What Cadillac learned from the iPhone


Source: Fortune
Author: Doron Levin
Location:
General Motors, Detroit, MI, United States

It sounds like a next-generation iPhone -- voice recognition, multitouch, a slick interface. But it's not. Instead, this is General Motor's upcoming in-vehicle communication system, dubbed CUE for "Cadillac User Experience," due next spring in the company's flagship car, the Cadillac XTS.

And it's the American luxury manufacturer's latest bid to make its mark in the hard-fought and lucrative full-size, high-end sedan market. For years, auto companies have promised the technologies that have become commonplace in people's smartphones would make their way into car dashboards. Until recently, the results have been mixed. Now, high-tech features are increasingly influencing shoppers to choose one model over another. And GM wants in. The company is betting that it can make technology a key differentiator for the XTS, which is likely to compete with some of the most expensive vehicles from the likes of BMW, Toyota, and Mercedes-Benz. "Cadillac wants to bring young buyers to its brand, buyers who already own iPads and know how to use high-tech gadgets," notes Brandy Schaffels, senior editor for TrueCar, an automotive consumer website. "But Cadillac also doesn't want to alienate technophobes" among older, longtime owners of the brand. Indeed, the strategy isn't without risks.

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