BMW decides heated seat subscriptions are a bust
Enlarge / A BMW worker installs a seat in an i4. The company will no longer install hardware in its cars and then ask for a fee to unlock it at a later date. (credit: BMW)
BMW's experiment with offering in-car subscriptions for hardware features installed at the factory is over. Earlier this week, a BMW board member told Autocar that while it will still pursue some subscription features in the future, those will only be software-based services.
The last decade or so has seen the auto industry get tech fever. Wide-eyed executives and shareholders looked at the profit margins and market value of software companies and their "recurring revenue streams" and decided they wanted a slice of that, particularly since a modern car is just so many computers on wheels now. But it turns out-surprise, surprise-that consumers don't really want any more monthly payments attached to their vehicles.
Indeed, in 2019 BMW earned a degree of consumer distrust after making Apple CarPlay a subscription-only feature for a while before backtracking.