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As automobile technology advances and screens become more ubiquitous in our everyday lives, cars are becoming more like living rooms on wheels—pre-loaded with stuff to watch and games to play. In fact, the passenger vehicle is currently one of the fastest-growing distribution channels for entertainment content.
According to research firm Nova One Advisor, the global automotive infotainment market hit US$15 billion in 2023, and it’s projected to reach around US$38.9 billion by 2033, growing at an annual rate of 10%.
One of the biggest companies looking to monetize this growth is South Korean electronics giant LG Electronics. Though it’s best known for smart TVs and home appliances, LG recently expanded into the in-vehicle entertainment space.
“Our vehicle solutions division is our fastest-growing business, and a key growth engine for the company going forward,” says John I. Taylor, SVP of LG Electronics North America.
LG’s first in-vehicle entertainment system—the webOS-based automotive content platform (ACP)—is the centerpiece of LG’s PlayWare software solution, bringing the brand’s smart TV experience of high-definition content and spatial sound into any vehicle.
Hyundai Motor Group’s new Genesis models were the first to get the ACP system in November 2023. As part of the deal, LG leveraged its existing smart TV relationship with YouTube to bring the app and its raft of kids & family content onto the platform.
“Some of the LG secret sauce is that we are technology leaders in screens, but we also have deep ties in the content community because of our decade of leadership in smart TVs,” says Taylor. “For the in-vehicle space, we want to offer the widest range of content that’s available through smart TVs, with an emphasis on kid- and family-friendly content.”
Since its YouTube deal, LG has added a wide range of popular apps to its ACP, including Netflix, Disney+, TikTok, Baby Shark World for Kids, Stingray Karaoke, games platform Play.Works, free streaming service LG Channels, and casual games El Dorado and Gold Tower Defence.
Locking down mobile education app Baby Shark World for Kids—which features 9,000-plus songs and stories for young learners—was a particularly big get, says Taylor. The first vehicle to include the integrated ACP/Baby Shark World for Kids offering in May 2024 was the Kia EV3 electric SUV. “We’re seeing lots of growth potential for in-vehicle educational kids content, so we’re looking for more of that to diversify our content offerings,” says Taylor.
The addition of Disney+ to the ACP in July 2024 was another key deal for LG. “It’s obviously one of the must-have smart TV apps that delivers incredible content,” he adds. The ACP with Disney+ was first available for vehicles in South Korea and is now set to roll out globally.
The ACP is continuously updated and enhanced to ensure seamless integration with services and applications. The system’s preloaded content varies depending on LG’s deals with content partners and automakers, says Taylor.
Looking ahead, touchscreen games are also on his wish list. “Offering more kids games is part of the plan; we definitely see the growth there.”
As LG continues to increase its in-vehicle gaming and content offerings for kids, Taylor stresses the importance of safe content viewing and compliance with distracted driving regulations.
“Our Parental Lock feature is an important element of the ACP that allows parents to curate what their kids are watching, and is controlled from the front seat,” he says. “And in accordance with driving regulations, the ACP’s content cannot be played on the front seat display while the vehicle is in motion, but the rear-seat display can operate both while driving and when stationary.”
Wheeling and dealing
Another key player racking up partnerships in the automotive and content industries is Tokyo-based software developer Access. In 2018, the company introduced Twine4Car, a content aggregation platform featuring a wide range of apps, TV services, VOD offerings and car-centric information. Designed to be flexible, the platform works on any operating system, including Android, iOS, Linux and QNX-based systems.
Its features include a dedicated in-car app store, synchronized playback for multiple devices, curated recommendations and parental remote control for determining the type of content kid passengers can consume.
Nickelodeon, YouTube Kids and Toon Goggles are among the kids content partners that have already signed on with Access’s Twine4Car system
Access has so far secured Twine4Car deals globally with BMW, and with Chinese car manufacturers XPeng and Great Wall Motor Company for their global export markets, beginning with LatAm and Europe. Agreements are also in the works to include the infotainment system in cars from a number of European and Asian automakers.
The platform has attracted numerous kids content partners, including Nickelodeon, YouTube Kids, Indian OTT platform Voot Kids, gaming app Kidomi and Toon Goggles.
While these services encompass a wide range of kids & family content, educational content and touch-based games are a particular focus for Akbar Syed, VP of automotive product and content at Access Europe. In India, for example, learning apps—especially those featuring student tutors—are a high priority for Access’s vehicle partners. “This is because students in the cities often have long commutes from school to home due to traffic situations, and are using apps to do their homework on the way,” explains Syed.
And since India boasts high content consumption and long travel times, Access is also testing a new in-car monetization model by working with OTT providers to bundle curated content into single in-car subscription offers, giving riders more options if they don’t have subscriptions to specific Twine4Car apps that require them.
The engagement factor
Speaking of new experiments, Mattel also recently joined the in-car entertainment party in an effort to make this kind of on-the-go gaming more of a fun and social experience.
In a partnership with BMW Group and gaming platform AirConsole, the toyco transformed its classic card game UNO into a multi-screen experience for cars. After debuting at Gamescom in Germany, UNO Car Party! (pictured at top) rolled out on the AirConsole platform in more than half a million BMW and MINI vehicles on August 21.
Up to four players can connect to the game using their personal devices, but gameplay can only be enabled when the car is in park.
Though UNO is already a big global brand, Mattel primarily chose it for the project because the game’s social nature and easy-to-learn rules make it ideal for both short- and long-haul road trips, says Erika Winterholler, head of business development for digital gaming at Mattel.
“We could have taken a baby-steps approach because in-car entertainment is a new space, but once we saw what AirConsole could deliver in terms of technology, the game was easy to envision, and that made it easy for us to take the next steps,” says Winterholler.
As it looks to grow in the space, Mattel is trying to be qualitative, not quantitative. “Making sure the experience is authentic and right for the car is likely going to be the driving force for what we look at next,” notes Winterholler.
AirConsole also recently partnered with Volkswagen, which integrated the gaming platform into its new Passat, Tiguan and Golf product lines in select European countries last month.
Overcoming obstacles
LG’s main challenge is balancing the needs of automakers and content partners, says Taylor. “We’re focused on trying to make it easier for the car manufacturers to integrate the ACP into their systems. At the same time, we want to ensure that our content partners can launch their services with minimal and seamless e ort in the automotive space,” he explains.
“So, in some ways, we’re the matchmaker that brings all the stakeholders together, which also represents the biggest opportunity for innovation and growth. As automakers continue to embrace software-defined vehicles in the years ahead, delivering content in compelling ways is going to be increasingly important.”
This story was originally published in Kidscreen‘s Q4 2024 magazine issue.
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