Smart driving assistant Automatic is shutting down

Automatic, makers of a connected car dongle, emailed customers today to announce that the company will shut down all operations May 28. The company says it’s the casualty of the COVID-19 shutdown.

“Like many other companies in the United States, the COVID-19 pandemic has adversely impacted our business,” it writes, “and we have made the difficult decision to discontinue the Automatic connected car product, service, and platform.”

The information, also posted to the company’s site, notes that service will remain active until the end of day on May 28, at which point its services will cease. That includes crash alerts, location sharing and roadside assistance. The “Log in with Automatic” service and third-party apps will shut down a month later.

Founded in California in 2011, the startup was purchased by satellite radio conglomerate SiriusXM six years later. Automatic’s $100 dongle gained traction for its easy to use car-monitoring system. It launched an SDK for third-party app developers in May 2015, raising a $24 million round the following month. It also managed to partner with a number of key insurance providers over the years, thanks to its ability to offer additional insights into driving habits.

The company came under fire last May after it announced that it would be ending support for the first two generations of its products. As of this May, support will end for the new products, as well. Automatic will be offering some rebates for a limited number of customers. 


Source: TechCrunch

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