The Car Worthy Of Your Digital Trust
Trust is an ephemeral, amorphous descriptor of consumers' behaviors, which in days of old would've ... More been described generically by "quality" but now has multiple words to describe it.
Thirty years ago, the word 'trust' was invoked in automotive realms only when gauging the vehicle's overall quality. Yes, reliability or quality were consistently amongst the top five drivers of purchasing decisions in 1995 (along with price, safety, brand, and styling), but there weren't multiple definitions of trust and few quantifications beyond JD Power's Initial Quality Survey (IQS) or recalls.
Then in 1995, the mass-produced, connected car became a reality with the launch of OnStar, and both the opinion of trust and the nomenclature expanded. In a recent study by Perficient, manufacturers of connected products ranked trust as the absolute lowest of influential factors for a customer's purchase decision, whereas consumers ranked it the highest, and commercial users ranked it the second highest. 'It's alarming that the manufacturers and their customers don't value trust in the same way,' summarizes Jim Hertzfeld, the Area Vice President for Strategy at Perficient.
And just like the number of words describing snow in Inuit and Yupik (a.k.a. 'Eskimo'), the societal focus on automotive trust is birthing a combination of prefixes to articulate nuances about how the noun feels. A few possible prefixes defined herein shall explain a portion of the perplexing landscape: Fail-forward (trust), Cyber (trust), Personal (trust) and Nightingale (trust).
MARCH 2025: The OTA & Software Updates Guide graphs the global software reflash capability versus ... More the frequency it's exercised, thereby demonstrating a difficult balance between consumer experience, trust, safety and technology enablement. Genesis is the only brand in the corner marked 'Safe & Trusted'.
In a now famous, previously-internal corporate mantra, Mark Zuckerberg (CEO and co-Founder of Facebook), coined the phrase 'Move fast and break things.' To some extent, this has been the mentality of Silicon Valley's influence on software development over the past 5-10 years: don't worry over pesky defects since more and more vehicles – just like cellphones – can reflash all of the software post-production and, therein, fix any launched mistakes. Fail forward.
This Over-the-Air (OTA) capability of reflashing is arguably the most confusing of the trusts since it invokes one of two opposing reactions from consumers: faith in software prowess (e.g., the automaker has impressive development capabilities that will defend me) or misgivings about bad behavior (e.g., laziness of upfront rigor via 'We'll fix it later' mentality).
'There's still a wide span of capabilities in the marketplace for Over-the-Air updates and conscious choices to be made on how frequently each automaker chooses to exercise it,' states Jeffrey Hannah, Chief Commercial Officer of SBD Automotive, an independent automotive technology research and strategy firm that tracks such automotive reflashing. 'This is really an evolving area of confidence which sits between the manufacturer and end consumer.'
'We have seen a noticeable uptick in initial quality problems, especially in software,' states SBD's North American Director, Alex Oyler, 'It is enabling bad behavior. What's happening below the surface there is that [automakers]
are trying to increase the cadence of product development to launch new products, but they haven't been able to simplify the complexity out of their business.'
The global digital footprint continues to be hacked around the world with increasing regularity, yet ... More cyber trust remains an expectation of customers.
The most ephemeral of the earned faiths is cybersecurity trust since all parties understand that new threats evolve every day, that any well-funded hacker can penetrate even the securest of designs, and that global automotive attacks continue to rise. And yet the customer's expectation is quiet, bulletproof protection.
To sustain that confidence, the automaker must pivot by utilizing that same reflashing capability. 'You are no longer necessarily building a vehicle for all of what it shall be able to do for its entire life,' states Bill Mazzara, the Society of Automotive Engineers (SAE) Chairman of the Vehicle Electrical and Hardware Security Taskforce. 'Instead, you're now building for [intended, future functionality] one day. We're headed towards a world where products will get updated, grow, and live their life. Of course, good intent never leads to actual security. Hackers will hack you for your faults in implementation rather than your cult of intent.'
Consumers have an inherent, unspoken assumption that corporations will safeguard their private ... More information, however historically this has not been universally true.
The most obvious trust issue is 'Will the corporations be good stewards of my personal information?' For instance, one recent vulnerability discovered within twelve brands permitted employees and possibly hackers to understand exactly where a vehicle has been over the past year within the accuracy of a parking space.
Some 2024 vehicles from BYD, a leading Electric Vehicle (EV) automaker in China, had internal SIM cards that could transmit audio from inside the vehicle (e.g., the Atto 3) without the driver's knowledge.
And a portion of OnStar's service that enables an insurance discount based upon drivers' habits for safe behavior shall be discontinued in 2025 since numerous privacy complaints, lawsuits, and a Federal Trade Commission ban (for providing precise geolocation data and driving behavior without adequate, affirmative consent) have made the business prohibitive and likely strained trust with some General Motors's customers.
These are just a few examples from the past year, let alone the last thirty.
On the positive side, digital information has the ability to provide an additional safety value. OnStar had a long-standing ad campaign called 'Real Stories' – and still has a devoted website – which featured customers' real-world accounting for technology saving their lives. Additional, innovative post-crash services have been birthed using digital information to improve the outcomes of the crash's victims.
Even from a preventative standpoint, a whole sector of product development called Advanced Driver-Assistance Systems (ADAS) relies upon digital information going to and from the cloud to improve maps, algorithms, responses, etc.
Yes, akin to Florence Nightengale, the social reformer, statistician and founder of modern nursing, the vehicle's flow of information can provide a heathier outcome and, therein, improve the digital trust.
This discourse probably confuses and frustrates the reader even more. 'Which ONE vehicle can I trust? How do I parse through this to make a buying decision?'
I'd love to give you the decoder ring or point you to the window sticker's 5-star rating for trust. But they don't exist. And it would be outdated tomorrow.
Here's my best advice: watch the number of software recalls. If a brand has to keep cleaning-up its messes, it obviously hasn't figured out how to prevent the messes.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
an hour ago
- Yahoo
Billionaires like Mark Zuckerberg and Jay-Z use mortgages — here's why
For many people, the only way to afford a home is to finance it with a mortgage and pay off that loan over time. In March 2025, the national average home price was $678,331 according to the Canadian Real Estate Association. Given that the median the median after-tax income of Canadians was $74,200 in 2023, it's easy to see why the typical working Canadian can barely afford a down payment on a home today, let alone the entire cost in one fell swoop. But uber-wealthy folks are in a different position. Those with billions of dollars to their name can buy a home outright rather than take out a loan. Yet celebrities like Mark Zuckerberg, Elon Musk and Jay-Z have all made headlines for taking out multimillion-dollar mortgages — not out of necessity but to reap a couple of key benefits. Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich — and 'anyone' can do it 5 essential money moves to help boost your net worth today — here's how to up your money game in 2025 (and you can complete each step within minutes) Are you rich enough to join the top 1%? Here's the net worth you need to rank among Canada's wealthiest — plus a few strategies to build that first-class portfolio Someone with billions to their name might not worry about cash flow, but taking out a mortgage can be a strategic move to maintain liquidity and keep cash available for other investments, rather than tying it up in a relatively illiquid asset like real estate. Take Hollywood power couple Jay-Z and Beyoncé, for example. Despite their estimated combined net worth of US$1.6 billion in 2017, they secured a US$52.8 million mortgage to purchase an US$88 million hillside estate in Los Angeles, according to the L.A. Times. There could be major benefits for Beyoncé and Jay-Z, depending on how their portfolio is allocated,' Robert Cohan, managing director at Carlyle Financial, told Business Insider. 'A mortgage gives them financial flexibility, and they have the ability to pay it off whenever they choose. You can still land an affordable mortgage rate even if you don't fall in the category of the elite 1%. The key is to not accept the first offer on the table — and to shop around and get quotes from at least two-three lenders. According to a study conducted by LendingTree, 45% of homebuyers who received more than one mortgage rate quote got a lower rate when they shopped around. Read more: Here are — and very quickly regret. How many are hurting you? Someone who's a billionaire a couple or several times over may not have to worry so much about cash flow. But borrowing for a home allows them to hang onto their cash for other purposes. Remember, unlike stocks, which can be bought and sold in an instant, homes are a highly illiquid investment. So rather than tying up hundreds of thousands of dollars or more in a home, the wealthy might instead keep their money readily available and simply make payments they can easily afford on a loan. If you've been locked in at a higher fixed rate for the last few years, you might be able to get a lower rate when it's time to renew your mortgage. While it may be convenient to automatically renew with your current lender, it often pays to shop around for the best deal. Purchasing additional properties for rental or investment income can be a hassle. Beyond ongoing maintenance and property taxes, there's also the added burden of managing tenants and the responsibilities that come with being a landlord. Instead of purchasing real property, investors interested in real estate exposure can include real estate investment trusts (REITs) as part of their investment portfolio. Read More: To find the best REIT options for your investment portfolio. 1. Canadian Real Estate Association: Canadian Homes Sales Drop as CREA Downgrades 2025 Forecast 2. Statistics Canada: Canadian Income Survey, 2023 I'm almost 50 and don't have enough retirement savings. What should I do? Don't panic. Here are 6 solid ways you can catch up Warren Buffett's Berkshire Hathaway bought nearly 26 million shares of this Canadian company in 2024 — here are 3 ways to help you invest like the Oracle of Omaha What would you do if you had an emergency vet bill worth $5,000 tomorrow? Here's how to protect your furry friend (and keep your wallet intact) Billionaires like Mark Zuckerberg and Jay-Z have taken out mortgages for homes they can easily afford — here's why This article provides information only and should not be construed as advice. It is provided without warranty of any kind. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
7 hours ago
- Yahoo
Is META Stock a Buy, Sell, or Hold as Meta Platforms Launches New v-JEPA 2 AI Model?
As the artificial intelligence (AI) race accelerates toward advanced machine intelligence (AMI), tech giants are pushing boundaries to create agents that can reason more like humans. A key piece of this puzzle is physical reasoning, essential for AI systems to navigate and act within the real world. Meta Platforms (META) has stepped into this frontier with the launch earlier in June of its Meta Video Joint Embedding Predictive Architecture 2 (V-JEPA 2), a powerful video-based world model that helps machines anticipate how the physical world behaves. Unlike language-only models, V-JEPA 2 learns from video data to predict object dynamics and human interactions using latent-space simulation. It allows robots to 'think before they act,' performing tasks like picking up and placing objects in unfamiliar environments. Ditch Big Tech and Buy These 3 Popular Stocks in 2025 Instead Dear Nvidia Stock Fans, Watch This Event Today Closely Can Broadcom Stock Hit $400 in 2025? Tired of missing midday reversals? The FREE Barchart Brief newsletter keeps you in the know. Sign up now! Meta's bold move also includes new benchmarks to accelerate physical reasoning research, plus, a reported $14.3 billion investment in Scale AI, signaling CEO Mark Zuckerberg's intent to anchor AI deeply into Meta's ecosystem. But does this push into physical AI make META stock a buy, or should investors wait on the sidelines? Meta Platforms (META) has grown from a college social network into a global tech powerhouse, redefining how billions of people communicate. The California-based tech titan now oversees a sprawling digital empire, anchored by social media giants such as Instagram, WhatsApp, and Messenger, and is charging ahead into the future with ambitious bets in AI, augmented reality, and the metaverse. What began with a newsfeed has evolved into a full-scale push to shape how humans and machines interact in the next era of connectivity. That future-facing focus seems to be paying off. Meta's shares have surged more than 700% over the past decade. In 2025, META has so far delivered a standout 21% YTD gain, and over the past year, the stock has skyrocketed 38.8%, handily beating not just some of its tech peers, which flinched under pressure, but also the S&P 500 Index's ($SPX) returns. The surge was fueled by rising ad revenues, deeper AI integration, and investor faith in its metaverse roadmap. Meta's Q1 2025 earnings report, released on April 30, came out swinging, crushing expectations and fueling a 4.2% jump in the stock the very next day. Revenue climbed 16% year over year to $42.3 billion, beating Wall Street's estimate of $41.4 billion. But the real knockout punch came from EPS, soaring 37% to $6.43, 23.2% higher than forecasts. Meta's ad engine is still humming, with impressions up 5% and the average price per ad jumping 10%. User growth remains rock solid too, as, in March, daily active users across the company's app family reached 3.4 billion, up 6% year-over-year. Meta tightened the screws on costs and it paid off. Its operating income surged 27% to $17.56 billion, lifting margins to 41%. Plus, with $70.2 billion in cash and marketable securities and just $28.8 billion in long-term debt, Meta heads deeper into 2025 with a strong balance sheet and momentum on its side. CEO Mark Zuckerberg highlighted AI as the driving force behind the company's renewed energy, particularly Meta AI and its growing line of smart glasses. Meta AI has already hit nearly 1 billion monthly users. But the real story may be what's next. Looking ahead, management anticipates Q2 revenue to be between $42.5 billion and $45.5 billion, signaling continued strength. Plus, with capex now projected to be between $64 billion and $72 billion for 2025, Meta is going full throttle into AI infrastructure and next-gen computing. Analysts monitoring the social media company project its revenue for Q2 to be around $44.5 billion, and EPS for the quarter is anticipated to rise by 11.4% year over year to $5.75. Looking further ahead to fiscal 2025, the bottom line is expected to climb to $25.25 per share, up 5.8% annually. AI-driven robotics and autonomous systems are reshaping industries - from logistics to consumer tech - with speed and adaptability becoming the new gold standard. Meta's V-JEPA 2 steps into this evolving space as a potentially disruptive force. What truly elevates V-JEPA 2, however, is Meta's decision to open-source the framework. By releasing code, benchmarks, and training data, Meta is fostering a collaborative ecosystem, one that could fuel innovation far beyond its own walls. Yet this openness is a double-edged sword. It lowers barriers for startups but also gives its competitors access to refine their systems faster. For Meta, the model is a strategic leap, but long-term success depends on how well it is integrated, scaled, and monetized. Meta's ambition to dominate AI just got Wall Street's nod. Recently, Bank of America hiked its price target to $765, citing easing macroeconomic worries and expanding valuations. Buzz around Meta's roughly $14.3 billion Scale AI investment only adds fuel, signaling Zuckerberg's intent is to lead the AI race, not follow. Wall Street has got its foot on the gas for Meta. The stock holds a 'Strong Buy' consensus, signaling full-speed-ahead confidence in its trajectory. Of the 54 analysts offering recommendations, 45 are giving it a solid 'Strong Buy,' three advise a 'Moderate Buy,' four suggest a 'Hold,' and only two advocate a 'Strong Sell.' META's average analyst price target of $711,88 implies modest 2.4% potential upside. However, the Street-high price target of $935 suggests that the stock can still rally as much as 32% from here. On the date of publication, Sristi Suman Jayaswal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
7 hours ago
- Yahoo
This Growth Stock Has Soared 8x Over the Last 10 Years -- and It's Still a Screaming Buy
Meta Platforms' advertising success has enabled it to deliver impressive gains. The stock should have tremendous growth prospects over the next 10 years, thanks largely to AI. Meta faces regulatory and competitive challenges, but should remain a winner for investors. These 10 stocks could mint the next wave of millionaires › What would you consider to be an attractive return on investment? Fifteen percent annual returns? Or maybe 20%? Plenty of stocks can deliver such gains over the short term. But doing it over a longer stretch thins out the herd considerably. However, I can think of one growth stock that has been an even bigger winner. Meta Platforms (NASDAQ: META) has soared 8x over the last 10 years, translating to a compound annual growth rate of around 23%. Even better, this high-flying stock is still a screaming buy with the potential to go much higher. I can sum up the reason for Meta's huge gains over the last decade in one word: eyeballs. The company's family of apps -- primarily Facebook, Instagram, Messenger, and WhatsApp -- continues to attract an increasing number of users. And those users represent a massive audience that advertisers want to reach. In March 2025, an average of 3.43 billion people used at least one of Meta's four key apps daily. Two things stand out to me about this number. First, it represents nearly 42% of the world's population. Second, it's 6% higher than the level from the first quarter of 2024. This audience is becoming increasingly valuable to advertisers, too. Meta's average price per ad rose by 10% year over year in the first quarter of this year. The combination of more users and higher ad prices helped grow the company's revenue in Q1 by 16% year over year. On a constant-currency basis, that growth would have been 19%. And there's more. Meta has focused on improving profitability even while investing heavily in research and development for its Reality Labs segment. Over the last 10 years, the company's earnings on a trailing 12-month basis have skyrocketed by roughly 2,330%. I think Meta Platforms stock is still a screaming buy because the company has tremendous growth prospects over the next 10 years. Much of this growth will come from advertising. Meta is using artificial intelligence (AI) to improve its ability to target the customers that will be most interested in products offered by advertisers. The company's goal is to develop agentic AI that can handle the entire advertising process -- from creating ads to targeting prospective customers -- and deliver greater returns on investment. Expanding the audience for those advertisers is another major priority. Threads, Meta's newest social media app, is one way it's achieving this objective. The app now has more than 350 million monthly active users. Meta is also focused on creating more engaging experiences that attract and retain users. It's deploying AI to generate content that's personalized for users, and CEO Mark Zuckerberg thinks that interactive content will be available in the near future. I also predict that Meta's smart (internet-connected) devices will become increasingly important to its success over the next decade. AI glasses could be the game changer on this front. Zuckerberg said in Meta's Q1 earnings call, "Glasses are the ideal form factor for both AI and the metaverse. They enable you to let an AI see what you see, hear what you hear, and talk to you throughout the day." He added, "More than a billion people worldwide wear glasses today, and it seems highly likely that these will become AI glasses over the next 5 to 10 years." Two main obstacles could get in the way of Meta being the winner that I think it will be in the coming years. First, regulatory agencies in various countries could slow Meta's growth. For example, the European Commission recently announced that the company's subscription for its no-advertising model isn't compliant with the Digital Markets Act (DMA). Meta plans to appeal this decision. However, it could still be forced to modify its model somewhat to comply with DMA, and this could hurt the company's European revenue growth. Second, Meta faces stiff competition. The company has benefited to some extent from TikTok's troubles in the U.S., but TikTok remains a formidable rival. Several companies with deep pockets are also targeting AI glasses, including Alphabet's Google and Apple. There's no guarantee that Meta will be as successful as I expect in this market. However, Meta has dealt with regulatory and competitive challenges pretty well in the past. I suspect it will continue to do so in the future. Although I wouldn't bet on another 8x gain over the next 10 years, this growth stock should still deliver impressive returns. Ever feel like you missed the boat in buying the most successful stocks? Then you'll want to hear this. On rare occasions, our expert team of analysts issues a 'Double Down' stock recommendation for companies that they think are about to pop. If you're worried you've already missed your chance to invest, now is the best time to buy before it's too late. And the numbers speak for themselves: Nvidia: if you invested $1,000 when we doubled down in 2009, you'd have $402,034!* Apple: if you invested $1,000 when we doubled down in 2008, you'd have $38,158!* Netflix: if you invested $1,000 when we doubled down in 2004, you'd have $704,676!* Right now, we're issuing 'Double Down' alerts for three incredible companies, available when you join , and there may not be another chance like this anytime soon.*Stock Advisor returns as of June 23, 2025 Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Keith Speights has positions in Alphabet, Apple, and Meta Platforms. The Motley Fool has positions in and recommends Alphabet, Apple, and Meta Platforms. The Motley Fool has a disclosure policy. This Growth Stock Has Soared 8x Over the Last 10 Years -- and It's Still a Screaming Buy was originally published by The Motley Fool Connectez-vous pour accéder à votre portefeuille
