Hyundai, Kia, and Genesis will offer a 'pay-to-play' vehicle feature subscription service from 2023

Hyundai Hyundai News Kia Kia News Genesis Genesis News Electric Best Electric Cars Showroom News Industry news Car News
...
In a surprise move, Hyundai, Kia, and Genesis will soon use a subscription service for some vehicle features.
Chris Thompson
Senior Journalist
13 Oct 2022
3 min read

Hyundai Motor Group (HMG) has announced it will begin offering some vehicle features under a pay-to-use subscription model as early as next year.

Facilitated by a new centralised vehicle architecture that HMG brands Hyundai, Kia, and Genesis will all use for its models built from 2025 onwards, software defined vehicles (SDVs) will be able to receive updates remotely or ā€˜over the air’ (OTA) in much the same way Tesla is able to provide customers with updates.Ā 

While this means vehicles will be able to be optimised and hopefully improved without the need for a visit to a dealership or service centre, it also allows the manufacturer a level of control over the vehicle that's not possible in more ā€˜analogue’ vehicles.

This means Hyundai, Kia, and - more likely for many luxury features - Genesis, will have the ability to restrict certain vehicle functions unless the owner has added them as part of a subscription pack, a system which HMG calls Feature on Demand.

As part of its announcement that it will move to a software defined vehicle business model, HMG executives said during a press conference the move aimed to prevent users from paying for vehicle features they wouldn’t use, touting it as a cost-saving benefit to customers.

ā€œCustomers can purchase and use the features they want, when they want. At the same time, customers who do not want the feature can stop using the feature without incurring any further costs. Being able to… pay for what you use is the service that is possible through software defined vehicle technology,ā€ journalists were told.

ā€œWe will announce when the subscription-based features will be applied… as they are confirmed.ā€

While Hyundai hasn’t specified which types of features will fall under the subscription model, the potential for extra costs to be passively incurred through manufacturing unnecessary features has been widely condemned earlier this year when it was leaked that BMW is considering a subscription model for some of its features.

Examples raised by critics include scenarios such as a vehicle fitted with heated seats or a range of parking sensors that the owner isn’t paying to use have still been fitted with the physical elements to allow their use. The cost of manufacturing is then passed on to the customer regardless.

Additionally, the customer must continue to incur costs for vehicle features previously paid for upfront, as will future owners. The system also relies on continued operation and support of the platform on which subscriptions are paid for.

While it’s unlikely we’ll see Kia Picanto owners being widely fitted with expensive features to go unused anytime soon, HMG has confirmed it will begin offering feature-on-demand services from 2023.

ā€œThis will give customers the ability to select and purchase functions and features that meet their needs and tastes, and the freedom to create vehicles that best match their lifestyles.ā€

Chris Thompson
Senior Journalist
Racing video games, car-spotting on road trips, and helping wash the family VL Calais TurboĀ as a kid were all early indicators that an interest in cars would stay present in Chris’ life, but loading up his 1990 VW Golf GTI Mk2 and moving from hometown Brisbane to work in automotive publishing in Melbourne ensured cars would be a constant. With a few years as MOTOR Magazine’s first digital journalist under his belt, followed by a stint as a staff journalist for Wheels Magazine, Chris’ career already speaks to a passion for anything with four wheels, especially the 1989 Mazda MX-5 he currently owns. From spending entire weeks dissecting the dynamic abilities of sports cars to weighing up the practical options for car buyers from all walks of life, Chris’ loveĀ for writing and talking about cars means if you’ve got a motoring question, he can give you an answer.
About Author

Comments