The landscape of connected car technology is shifting once again as Automatic, a prominent name known for its Automatic Car Obd2 dongle, has announced its closure. Citing the ongoing COVID-19 pandemic as the primary reason, the company will be ceasing operations, leaving users of its popular car diagnostic tools in the lurch. Effective May 28th at 12 PM PT, Automatic’s services, including their smartphone app and the OBD2 adapters themselves, will no longer be functional. Customers are advised to dispose of or recycle their devices.
In an official statement posted on their website, Automatic detailed the difficult decision:
“Just like many other companies in the United States, the COVID-19 pandemic has adversely impacted our business. With fewer consumers purchasing and leasing vehicles and drivers on the road, we unfortunately do not see a path forward for our business. These are unprecedented times, and with so much uncertainty ahead, we have made the difficult decision to discontinue the Automatic connected car product, service and platform.”
This announcement marks a significant downturn for a company that was once at the forefront of bringing vehicle diagnostics and connectivity to everyday drivers. Automatic’s journey began in 2013 with the introduction of the Automatic Link, their first-generation OBD2 dongle. Priced at $100, this device allowed users to track trips, monitor fuel consumption, and access basic car diagnostics via their smartphones. While the initial diagnostic capabilities were somewhat basic, it represented a significant step towards democratizing access to vehicle data.
Building upon this foundation, Automatic launched a second-generation adapter a couple of years later, accompanied by an app store ecosystem. This expansion aimed to enhance the functionality and versatility of their automatic car OBD2 devices, offering users a wider range of features and integrations. However, in a move that frustrated some users, Automatic announced last spring that it would discontinue support for both its first and second-generation adapters, rendering their associated apps obsolete. This earlier decision foreshadowed the current complete shutdown, suggesting underlying challenges beyond just the immediate impact of the pandemic.
The closure of Automatic highlights the wider economic repercussions of the COVID-19 pandemic, which has forced companies across various sectors to reassess their business models and sustainability. While some companies have opted to delay product launches or shelve projects temporarily, Automatic’s situation represents a complete cessation of operations, a stark reminder of the pandemic’s profound impact on the business world. The automotive industry, in particular, has faced significant disruptions in supply chains, manufacturing, and consumer demand, creating a challenging environment for companies reliant on vehicle sales and usage.
For users who have integrated their Automatic accounts with third-party applications, continued access will be available until June 28th. Furthermore, users with connected PayTollo accounts will receive specific instructions from PayTollo regarding their services. As Automatic’s journey comes to an end, it serves as a case study of the volatile nature of the tech industry and the unforeseen challenges businesses can face, even those with innovative products like the automatic car OBD2 dongle that once promised to revolutionize vehicle ownership and maintenance.
