MediaPost Publications Hyundai Offers Drivers Pandora On the Go 10/04/2011

The battle between online audio platforms and broadcast radio is heating up, with more and more carmakers unveiling systems that integrate Pandora, the most popular online audio service, for in-car listening.

one of the most recent announcements came from Hyundai, which said its three-door 2012 Veloster, set to reach dealers later this month, will include Pandora integration as a free, standard feature for the Veloster.

The Veloster can integrate Pandora for in-car listening through a pre-installed iPhone hookup, which connects to the dashboard with Bluetooth. this basic setup, relying on the iPhone to facilitate the Pandora integration, resembles systems created by other carmakers to bridge the gap between online and in-car listening.

in an interview with the Los Angeles Times in October 2010, Pandora founder Tim Westergren said: “Our goal is to be in every new car that rolls off the manufacturing line.”

in January of this year, Pandora and Toyota announced that the car maker will integrate the country’s Pandora into Toyota’s “Entune” multimedia system, allowing users to access Pandora via any cell phone with a data plan, including smart and feature phones.

Pandora also has partnerships with Ford and Mercedes, along with radio manufacturers Alpine and Pioneer, whose aftermarket products allow drivers to access Pandora from car dashboards.

however, radio broadcasters aren’t ceding the digital in-car listening battlefield. Radio companies are pushing HD digital radio as a free, uncomplicated alternative to Pandora.

Automakers that have OEM deals to offer HD radio in new models include Audi, Bentley, BMW, Ford, Hyundai, Jaguar, Kia, Land Rover, Lexus, Lincoln, Mercedes-Benz, MINI USA, Rolls-Royce, Scion, Subaru, Tesla, Toyota, Volkswagen and Volvo.

Both HD radio and Pandora also face a growing challenge from satellite radio broadcaster Sirius XM, which continues to count on new car installations as the main engine of subscription growth.