Unless you spend all of your leisure time in front of a computer online instead of a TV set you have probably been exposed to the ad campaign for the OnStar(tm) "telematics" system from General Motors. Launched quietly in 1996, available then as an expensive option on only a handful of luxury models, this in-vehicle safety, security and informational system has become standard equipment on 32 different GM models, and will soon be added to several other vehicle makes as well. Since this system's introduction it has steadily grown in popularity, so I thought it might be helpful to potential users to provide an in-depth look at this service.
Let me begin with a little history regarding OnStar(tm) and the technologies used to support it. It was launched on three Cadillac models as a dealer-installed option. That initial system consisted of a cellular phone handset, integral to the vehicle, with a dedicated "OC" button on it. Pressing this button would quickly put the driver in touch with the "OnStar(tm) Center", a 24/7/365 monitoring facility ready to provide directions, remote door unlocking service, and rudimentary location specific data such as the nearest ATM or restaurant. Those first systems typically sold for around $900, not including installation, and carried a $22.50/mo. subscription charge. Also, they required a separate agreement with a cellular service provider for the phone. This all combined to make this new puppy a fairly expensive proposition. Due to this high cost and the "newness factor" even well-heeled new Cadillac buyers were slow to respond to this latest whiz-bang technological offering. Of course, 1996 was also brought on the cellular phone explosion that continues still. Even while this initial OnStar(tm) introduction was taking place, the idea of having a cellular phone permanently connected to the vehicle was losing favor with consumers.
GM continued their very low-key launch strategy in 1997, sticking to only the three highest-dollar Cadillac models, and then only as a dealer installed option. It is important to note that one of the reasons for such a limited rollout was that the majority of vehicle platforms at that time were not yet compatible with the more complicated requirements of the OnStar(tm) system. Installation of the system, then and now, requires connection to various vehicle systems for support, as well as the presence of a special computer chip embedded in the electronics of the vehicle. GM only began installing this chip on certain Cadillacs in 1996, and then not on the rest of the GM line until 1998. This last statement helps to explain why in 1998 GMs rollout strategy for OnStar(tm) changed dramatically when the option suddenly became available on 24 different vehicle models, spanning nearly all of GM's divisions: Buick, Chevrolet, Cadillac, Oldsmobile, Pontiac, and GMC.