June 30, 2021
Welcome to "The Recall Notice," our new monthly blog series where we dive into a specific recall to understand what the problem was, the overall impact and how vehicle-wide OTA capabilities could have avoided it or streamlined the campaign process.
While every automaker strives to manufacture the perfect vehicle, recalls continue to be a painful reality. Last year in the US market alone, the National Highway Traffic Safety Administration (NHTSA) oversaw the recall of around 31 million vehicles (inclusive of both defect and compliance recall types) costing OEMs billions of dollars as well as redirection of resources to administer the recall process and fix in a timely manner.
Fortunately for recalls involving software or Integrated Electronic Components (which account for nearly half of all defect related recall campaigns over the last few years), the use of deep OTA software updates and data collection can lower recall costs via remote fixes and in many cases, offer early detection for overall recall avoidance.
This month, we dive into the 2020 Jaguar F-Type recall published by NHTSA on May 4, 2021.
NHTSA Campaign Number: 21V167000
OEM: Jaguar Land Rover North America, LLC
Components: Service Brakes, Hydraulic, ESC
Estimated Vehicles Affected: 2274
Remedy: Free software update at dealership
Estimated Cost to OEM: $682K - $1.1M
NHTSA recall 21V167 was the result of an issue in the 2020 Jaguar F-Type’s startup sequence. The problem was brought to the manufacturer’s attention in December 2020 when customers began reporting Anti-Lock Brake System (ABS) and Dynamic Stability Control (DSC) issues.
The ABS is designed to prevent the vehicle’s wheels from locking during rapid or sudden braking. This works in conjunction with the DSC which automatically takes control to maintain driving stability in unstable conditions, such as sharp turns, icy roads, and quick stops. Both systems are critical to ensuring vehicle and driver safety and when malfunctioning can increase the risk of a crash.
After an investigation, engineers discovered a time delay in the systems post-ignition diagnostic check. During vehicle startup, the ABS check was taking as long as 25 seconds to reach completion rather than being performed in the allotted 15 seconds. The result was the disabling of the ABS and DSC systems until such a point that the vehicle was restarted.
In response, Jaguar began recalling the 2020 Jaguar F-Type on April 12, 2021. Owners were instructed to take their vehicles to the nearest dealership for a free software update to correct the issue, with the Jaguar reference number H335.
The 2020 Jaguar F-Type ABS recall affected an estimated 2274 vehicles. Along with tarnishing the automaker’s favorable brand image among owners of affected models, recalls impact the manufacturer in several other ways. The OEM must absorb costs related to the repair and replacement of defective parts or technology. They must also dedicate time and effort to comply with the NHTSA investigation, notify customers and remedy the defect within the specified timeline. Moreover, there is additional potential financial risk from legal action from affected customers.
OTA capabilities for 2020 Jaguar F-Type only offer software updates to the vehicle’s Infotainment and Telematics Module. So for NHTSA recall 21V167, all affected Jaguar F-Type vehicles must return to the dealership to install the free software update manually.
Instead of relying on customer complaints, a vehicle-wide OTA solution could have potentially avoided the recall entirely with early detection from diagnostic data collected directly from the ABS to alert engineers of the abnormal post-diagnostic check delay. The OEM could have then proactively sent a remote OTA software update to remedy the defect before having to issue a recall campaign.
In the event that the OEM was unable to detect the defect early enough to avoid a recall, a robust OTA system could greatly streamline the recall campaign from start to finish without dealer intervention. With a system like Sibros’ Deep Connectivity Platform, the OEM creates a targeted vehicle group including only those 2020 Jaguar F-Type models with affected VIN numbers. A notification is then sent to the customer via the vehicle interface or mobile app with the right software package updates, which is then staged for safe and secure rollout via a wifi or cellular connection upon customer consent at the tap of a button.
Addressing this recall directly between the OEM and affected customers would eliminate the need for owners to schedule appointments at the dealership, saving both the customer and manufacturer time and money. It also accelerates the overall recall communication process and reduces the possibility of a customer missing a recall notice and attempting to take legal action for negligence or insufficient contact attempts.
Taking an average dealer service cost of $300-500 to run diagnostics, install and verify a software update, the estimated financial impact on the manufacturer for the Jaguar F-Type ABS recall is between $682K and $1.1M dollars. That’s a high price tag for a software fix that would be significantly lower with a full vehicle capable OTA software system in place.
Utilizing Sibros Deep Connectivity Platform also saves money on the customer side. Customer expenses include having to take time off work, fuel costs, and additional wear and tear of their vehicle. Although this cost to the customer doesn’t directly affect the OEM, it does impact the automaker’s brand sentiment and customer loyalty given the ever-growing competitive landscape of the automotive industry.
Also let’s consider the impact to NHTSA enforcement and their duty to overall public safety. The NHTSA recall enforcement budget for 2020 was $19,542,000. This was after a request for a budget increase due to a rise in the number of high-priority recalls. With an OTA system in place that allows for a smoother recall remedy rollout, as well as ease of recording which vehicles had received and installed the update, NHTSA can focus their budget and efforts elsewhere.
Clearly, adopting a vehicle-wide OTA software update and data collection solution can eliminate much of the stress and financial losses associated with software related recalls. To learn more about how Sibros helps OEMs achieve early detection, proactively reduce recalls defects and simplify the overall remedy process, contact us for a personalized demonstration.