DC Connected Car Raises $2.29 Million for AI-Powered Remote Auto Diagnostics

DC Connected Car has raised €2.1 million ($2.29 million) for its artificial intelligence (AI)-driven remote vehicle diagnostics offering.

The seed funding round, announced last week in a post on the German company’s blog, will help DC Connected Car develop AI diagnostic tools for roadside assistance, warranty and repair.

“AI has the potential to revolutionize various automotive areas that Borusan operates in, such as aftersales, fleets and used car business,” said Timo Kilp, whose Borusan Ventures took part in the funding round.

“We believe DC Connected’s AI-driven digital technician holds significant promise to accelerate the diagnosis and repair of vehicle issues, further enhancing our customer service.”

According to the blog post, DC Connected Car offers a virtual technician platform aimed at easing a shortage of skilled labor in the automotive industry.

“Unlike conventional diagnostic systems, their AI-driven solution delivers automated, intelligent insights into vehicle health and performance, providing real-time problem-solution recommendations,” the post said.

“This approach not only minimizes the need for physical inspections and repairs but also seamlessly integrates into customers’ lives by offering remote support.”

The funding round comes at a time when AI is unlocking potential across the auto industry, as PYMNTS wrote last month.

“The technology has the capacity to transform the sector across vehicle design, manufacturing and customer experience,” that report said.

“By enabling rapid design iterations, virtual testing and optimization of manufacturing processes, generative AI could significantly reduce time to market. It can also enhance personalization, improve safety features and support the development of autonomous vehicles.”

However, that report added, widespread adoption has its challenges, such as accurately predicting performance metrics and ensuring the manufacturability of AI-generated designs, as well as the need to navigate ethical and regulatory environments around the technology’s data privacy and security concerns.

AI is also helping transform the experience of buying and selling a car, Steven Silver, managing director, Automotive, Transportation & Mobility for Publicis Sapient and Publicis Groupe, told PYMNTS in an interview earlier this year.

“Currently, numerous companies are exploring AI’s potential to enhance their operations,” Silver said. “Once integrated and scaled, AI is poised to have a profound impact on the mobility industry. However, business leaders must be willing to embrace AI experimentation. It’s important to capture the opportunity now, rather than wait for perfection and mass adoption.”

He told PYMNTS he foresees two ways AI could improve the customer experience: predictive maintenance and in-vehicle personalization, as well as removing friction from the car-buying journey by giving car dealers market behavior data based on buying patterns across a collection of data points.