#580 -🕵️‍♀️💻🗺 Smart Car Privacy

TOGETHER WITH

Court cases, tax hikes, and Q4 (oh my).

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BUSINESS

News and Updates

Privacy Concerns Amid Advanced Tracking

Remember when our phones flipped and did whatever we told them? Now they got ideas of their own and are often "smarter" than their users. Cars are heading down the road to personal computing, and privacy keeps coming up in the "How smart is too smart?" conversation. 

• 📍 Tech-Enabled Tracking: Advanced features in vehicles like location tracking and remote control, raising concerns about misuse for stalking, as evidenced by a recent legal case.

• 🛡️ Privacy Protections: Companies like GM and Rivian are developing features to mask vehicle location, acknowledging the need for safeguards against technology being used for unintended purposes.

• 📜 Policy & Responsibility: The case underscores the broader industry challenge of ensuring advanced automotive technologies serve user safety and privacy, prompting calls for clear policies and protections against misuse.

Kentucky's EV Tax

In a surprising move, Kentucky levels two new taxes on electric vehicles, sparking debate over fairness and the future of eco-friendly transportation.

• 💸 Heavy Taxing: Kentucky introduces a $120 annual EV registration fee plus an additional 3 cents per kilowatt-hour tax on public charging, disproportionately affecting EV owners compared to their gas-powered counterparts.

• 🚗 Public Charging Pinch: The new tax structure places a heavier burden on apartment dwellers and frequent commuters who rely on public charging, potentially discouraging EV adoption.

• 🌎 Industry Impact: As Kentucky positions itself as an EV manufacturing hub, these taxes raise questions about the state's commitment to fostering a cleaner automotive future and the overall impact on residents' health and the local environment.

Taxing unfavored choices has always been the US government's way of putting guardrails on individual freedoms. It keeps the people who can afford it from banding together with those who can't. 

Rivian's Q4: Production Up, Deliveries Dip

Rivian had a tumultuous year-end. Somehow, they got their production up to snuff just as their deliveries bit the dust.

• 📉 Delivery Downturn: Despite increasing production to 17,541 EVs, Rivian's Q4 deliveries fell by 10% to 13,972 vehicles, slightly missing market expectations and impacting its stock value.

• 🚀 Production Peak: Rivian exceeded its full-year production guidance, manufacturing 57,232 vehicles in 2023, showcasing its growing manufacturing capabilities amid industry challenges.

• 💰 Financial Fortitude: Amidst concerns over financial health and cash burn, Rivian introduced leasing options and secured enough funds to sustain operations through 2025, reflecting a strategic push to maintain momentum and customer interest.

Usually, "win some, lose some" is used in reference to different events. Rivian managed to do both at the same time. #inspiring

Tesla's 2023 Overview

Despite losing the crown for global EV sales to BYD, Tesla overcame some rough obstacles in 2023. Not as many obstacles as Twitter, or sorry "X," but obstacles nonetheless. 

• 📈 Record Deliveries: In 2023, Tesla delivered 1.81 million vehicles, a 38% increase year-over-year, primarily driven by the Model 3 and Model Y, showcasing its continued dominance in the electric vehicle market.

• 🇳🇴 Norwegian Niche: Despite union conflicts, Tesla extended its lead in Norway, capturing a 20% market share with EVs taking 82% of new car sales, demonstrating strong consumer preference amidst efforts to phase out petrol and diesel vehicles.

• 🇸🇪 Swedish Surge: Amidst union actions in Sweden, Tesla saw a 9% increase in new registrations in December, with the Model Y leading annual sales, indicating resilience and growing popularity even as it faces operational challenges in the region. 

TOGETHER WITH AUTOMOTIVEMASTERMIND

2024 Is Here!

2024 is here, y'all! With buyer preferences shifting and new faces in the market, understanding your customers has never been more critical for staying ahead.

Leveraging data from its parent company, S&P Global Mobility, automotiveMastermind is tracking four emerging buyer personas in the market, and tailoring your dealership to their experience is going to determine success in the new year.

Luckily, with the company's Mastermind platform, connecting effectively with each unique shopper is a breeze. Mastermind equips dealers with the insights to understand and engage these varied customers, transforming any potential challenges into opportunities for growth.

Navigate this complex market with ease. Contact automotiveMastermind to help attract and retain buyers in 2024 and beyond! 

DATA & INSIGHT

Automotive Economic Insights

Near Future: January 2024 & Tax Season 2025 Tax brackets are increasing by 5.4%, promising savings across income brackets and enhancing consumer spending power. The IRS's hike in standard deductions anticipates boosting consumer buying power, which is pivotal for the upcoming tax season. Meanwhile, the used car market maintains stable pricing, offering a predictable landscape for immediate strategies.

Mid Future: Throughout 2024, Anticipate potential Federal rate reductions in Q2 and Q4 to counter a mild recession, stimulating the economy and consumer spending. New car sales are expected to remain steady, thanks to a healthy supply and OEM incentives. However, affordability issues may restrain growth, necessitating strategic foresight and planning.

Long Term: Beyond 2024 Prepare for a gradual increase in vehicle acquisition costs as market demand strengthens. A robust tax season is expected to enhance used car sales. Adapting to market shifts now by strategically acquiring inventory could result in significant gains. Conversely, delaying purchases may lead to overpaying later, impacting long-term profitability and market positioning. Stay proactive and informed to navigate and capitalize on these evolving trends.

Shoutout to The Automotive Advisor Team for gathering great data!

TIE CUTTERS

2024 TIME Dealer of the Year Nominee:
Michael Ettleson

Michael Ettleson is up for the big-time TIME Dealer of the Year award, representing Illinois with pride. He's the guy behind Ettleson Cadillac-Buick-GMC and Ettleson Hyundai, keeping the family legacy alive since '68. Michael's all about creating a friendly place where his team can thrive and customers feel like family.

He's not just about cars, though. Michael's big-hearted work with the USO Illinois and Helping Hand shows he's got a soft spot for helping out in the community. His approach is pretty simple: treat folks right, and good things happen.

Kudos to you, Michael Ettleson! The ASOTU team is all smiles about your nomination. You're showing everyone how it's done, in business and beyond!

AROUND THE ASOTU-VERSE

Coming Soon

• FEBRUARY 1 - 4, 2024
  NADA 2024 in Las Vegas
  Are you going to NADA and itching for some eye-catching media coverage? We're your dream team for content creation.

  🎥 Let’s link up 🎥

CULTURE

Spooky Mickey?

Mickey Mouse, the beloved icon, has taken a dark turn as he stars in his own slasher film, "Mickey's Mouse Trap," coinciding with 'Steamboat Willie' entering the public domain.

The film features a killer Mickey haunting an arcade, adding a twisted spin to the character we all know. The movie, directed by Jamie Bailey, reveals its absurdity and promises a chilling blend of horror and dark comedy.

With a tagline like "A place for fun, a place for friends, a place for hunting. The mouse is out," it's clear this isn't your typical Disney fare. As anticipation builds without a set release date, this bizarre reimagining follows the trend of transforming childhood symbols into horror figures, challenging the boundaries of creativity and copyright law.

In the entertainment world, it seems nothing is sacred, not even Mickey Mouse. 🐭🔪 

Quick Hits

• NASA got its first up-close look at Jupiter’s moon “Io.” It’s covered in volcanos. 🌋 

• Bitcoin hits a 21-week high just over $45K. 📈

• Maker of Assassin’s Creed and Farcry, Ubisoft, has a massive say Star Wars Outlaws will release this year. 🪐

• Tired of beans that taste like beans? Apparently, somebody is because a plan to add pig genes to bean plants for tastier fake meat is in the works. 🐖

• Cities across the US are considering abandoning their minimum parking rules. This means parking lots could become apartment buildings and other things at the expense of space to park personal vehicles near them. 👋

Today in History

• 1899: First use of the word “Automobile” in the New York Times. 📰

• 1921: The Studebaker Corporation decided to manufacture farm wagons no longer. This company had been making these wagons since 1852. In 1902, the company began producing electric cars, and then in 1904, they started producing gas-powered vehicles. In 1954, the Studebaker Corporation merged with Packard Motor Company. Production of all Studebaker automobiles officially ended in 1966 in Canada (63’ in the US). 🐴

• 1926: General Motors introduced a new make of car to the market. It was called the Pontiac. 🆕