The connected car landscape is seeing a significant shift as Automatic, a company known for its on-board diagnostics (OBD-II) dongle, has announced it is ceasing operations. Citing the adverse effects of the COVID-19 pandemic on its business, Automatic will be shutting down its service, leaving users of its popular Obd2 Automatic adapter in a lurch.
In a public statement posted on their website, Automatic explained 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.” This announcement signals the end for their OBD2 automatic dongle and associated services effective May 28th. Users are advised to dispose of or recycle their devices as the service and platform will no longer be active after 12 PM PT on this date.
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Automatic entered the market in 2013 with its first-generation Automatic Link, an OBD2 automatic device priced at $100. This initial offering allowed users to monitor trips and fuel consumption, although its diagnostic capabilities were somewhat basic. The company later released a second-generation adapter, expanding its features and even launching an app store to enhance user experience. However, prior to this shutdown, Automatic had already caused frustration among its early adopters by announcing the discontinuation of support for their first and second-generation adapters, rendering those devices obsolete.
While the automotive industry has witnessed product delays and project cancellations due to the ongoing pandemic – examples include the postponed Hummer EV reveal and iRobot’s robotic lawn mower project suspension – Automatic’s complete shutdown highlights the profound economic impact of COVID-19. It underscores the challenges faced even by established players in the connected car and OBD2 automatic technology space. As the pandemic persists, more businesses may unfortunately follow suit.
For users who have integrated their Automatic OBD2 automatic data with third-party applications, access will remain available until June 28th. Furthermore, Automatic users with connected PayTollo accounts will receive specific instructions directly from PayTollo regarding their accounts. The shutdown of Automatic serves as a stark reminder of the volatile economic climate and its impact on the automotive technology sector, particularly for services reliant on OBD2 automatic data and connected car functionalities.