Amazon AWS, Blackberry Join Forces at CES 2020

Blackberry (BB) announced at CES 2020 that it would collaborate with Amazon AWS (AMZN). So, the companies will work together over a software platform for connected vehicles, reported PRNewswire. This platform blends Blackberry’s secure QNX real-time operating system with the AWS’s IoT (Internet of Things) capabilities. Also, this software would enable automobile manufacturers to lay hands on the safe access of data by vehicle sensors.

Additionally, it would aid the manufacturers to code new applications and build machine learning models for connected or autonomous vehicles. Data by vehicle sensors allows the manufacturers to offer vehicle health monitoring, digital cockpits, vehicle tracking, and advanced driver-assistance mechanisms. Blackberry is likely to showcase its complete range of automotive offerings at CES (Consumer Electronics Show) 2020.

Amazon AWS’s other auto collaborations at CES 2020

According to the PRNewswire, vice president of Amazon AWS Technology Bill Vass was very excited about this partnership. He said, “Our automotive customers are developing exciting new products and services that rely on the power of the cloud, IoT, and AI/ML. We are thrilled to be working with BlackBerry QNX to provide secure connectivity and advanced edge computing capabilities for the next generation of electric and autonomous vehicles.”

CES 2020 is an essential platform for Amazon AWS to show its participation in automotive technology. According to Tech Crunch, ZeroLight is working with Cadillac, Amazon Vehicles, and Amazon AWS to showcase a fresh concept for vehicle-shopping. So, this feature would involve the Cadillac XT6. Also, it could offer digital experiences to handhold a customer through each stage of the vehicle purchase.

AWS partners with Lyft

AWS has expanded its foothold in the automotive industry through critical connections in the past. In February 2019, AWS entered into a deal with the ride-hailing company, Lyft (LYFT). Before its IPO, Lyft disclosed in its SEC filing that the deal is worth $300 million through December 2021, noted CNBC. Lyft uses AWS to increase service agility, improve efficiency, and reduce infrastructure costs.

According to CNBC, Amazon said that Lyft is “is leveraging the breadth and depth of AWS’s services, including database, serverless, machine learning, and analytics, to automate and enhance on-demand, multimodal transportation for riders and drive innovation in its autonomous vehicles business,”

AWS joins with Volkswagen and Ford

In March 2019, AWS announced a collaboration with Volkswagen. This partnership aims to streamline the exchange of data across its machines, subsidiaries, and factories. Also, the deal gives enhanced efficiency to Volkswagen ahead of its entry into the electric car segment.

In April 2019, AWS inked a multi-year deal with Ford-backed Autonomic Transportation Mobility Cloud (F) or TMC, reported CRN. Through this deal, Amazon AWS provides the cloud infrastructure for the mass manufacturing of connected-vehicle offerings. Also, TMC is one of the first cloud-based platforms that connects urban mobility systems components, indicated CRN.

The future of autonomous vehicles lies in the adoption of cloud computing. One of the main challenges of connected or driverless cars is to access massive data from various sensors. After that, the data has to perform value-addition and store it in a format ideal for data analytics. In this case, a public cloud is the best storage solution as it offers flexibility, safety, agility, and scale.

Edge computing is preferred over the cloud

However, experts also believe that cloud computing has certain limitations. It suffers from low-latency compared to Edge computing. Latency is the speed for transferring a batch of data from one location to the other. Hence, autonomous vehicles require edge computing for more agility and faster data processing.

In November, George Anadiotis from ZDNet wrote, “We still have some way to go in terms of collecting the data and training the algorithms needed for operational and safe autonomous vehicles, and edge computing hold the key.” Notably, edge computing is a part of AWS offerings.

In December, AWS CEO Andy Jassy agreed to an exclusive interview with Silicon Angle. He admitted the requirement of edge computing. Jassy said, “You’re never going to have enough bandwidth to move the amount of data that you want.” He added, “You have to think about a completely different strategy when you’re talking about data that large.”

Amazon bets big on the transportation industry

In a nutshell, Amazon AWS has a tremendous opportunity ahead. According to Fortune, Brent Thill from Jefferies in 2018 predicted that AWS revenue to reach $71 billion in 2022. This includes providing a segment valuation of nearly $350 billion. Amazon is already making big moves into the autonomous transportation industry. So, it is giving AWS a bigger room for growth.

Amazon is betting big on the transportation industry and wants a large pie of gains. At CES 2020 this week, the company will likely throw more light on its strategy. AWS will be a crucial element in Amazon’s approach to emerging as a strong player in automotive vehicle technology.