Updated On:
July 12, 2026 | 10:45 am IST
Summary
Auto Companies Software Subscription: Indian car buyers are reluctant to pay subscription fees for connected features. Statistics show that only 20% of customers continue the service after the free period.
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Expansion
Auto Companies Software Subscription News In Hindi: The use and popularity of connected cars in India has increased rapidly in recent years. Today’s new cars come with many internet-based smart features, which provide a modern experience to the customers. These include features like remotely locking or unlocking the car through the mobile app, remotely turning on the AC and viewing the live location of the car.
However, a new and bigger challenge is now emerging for the auto companies. In fact, most of the customers are not willing to pay for these services after the free (complimentary) period is over.
Business model of auto companies got a blow
The country’s leading automobile companies like Maruti Suzuki, Hyundai and Tata Motors provide their connected car services free for the initial one to four years. The strategy of the companies was that during this free period the customers would get used to these features and later regular earnings would be made from the software services by charging subscription fees.
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But the current situation seems to be the opposite. Experts say that as soon as the free time ends, there is a huge decline in the demand for these services, which has raised question marks on the success of the new digital business models of the companies.
Hyundai’s figures are presenting the real picture
According to information shared by Hyundai, millions of its connected cars are running on the roads of India. But what is worrying is that when the free service period ends, only one in five customers (20%) choose to continue the service by paying money. Although other big companies are still avoiding sharing their actual figures, auto industry experts believe that the situation remains equally challenging for most brands.
What is the mentality of customers?
According to experts, people in India are used to paying for mobile data, internet and various OTT apps, but they do not find it necessary to take additional subscriptions for smart features of the car. The problem is not just about spending money, but about the actual utility of these features in daily life.
Auto sector experts believe that now it is not enough to just provide more features, companies will have to develop such digital services which become a daily need of the customers and without which their work seems incomplete. Only then will customers be mentally prepared to pay their fees every year or month.
Ray of hope arises from EV segment
Even though software subscription rates are currently low, the growing market of electric vehicles (EV) has raised new hopes for companies. In the electric segment, features like battery health information, real-time status of charging stations and trip planning are being used more than before.
Also read:- UP Cab Policy: Now the arbitrariness of companies like Ola-Uber will not work, they will not be able to increase the fare arbitrarily during peak hours.
Companies are now constantly adding new and better features to their digital platforms to enhance the customer experience and attract them towards paid services in the future.