ID.4 Archives

Over-the-Air (OTA) Updates: How Automakers Are Betting on Software to Keep Up With the Pace of Innovation

by Justin Fischer | Last updated Oct 2, 2023 | Electric Vehicles, New Cars

At what point does a car become more of a computer on wheels? Computer integration in the automotive industry is nothing new, however it’s accelerating at breakneck speed. Both software and hardware become outdated in no time at all. Is there a way for car buying habits to steer clear of the two-year replacement cycle that smartphones have fallen into?

As soon as computers grew wheels (in the form of electric vehicles), forward-thinking automakers launched over-the-air (OTA) update capabilities. Tesla was the first to do it, and now the likes of Ford, GM and Volkswagen are among the legacy OEMs marketing their vehicles as OTA-ready. Although, not all who’ve tried it have succeeded without hiccups. Here’s how OTA updates are changing car ownership, and what’s to come in the years ahead.

What Is an Over-the-Air (OTA) Update?

You know when your phone gives you a push notification about scheduling a time to install the latest software updates and bug fixes? Well, cars can do that too now. OTA updates are not just for software fixes. With OTA capability, vehicles can receive enhanced performance and safety improvements via a simple wireless internet connection.

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OTA updates eliminate the need for making a service center visit for many simple fixes and updates. The updates are sent and downloaded via access to a cloud-based server with a wireless internet connection. Many updates are free of charge, and all safety enhancements are at no cost. However, we are entering a new era where OTA presents a new revenue stream for car makers.

Everyone’s getting in on the subscription business, and the auto industry is no different. There are two kinds of OTA updates: those for infotainment, and those for vehicle performance and control. They may target either software or firmware, the latter of which required more advanced security protocols to implement.

Infotainment OTA Updates

Infotainment updates improve the user experience. A classic example is how Volkswagen ID.4 owners are pleading for an improved infotainment performance after the original equipment was delivered with a laggy touchscreen and haptic buttons. Fortunately for ID.4 owners, the car is among VW’s first generation of OTA-capable models, and a fix is on the way.

Sometimes, OTA revisions cause frustration and even anger from customers. Tesla recently pushed the Version 11 user interface to all of it’s vehicles via over-the-air download. The result was strong critical feedback from customers, most of whom were complaining about the automaker trying to fix something that wasn’t broken.

Vehicle Performance and Control OTA Updates

GM Ultium battery — GM Ultium Battery and Powertrain

How is it that the 2023 Tesla Model 3 has a quicker 0-60 time now than it had when it was first purchased? Or how Tesla vehicles can gain or lose access to the controversially-named ‘full self-driving’ based on driver safety scores? With OTA capability, automakers can send everything from a power boost to a pedestrian avoidance feature to cars already in driver’s hands.

Vehicle performance and control updates can include updates to the vehicle’s powertrain, chassis systems, and advanced driver assistance systems (ADAS). Of course, updates to these critical components of a vehicle are only possible when the components are electronically controlled and operated. For this reason, an older car model can’t be retrofitted to become OTA capable.

Examples of fixes and improvements automakers have installed via OTA

Tesla offers an ‘acceleration boost’ for the popular Model Y that lowers the 0-60 time from 4.8 to 4.2 seconds
Tesla regularly updates the ‘full self-driving’ upgrade, which is currently in beta testing
The Cadillac Escalade has received GM’s first big OTA update to improve the SuperCruise hands-free driver assistance (ADAS) technology
Ford delayed the release of a major OTA update for the BlueCruise hands-free driver assistance (ADAS) technology
Volkswagen released the first of a series of promised software updates targeted at improving the infotainment experience

Which Automakers Offer OTA Updates?

Tesla was the first automaker to roll out over-the-air capabilities with the launch of the Model S in 2012. After years of skepticism from the competition, here are the other OEMs that have announced or commenced OTA updates in their vehicles:

Automaker	OTA-Upgraded Components
Audi	Navigation
BMW	Infotainment, optional features
Ford	ADAS, several other components
General Motors	Nearly every vehicle component on EVs, major components on combustion vehicles
Honda	Infotainment
Hyundai	Infotainment, voice assistance
Jaguar/Land Rover	Infotainment, charging capabilities
Lucid	Nearly every vehicle component and system
Mercedes-Benz	Infotainment, navigation
Nissan	Infotainment
Polestar	Nearly every vehicle component and system
Porsche	Limited functions
Rivian	Nearly every vehicle component and system
Stellantis (FCA)	Infotainment
Tesla	Nearly every vehicle component and system
Toyota	Infotainment
Volkswagen	Several vehicle components and systems on EVs
Volvo	Nearly every vehicle component and system

Are OTA Updates Safe?

We’re used to having virus protection on our computers. If we don’t, bad guys will find a way to compromise the computer and access personal information. Are the same security and privacy concerns applicable to automotive OTA updates?

Since OTA updates require a wireless internet connection to install, there are risks for malware and the unintended release of personal information. The best way to protect yourself from these risks is to only accept OTA updates while connected to a secure network, such as the wifi network at your home. Don’t try updating your car at the fast food or coffee shop drive thru!

What’s Next?

Over-the-air updates are about to take the auto industry by storm. Now that major OEMs are proudly marketing their ability to improve the user experience (which itself sounds like they’re selling more of a tech product than a car), a paradigm shift is at hand. Volkswagen Group CEO Herbert Diess recently told The Verge about VW’s plan for a reimagined future where the relationship between the automaker and customers is more intimate and dynamic with the power of OTA updates and new ways of customizing the ownership experience.

“Imagine: for a long time, we did not have access to a customer as a company. The customer access was exclusively with our retail network. What we experienced over time was that people walk away from our retail outlets and go to third parties to substitute some of the spare parts or buy new tires. Now, we have a new opportunity to be in direct contact with the customer, which is totally new for us.”

New Revenue Streams for Automakers

Not only is the largest automaker in the world committing to OTA capability, the likes of Ford, GM and even tech-cautious Toyota are joining the bandwagon too. Will OTA updates remain a free upgrade for millions of car owners? Unfortunately, that’s already slipping away. Tesla offers acceleration boost upgrades for its popular Model Y for $2,000, and Toyota recently tried making customers pay for remote start, a feature that is OTA-controlled.

Even the CEO over at Volkswagen Group acknowledges the new money-making avenues made possible by software updates, telling The Verge that eventually, customers will have to pay for what they want.

“We have that revenue in mind for sure as well. Customers will be prepared for some features they didn’t buy at the start, probably after a few years or after a few months — even if they consider taking another option or another software feature, the customers would be prepared to pay a monthly fee or a one-time expenditure.”

CarEdge’s Take

There are advantages and disadvantages of OTA update capabilities, but it seems that the advantages far outweigh any negatives that may come with this game-changing technology. As Tesla has shown the industry, there’s a future not too far away when most recalls may be fixed via a quick overnight update, and vehicles get better over time, helping them to retain resale value.

Are you ready to treat your vehicle more like a smartphone than a means of transportation? What do you think the outcome of this major industry shift will be for consumers, dealers and automakers? Will dealerships falter without the steady stream of vehicle service that they’re used to? Only time will tell.

How Much Does It Cost to Charge an Electric Car? Here’s How You Can Save Money Charging an EV

by Justin Fischer | Last updated Jun 14, 2022 | Electric Vehicles

Update: Every day that we wake up to higher gas prices, the case gets stronger for EV adoption. If only EV prices weren’t sky-high. With gas at $4.50, the average American driver commuting 15,000 miles per year can easily save $150 per month or more by going electric. Check out the details below.

Charging an electric vehicle is a whole new experience, one that brings advantages and disadvantages for drivers. If you’ve been stopping at gas stations for decades, the thought of plugging in and waiting for your car to charge may be a bit too much to swallow. But over 80% of EV charging is done at home, where the cost savings are greatest. Two out of three American drivers are considering going electric for their next vehicle, and billions of dollars are being funneled into EV development and infrastructure.

EVs have a higher upfront cost than combustion vehicles, so it’s important to find ways of making up for the expense with fuel savings. Unfortunately, not all charging options are affordable. Here’s how you can save money when charging your EV in 2022.

The Cost of Charging an Electric Car at Home

When do you usually charge your phone? While you sleep at home? Oddly enough, for most drivers, that’s exactly how their EVs are charged! Data from the US Department of Energy shows that the vast majority of electric vehicle charging is done at home. Whether you plug in to a simple 120 volt outlet in your driveway or have a more powerful 240 volt outlet in your garage, charging at home is usually the most affordable way to power up.

In the US, the average residential electricity rate is $0.14 per kilowatt-hour, however rates vary widely from one state to another. In Hawaii, the average rate is a whopping $0.34 per kWh, while it’s between $0.10 and $0.14 per kWh in more affordable energy states like Washington and Texas.

What does that all mean? Say you have a level 2 charger capable of filling up your battery from empty in about 7 hours. Plug in every evening, and wake up with a full battery every morning. What did that full ‘tank’ of electrons cost? Let’s consider a real-world example. The 2022 Tesla Model 3 has a 82 kWh battery, so at average American residential rates, at home charging a Tesla Model 3 at home costs just $11.48 for a full charge. That’s enough electrons for 358 miles of driving.

What about if the same Model 3 owner lived in California instead? At typical California residential electricity rates, the same charge would cost $18.04. Considering that a tank of gas costs over $75 today, the savings add up. But clearly, it depends on the rates you pay for power and miles driven per year to maximize savings. If you’d like to know more about average residential electricity rates in each state, you can find that information here.

Here’s How Much a Typical EV Driver Spends on Charging at Home in Every State

**Note: this includes business and commercial rates. The average residential rate is $0.14 per kilowatt-hour.**

Here’s how much EV drivers from each state can expect to pay for a full charge. The examples below specifically reflect an EV with an 82 kWh battery, such as a Tesla Model 3 or Model Y. My own Hyundai IONIQ 5 has a 72.5 kWh battery.

The stark difference between home charging and public fast charging highlights the fact that going electric likely only brings savings when most charging is done at home.

The Hidden Costs of Charging an Electric Car

If you already have a 240 volt dryer outlet within reach, you’re all set for just about any scenario. If you don’t, you’re left with two options. If you drive less than 40 miles on most days and live within a reasonable distance of a public charger (in case you need it), you will save the most money by using the so-called ‘trickle charge’ supplied by the charger included with the car. You simply plug into a standard three-prong 120 volt wall outlet. This is called level 1 charging.

Depending on the vehicle, trickle charging typically adds 3-4 miles of charge per hour to the battery, or about 40 miles per night if you leave your car plugged in. So, how much does it cost to charge an electric car? If the above scenario describes your driving habits, you’ll just pay the same residential electricity rates that your pay to power your home.

If that’s not quite enough recharge for your daily needs, you’ll either need to make weekly visits to public fast chargers, or spend anywhere from $800 – $2000 on installation of a level 2 charger. Level 2 chargers supply more power in less time. They plug into a 240 volt outlet, the exact same kind that is used for dryers, ovens and other large appliances at home.

If you already have a conveniently located dryer outlet within reach of where you park the car, you can purchase a power splitter for as little as $300. Splitters send charge to the home appliance (such as a dryer) when needed, and then divert power to charging the car when the appliance is not in use. This saves A LOT of money versus getting electrical work done!

Do I need to install a charger?

In summary, if you drive less than 40 miles a day, it usually makes the most sense to avoid the costly level 2 charger and stick with a regular wall outlet. If you drive significantly more, consider installing a level 2 charger or simply topping off your battery once or twice a week at a local public fast charger to avoid the expense of electrical work.

How Much Does Public Fast Charging Cost?

First, there’s one thing we need to make clear. Electric vehicles are not meant to be charged at public DC (direct current) fast chargers every time a charge is needed. It stresses the battery, and it costs a lot more than charging at home. For instance, fast chargers can charge a Model 3 from 10-80% in less than 20 minutes. That much energy transfer puts wear on the vehicle’s battery management system. Fast charging is great for road trips or when you’re in a pinch, but that’s all they’re meant for.