The Hyundai Blue Link lawsuit involved a dispute between Hyundai Motor America and Verizon regarding the termination of 3G service for Hyundai’s Blue Link telematics system.
Background
Hyundai’s Blue Link system allows Hyundai vehicle owners to remotely connect to their cars using a smartphone app or website. The system offers a variety of features, including remote start, lock/unlock, and diagnostics.
Originally, Blue Link relied on Verizon’s 3G network for connectivity. However, Verizon announced plans to sunset its 3G network in 2019, which would have rendered Blue Link inoperable for millions of Hyundai vehicles.
Hyundai’s Claims
Hyundai filed a class action lawsuit against Verizon in 2015, alleging that Verizon’s decision to sunset its 3G network was a breach of contract and would cause significant harm to Hyundai. The company claimed that the network shutdown would:
- Render Blue Link inoperable for millions of Hyundai vehicles
- Force Hyundai to incur significant costs to upgrade its Blue Link infrastructure
- Harm Hyundai’s reputation and cause it to lose customers
Settlement
The lawsuit was settled in 2018 for an undisclosed amount. Under the settlement terms, Verizon agreed to:
- Provide Hyundai with a minimum of two years of 3G service after the network was sunset
- Compensate Hyundai for some of the costs associated with upgrading its Blue Link infrastructure
Impact
The Hyundai Blue Link lawsuit highlighted the challenges that automakers face as they transition to new wireless technologies. It also raised concerns about the potential impact of network shutdowns on consumers.
Current Status
Hyundai has since upgraded its Blue Link infrastructure to use 4G and 5G networks. As a result, Blue Link is still operational for most Hyundai vehicles. However, some older vehicles that still rely on 3G may lose access to Blue Link services in the future.
Key Takeaways
- Automakers need to carefully consider the implications of relying on specific wireless technologies, as network shutdowns can have a significant impact on their products and services.
- Consumers should be aware of the potential impact of network shutdowns on their devices and services.
