In-Car Advertising and Subscriptions: The Latest Cash Grab from Automakers or a Glimpse Into the Future?

Automakers Are Testing In-Car Ads—and People Are Not Happy

In 2024, Ford filed a patent for an "in-vehicle advertisement presentation system" that would use data from GPS, voice commands, and even in-car conversations to serve targeted ads. That’s right, Ford patented the right to listen to your in-car conversations and juice it for not only advertising dollars but everything they could possibly desire to do with it. While Ford claims that filing a patent doesn’t necessarily mean it will implement the technology, drivers are skeptical.

Meanwhile, Stellantis-owned Jeep has already introduced pop-up ads on infotainment screens for several years, pushing drivers to extend satellite radio subscriptions, among other things. As reports surface of drivers encountering pop-up ads on infotainment screens—and with manufacturers patenting new ways to serve targeted advertising—the backlash is growing.

Why This Matters

• Distraction: In-car ads could create dangerous distractions, forcing drivers to interact with them while moving.

• Privacy Concerns: Patents suggest manufacturers could analyze conversations or track destinations to serve targeted ads.

• Consumer Backlash: People are rejecting ads in vehicles they already paid for, leading some to swear off certain brands.

Beyond Ads: Subscription Models Force Drivers to Pay to Unlock Features They Already Own

Automakers have also experimented with subscription-based vehicle features. Instead of simply selling a car with all its capabilities, manufacturers like BMW, Toyota, and General Motors have attempted to charge monthly fees for essential functions, such as heated seats (BMW), Remote start (Toyota), Navigation and safety features (GM, Tesla).

Consumers have pushed back hard. BMW was forced to reverse its $18/month heated seat subscription after global backlash. Tesla, Toyota, and GM have also rolled back some paywalled features due to customer complaints. Nissan got pushback for its creepy data collection as well. But that doesn’t mean these companies are prepared to stop inching their way into our private lives just because the initial roll-out flopped.

Why Automakers Are Doing This

The average car on the road today is over 12 years old according to S&P Global Mobility, meaning automakers are starving to find new ways to generate revenue beyond selling new vehicles. Instead of lowering costs of the vehicles to meet consumers where they are today, they’ve decided software subscriptions could offer an enticing solution to their profitability dilemma.

For the business this results in predictable recurring revenue – Instead of relying on new car sales, manufacturers can charge customers indefinitely. They’ve claimed that this could lower production costs because every car can be built the same, and features can be activated remotely for those willing to pay. We’ve always had different trim packages but none that are subscription based. Perhaps all of this is just a big psyops with automakers market testing, experimenting with pricing models to see what consumers will tolerate. However, it’s clear that we’ve already seen that just because something is profitable doesn’t mean it’s a good idea.

Are We Headed for an Inescapable Data-Pocalypse?

The dystopian future of in-car advertising and data collection may already be unfolding and it feels like we’re out of control despite being the people who purchase the vehicles. Some Reddit users have speculated about how far automakers might take this:

This might sound far-fetched, but consider this:

• Tesla already offers paid software unlocks for range and performance upgrades.

• Nissan’s privacy policy reserves the right to collect and share sexual activity, health data, and genetic information.

• Chinese automakers like Nio and Ora have implemented eye-tracking technology to monitor drivers.

With all these pieces in place, a world where cars force-feed you ads based on eye-tracking data doesn’t seem so unrealistic. And worse yet, what about when cars drive themselves—either fully or semi-autonomous? Will we just be living in a rolling, tech-enabled living room?

What Happens When Cars Drive Themselves?

Right now, drivers still need to pay attention to the road, limiting how much interaction they can have with infotainment systems. But what if the car drives itself? No matter how far out this may seem we’re already seeing it rolled out in small testing areas.

🚗 The future could look something like this:

• Your car is no longer just a means of transportation—it becomes a portable entertainment hub.

• Instead of driving, you and your passengers watch movies, play games, or even work while the car handles everything.

• Advertisers capitalize on this by offering a free ride in exchange for watching ads, much like free mobile games.

• Subscription models shift from unlocking car features to tiered access to different experiences (e.g., ad-free rides cost extra).

Tesla is already pushing this idea. Their screens are big enough to be a small TV monitor. Its cars can run streaming apps like Netflix and YouTube while parked. Is it that big of a leap to say when you no longer have to drive these screens stay on during fully autonomous travel? Would we even care about in-car ads anymore if driving was no longer our responsibility?

If, or perhaps when, self-driving cars become the norm, in-car advertising and other entertainment features or subscriptions could shift from being an annoyance to just another form of passive entertainment. Will people hate it then?

Final Thoughts

Cars are no longer just machines—they are turning into digital platforms with a wealth of opportunity for innovation. While this can provide benefits like over-the-air updates and improved features for service, it also opens the door for aggressive monetization and corporate profit grabbing. In-car advertising and subscriptions may be profitable for automakers, but they come at the cost of consumer trust, safety, and overall driving enjoyment. At least thus far.

If cars do become fully autonomous, the way we think about vehicle ownership—and what we tolerate inside our cars—could change forever. Will we accept a world where free transportation means sitting through ads? Will vehicles require subscriptions to enjoy all of the features we’ve been provided upon purchase? Or will people demand vehicles that let them simply enjoy the ride?

What Do You Think?

Would you tolerate ads in exchange for cheaper or even free autonomous rides? Or do you believe cars should remain ad-free spaces? Join the conversation in the comments below.