GM's 4G LTE Mobile Internet Poses Cost and Security Concerns

Published on October 17, 2014 in Blog by Benjamin Hunting

The 2015 Cadillac ATS Coupe is the latest effort from General Motors to feature the brand's new 4G LTE wireless Internet option.  At its core, the system is comprised of a mobile router that connects to available 4G LTE networks and then serves as a hotspot for any Wi-Fi-enabled mobile device within a 30 metre range.  The idea is that not only can the car offer a data connection for passengers, but it also makes it easier to stream content to the entertainment system while driving without having to siphon gigabytes from your mobile phone's data plan.

It's an interesting feature to be sure, although one that has me asking a few questions about its appeal.  First, there's the question of duplication: surely anyone who would be interested in a mobile hotspot for their automobile already has a smart phone with a data plan.  Why pay for a second plan just for the car, especially since it's utility vanishes once you've parked it for the night (unless you want to stream Netflix from your garage to your living room)  I understand the appeal for fleet vehicles, especially contractors looking to establish a Wi-Fi beachhead at the job site, but for consumers the benefits are a bit murkier.

Then there's Canada's already expensive data rates, which are some of the priciest in the world.  A 200 megabyte plan is $10 for GM vehicle owners who are already OnStar subscribers, but let's be realistic: you can't get by without at least 1 gigabyte of data consumption for most online services, and that plan will set you back $20 a month if you are an OnStar customer, or $25 if you are not.  You can also buy a $250 one-shot 10 gigabyte package that will cover you for an entire year if you don't want to subscribe to anything at all.

My final issue with the 4G LTE connect is security.  Just like routers all have a default password, GM's vehicles will each have their own universal password right from the dealership.  I will bet you a million bucks that 90 percent of owners will never even consider changing their password to something more secure, which means that there will be a fleet of Internet-enabled automobiles out there just waiting to be compromised.  I doubt we'll see hackers hanging 10 feet off the bumper of Cadillac drivers on the highway torrenting files, but a more feasible scenario involves using the 4G LTE connection to compromise other vehicle systems, or worse, harvest personal information from the owner in order to steal their identity.

I'm very curious to see how GM's digital connectivity strategy plays out over the coming years.  Will drivers be willing to embrace the more limited utility of a car-based Internet connection, or will they stay wedded to their mobile phone data plans?  Will security concerns lead to high profile data theft cases associated with the 4G LTE system, or will adequate security protocols be put in place?  Let us know what you think with your comments and emails.

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