The European Union is determined to establish a robust data economy as a foundation for its global competitiveness and digital independence. In the automotive industry, data is already transforming technologies, with innovations such as real-time traffic management systems and predictive maintenance tools. For instance, the EU’s C-Roads initiative harnesses real-time data to enhance road safety and traffic flow, highlighting the potential of cooperative intelligent transport systems. Start-ups are also making strides by leveraging vehicle data to develop fleet management platforms and mobility apps, broadening the ecosystem of services. A seamless deployment of battery-electric vehicles (BEVs) requires a consumer-friendly charging infrastructure, which will increasingly rely on in-vehicle data.
Recent recommendations from Mario Draghi’s report, The Future of European Competitiveness, emphasise the need for incentivising data-sharing to foster innovation. He also proposes collaborative European projects focused on affordable electric vehicles, software-defined vehicles, and AI-powered technologies, including autonomous driving.
Currently, however, exclusive access to vehicle data by manufacturers and large tech companies creates significant barriers for other stakeholders. This imbalance stifles competition, excluding smaller players like independent repairers, technology start-ups, and third-party service providers. The European Commission’s Joint Research Centre has detailed this issue in a study on digital car data access and its impact on competition in aftersales services. Without proper regulations, this disparity leads to higher consumer costs, reduced innovation, and a less dynamic market. A recent analysis by Berylls and Alix Partners reveals that consumers in seven EU countries could collectively face an additional €35 billion annually in repair and maintenance expenses due to limited competition.
Well-designed regulations could act as a catalyst for a more competitive and innovative market. A sector-specific regulation (SSL) on in-vehicle data would establish enforceable rules ensuring fair access to data, enabling the development of new products and services while driving economic growth and expanding consumer choice. Although the EU’s Data Act positions data as a critical resource for competitiveness and empowers consumers to control the sharing of their personal data, it does not adequately address the sector-specific nuances of connected vehicles, which are pivotal to investment decisions in the automotive space.
To address this gap, automotive suppliers and other mobility ecosystem stakeholders are advocating for fair access to connected vehicle data and continued access to repair and maintenance information via on-board diagnostics interfaces. Establishing such regulations would ensure that Europe remains at the forefront of automotive innovation and competitiveness in a rapidly evolving global landscape.
A proposal for sector-specific regulation on in-vehicle data is already prepared for consideration by the European Commission. By prioritising its adoption, President Ursula von der Leyen can ensure that Europe’s policies align with the demands of a data-driven economy. Acting swiftly would foster a fair, competitive, and innovative marketplace that benefits businesses and consumers alike, securing Europe’s leadership in the global automotive transformation.
The opportunity to lead in this critical area is within reach, provided Europe establishes a clear framework that unlocks the full potential of its data economy.
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