Tesla Motors Inc (NASDAQ:TSLA), which has been partnering with AT&T Inc (NYSE:T) on 3G and 4G for some time, has just announced a new multi-year exclusive deal with the carrier. According to the press release, the agreement between the two companies will provide a high-speed wireless to Tesla’s vehicles.
AT&T and Tesla partner in connected cars
AT&T’s connection will provide power to the services and features accessed through the 17-inch touch screen included in Tesla’s Model S. Those services and features include web browsing, email, live traffic information, navigation and weather information.
A few months ago, it was revealed that Tesla Motors Inc (NASDAQ:TSLA) had teamed up with AT&T to provide a cell connection inside its vehicles. The 3G or 4G connections utilize a modem and a SIM card and provide easier access for Tesla Motors Inc (NASDAQ:TSLA) to receive diagnostic and performance information on an owner’s Model S. AT&T has been providing cell connections for Tesla’s Model S for some time, although before the announcement in October, the connection was used only for infotainment purposes. Both companies have been working toward improving connectivity in cars, which is blossoming into a growing industry with players like Apple Inc. (NASDAQ:AAPL) and others getting in on the action.
AT&T announces Drive Studio
In addition to the deal with Tesla Motors Inc (NASDAQ:TSLA), AT&T Inc (NYSE:T) also revealed its AT&T Drive Studio, which is a “first-of-its-kind connected car innovation center.” The center has a working lab as well as a showroom which will enable AT&T to build and show off its latest innovations in connected cars. The facility will also serve as a hub for AT&T’s partnerships with Tesla and other automakers.
AT&T Drive is the connected vehicle platform designed by the carrier. It enables automakers like Tesla to select which capabilities and services they want to enable in their cars. It also makes it possible for automakers to set their cars apart from others through the connectivity they offer.