufficient control over their own localization technologies, while keeping Google at bay. And as with TomTom, Here is betting a lot about a stand-alone future where sensor data is captured and exploited, and real-time updated HD maps are essential.

Today, TomTom claims that 800 million people worldwide use its technology, whether it is a physical hardware or an application with TomTom embedded. As a result, TomTom collects more than 20 billion location data points every day, which are then re-injected into its products so that maps and related information are up-to-date. It also has half a million kilometers of HD maps on which it intends to support to continue its legacy with next-generation cars.

Competitive advantage

TomTom has some key advantages over Google's main enemy, whether it's cars, autonomous or not, and the wealth of real-time traffic data sources that TomTom can access. Google Maps data is typically collected on smartphones, which do not always provide accurate information. People use Google Maps to walk, drive, cycle, run, skate, scoot and sometimes even navigate. It is therefore difficult for Google Maps to discern a horde of people quickly rolling in a bike lane or a group of cars crawling next to them, for example. In addition, the GPS of a smartphone is not always accurate.

"That's one of the reasons why Google and other high-tech companies are trying to get in the car because you're getting much better, much more stable data," Schilling said.

Google offers builders to use Android Auto to integrate with their vehicles, but it still relies on the user's smartphone. In addition, Google has made progress with its fully integrated Android Automotive offering, having signed Volvo and Audi a few years ago, in addition to the Renault-Nissan-Mitsubishi alliance mentioned earlier in this article. But he still has some way to go before he can claim the same scope as in the mobile.

Then there is the elephant in the room: privacy. Google, among other tech giants, has been involved in all sorts of data-related controversies, from harvesting to leaks. Google's core business is the monetization of personal information, which could prompt some automakers to think twice before using Google to equip their future navigation systems.

For TomTom and Here, for example, it may be advantageous to focus on drivers rather than advertising. And in the end, privacy could be one of their biggest weapons at the time of the next great mapping war.

"Privacy is important," Schilling added. "Apple did it [privacy] their main product now, right? So that's the same story for us. We do not use data for advertising. We use the data to improve the product. "

At the top of the chain

TomTom's renewed competition with Google extends beyond automobiles and applies to the world of developers. Last May, Google announced major changes to the Google Maps API, including the consolidation of its APIs into just three main products: Maps, Routes and Places. Part of that involved turning its prices into a single pay-per-view plan, and also requiring developers to provide a credit card account and a billing account for users. all Access to the API. The changes, which came into effect in June, sparked some anger in the developer community, where many claimed that they would end up paying a lot more.

What better way for TomTom to respond by launching a free SDK for card developers, giving them access to maps and traffic information, without limitation, on Android and iOS? The idea behind this change was to attract application developers to TomTom's updated "free" SDK, and then get them to become paid users to access high-end features, such as routing or the search for addresses. He also reflected a decision made by his rival Here a month earlier.

However, TomTom's motivation was not just to get developers to pay for more features. The more third-party applications that use TomTom's mapping capabilities, the more location data TomTom can access, which improves the overall quality of its product for everyone, including builders. In short, this initiative was intended to give TomTom more endpoints and additional data on how people move with very little additional effort.

"Rather than building products, that's [sometimes] better if you get in the chain, where you have more reach, "Schilling said. "The [free SDK] the participation was good. "

The future, according to TomTom

It is too early to say who will win the Autonomous Vehicle Mapping War – in fact, there will likely be many competitors in the long run.

TomTom, for its part, has been confronted with a number of seismic changes in the technological landscape over the last 30 years, and it has always come out on the other side – perhaps not unscathed, but certainly hardened at fight. Schilling briefly answered the question: "It's all about autonomous driving," he said.

Automotive partnerships and the creation of HD maps set the foundation for autonomous cars, but TomTom's next big development will be to instantly update maps so cars have a clear view of their surroundings.

TomTom brings 1.5 billion changes to its digital maps [monthly], which are delivered to our customers every week, "added Schilling. "This proves the scalability of the TomTom platform and brings us closer to real-time maps. This is the key to the future of autonomous driving. "