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iCar Rumors Spark Driver Interest

Automakers, car stereo manufacturers and third-party electronics firms are trying to make it easier to take your music along for a ride.

By Salvatore Salamone

Posted Feb. 26, 2008, at 1 p.m.

Earlier this year, rumors spread about a possible joint venture between Apple and German automaker Volkswagen AG to build something called the iCar. It was thought to be a Volkswagen car with integrated Apple products, such as the iPod and iPhone.

Volkswagen confirmed that its CEO Martin Winterkorn had indeed met with Apple CEO Steve Jobs, and the two planned to meet in the future to discuss ways the companies could work together. But, at this point, industry experts believe the meeting generated "scores of ideas" rather than any specific plans.

This hasn't kept bloggers and Mac devotees from speculating about possible integrations of Apple products with automobiles. For instance, some envision a car equipped with an iPhone that incorporates the recently launched (and still in beta) Google Maps for mobile, which provides real-time traffic information, detailed directions, maps, satellite images and integrated search, allowing drivers to find local businesses.

Meanwhile, Microsoft and the Ford Motor Co. announced that a number of Ford, Lincoln and Mercury 2008 models would offer Sync, a factory-installed, in-car communications and entertainment system that would allow hands-free phone operation, as well as iPod and MP3 player connectivity. "[This] is what today's generation and today's drivers demand in connectivity," says Derrick Kuzak, group vice president, product development, Ford Motor Co.

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An Ongoing Trend

The notion of integrating an iPod, MP3 player or phone into a car is the continuation of an ongoing industry trend to quickly incorporate new audio technology into vehicles. This has happened with regularity over the years, as automakers added car radios, tape decks (both cassette and 8-tracks) and compact disk (CD) players.

For instance, when CDs became popular, car owners with tape decks could go to an electronics store and buy a Rube Goldberg-like contraption that plugged into a CD player's headphone jack at one end, while the other end was inserted into the car's tape deck.

As iPods and MP3 players grew in popularity, more drivers began taking their music along, just as they did with cassettes and CDs. Last year, the market research firm Harris Interactive estimated that 65 percent of iPod/MP3 owners use the devices in their vehicles.

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In some cases, third parties have jumped in to meet the growing demand. A number of electronics companies offer connectivity kits, such as cassette adapters and products that use FM modulator technology to enable an iPod or MP3 player to broadcast its music over a car stereo.

People can also equip their cars with newer stereo systems, which are offered by both auto manufacturers and third parties. These products offer a range of features, including a simple jack to plug an iPod or MP3 player into the stereo, as well as Bluetooth and USB 2.0 connectivity.

iPod/MP3 integration is certainly catching on. For example, 20 automakers offer some models that allow an iPod to be connected to the car's existing stereo system. Additionally, Apple touts 16 third-party electronics companies — including Alpine Electronics, Kenwood and Pioneer — that offer in-car stereo systems that allow drivers to connect an iPod and play their music through the car's stereo system.

The market for iPods and MP3 players is expected to more than double, from 140 million units in 2005 to 286 million units in 2010, according to the market research firm In-Stat. So, as drivers wait for the car of the future — whether it's an iCar or not — they can enjoy the music stored on their iPods and MP3 players when they hit the road.

Bio: Salvatore Salamone is a senior editor at Ziff Davis Enterprise. He has more than 20 years of experience writing about science and technology for major industry trade magazines and is the author of three business technology books.

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The views and opinions expressed in this article are solely those of the author and not necessarily those of Progressive Casualty Insurance Company or its affiliates.

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