If an OnStar-equipped vehicle is in a crash that deploys an airbag, the car itself automatically "calls" the Center and an advisor immediately calls the vehicle to see what kind of assistance is needed. This transformation will bring with it many issues, and safety is one of the biggest. Today, the desire to communicate from the vehicle is so great that more and more drivers are using cellular phones each day. And, they are not always using them in a safe manner. GM is ahead of its competitors in providing safety. .
With the help of OnStar the user do not have to worry about the cell phones. Since Safety is a big issue, it drives the customer to make a powerful decision about buying a car. By introducing OnStar GM is proving to be the best in he industry thus reducing the threat of being behind in competition. Since GM is the leader in using this technology, there will be followers and many companies will end up using this technology. But being ahead in the market GM as a greater advantage. OnStar is the only company that provides GM with this great service, so OnStar is the channel leader and can control the demands. GM and OnStar have a strong relationship, due to this strong bound the image of GM is improving. By providing such high tech services, GM is controlling the decision of the Buyer, with the help of OnStar technology GM is attracting the buyer and promising a strong faithful relationship.
Since research has shown just a few weeks ago, that by the year 2005, the global market for telematics will grow to $8 billion, compared to $1 billion this year, GM with help of OnStar lies in the High Growth and High Potential area on the three generic strategies grid. GM is investing a lot of money in the technological transformation and being very innovative, GM's CEO believes that believe the automobile itself is being transformed into a communications and entertainment platform as well as a transportation platform.