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Courtney Messenbaugh
Kids: 2 Ages: unborn & 1 & 3
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OnStar Switch Leaves Customers in the Dust

Oct 30 2007 by Courtney Messenbaugh

10/23/2007

Onstar going digital

It's a Digital World, We're Just Living in It

You've already heard me singing the praises of OnStar to the high heavens. But that was yesterday. Today, another of the service's changes has turned my attitude around.

GM sold me on the notion that OnStar is dedicated to ensuring its customers' safety. I was totally wowed by the cool new Stolen Vehicle Slowdown technology that cuts engine power to stop a thief in a stolen car. I bought the pitch that OnStar can and will save lives. So why am I confused now?

Well, when OnStar is no longer available to owners with just analog equipment in their cars — which will happen Jan. 1 — many of its current subscribers will be left high and dry, and that just doesn't seem compatible with my sunny view of OnStar. The change is happening because of a November 2002 FCC ruling that, after 2007, cell phone companies would no longer have to support the analog cellular network. Not a big deal, right? Most people update their cell phones at least every couple of years, so few will need to rush out and buy a new phone on New Year's Day. But those cell phone towers are also the means by which OnStar functions, so unless you bought your new car as recently as your new cell phone, you might be out of luck.

GM started making its vehicles' OnStar equipment both analog- and digital-ready starting with some 2004 models, so there are about 3 million OnStar subscribers who won't be affected by this, but that still leaves quite a few with strictly analog systems who are now out of luck. On a positive note, GM says it's engineered digital upgrade kits compatible with "most" electrical systems that are "available for many GM vehicles" for just $15.

I thought "most" and "many" were a little vague, so I sought clarification, but the closest I got was a statement from OnStar saying "nearly 90 percent" of OnStar subscribers are in vehicles that can be upgraded and that a "small percentage" of vehicles won't be able to be upgraded. For those poor souls, GM is offering a year of complimentary OnStar service if they purchase or lease a 2006-model-year or newer GM vehicle. With all due respect, that's a little insulting. Drop $20K on a car that you wouldn't otherwise need just to continue with a service you already had? Methinks that's not going to happen.

At first, the reluctance to disclose actual numbers made me a little suspicious — isn't that like a guilty person pleading the Fifth? But then I stumbled upon news that there's a class-action lawsuit gearing up against GM and OnStar. (Does it seem like I've walked onto the set of a whistleblower movie, like "The Insider" or "Michael Clayton?" I sort of feel like I have.) Now I see why OnStar didn't want to get too specific — there's a legal battle a brewin'!

Ronald Smolow, the plaintiffs' attorney, said the suit will represent more than 2 million GM customers. Shazam! That's a lot of people! Smolow said that, by his estimates, about a half million of those people have vehicles that aren't eligible for an upgrade and about 1.5 million have vehicles that can be upgraded. Essentially, the suit alleges that GM and OnStar sold a package of safety benefits to consumers who believed those benefits would apply for the life of their vehicle. Because that's not exactly the case, some folks who purchased a GM vehicle with OnStar solely for the safety features (especially older folks or people with pre-existing health conditions) and are now feeling duped.

Where does this leave me in my love affair with OnStar, you might wonder? I'm not sure. I remain a big fan of all that OnStar has done to make its customers safer, and I applaud its partnership with the National Center for Missing and Exploited Children. But I'd be livid if I were one of those folks stuck with an analog system. I guess I'll just have to see where things go from here.

Posted on Oct 30, 2007 | Technology | Permalink | Comments (16)

User Comments

I also understand that digital does not have the same coverage as analog (digital has less).  So when you’re stuck out in the boonies, you’re not going to have the same likelihood that OnStar will answer.  Is this correct?

Posted by: Sara Lacey | Oct 30, 2007 3:18:18 PM

I did some further research that seems to indicate that what you’re saying is correct.  But, according to the OnStar statement, the company originally went with analog because it had the “broadest geographic coverage.”  Now, since cell carriers have indicated that they will no longer support analog networks, “OnStar cannot ensure the national coverage that would allow us to provide analog subscribers with the services they expect from us.”  So the implication is that if they kept with analog, coverage would be limited b/c of the cell companies, but if, as you pointed out, digital coverage is deficient too, so it seems to be a zero sum game for everyone.  Ugh!

Posted by: Courtney A. E. Messenbaugh | Oct 31, 2007 11:56:32 AM

At $200 a year times 500 thousand, thats $100 million. GM couldn’t design a replacement digital module to replace the analog phone? Something sounds awful fishy here. This seems very short sighted on GM’s part. Does GM think that by shutting off my OnStar that I’ll buy a new car? Don’t hold your breath GM.

Posted by: Doris Miller | Nov 28, 2007 9:37:55 PM

I own a 2001 Tahoe with the old analog system that is now deactivated.  I talked to OnStar today and was able to transfer my unused minutes to my 2005 Suburban.  I was told by the OnStar representative today that they are working on an upgrade for the analog systems and would be notified by mail when that was available.

Posted by: Richard Stokley | Jan 03, 2008 1:52:18 PM

I too have been abandon by GM and Onstar. I bought my truck with Onstar as saftey feature and thought it would be with me at all times. Being that I don’t own a cell phone my Onstar was the only way my family could get in touch with me when I am away. I am only able to buy a new truck once every 10-15 years.

Posted by: Mike Adams | Jan 18, 2008 10:29:22 PM

that’s great people!!we spend lots of money and time to make some use out of OnStar, while OnStar doesn’t care about its best customers, like it claims to care. Now when the system is changed to the digital, the years spent with OnStar don’t count. The company has forgotten about our loyalty.
I know one thing. I don’t want to deal with OnStar any more. I am gonna get CarShield, which is much cheaper and has more services than OnStar does. Also can be plugged in any car. So if I want to change my car, I won’t loose the CarShield.

Posted by: Grace | Feb 07, 2008 8:50:51 AM

Unfortunately I am also one of the OnStar disappointed customers and now I am already tired of OnStar tricks.
Grace,in your comment you have mentioned about “CarShield”.
I wanted to know whether it is really cheaper or no and does it really provide the services that OnStar does? If so, can you give me some links where I will be able to find some information on it?
And one more thing: if it really provides all those services that CarShield does, why it is not popular among the customers and why none of us haven’t heard about CarShield???

Posted by: Paula Simpson | Feb 13, 2008 2:42:22 AM

Hey Paula, I have read a lot of articles about CarShield. It is less expensive than OnStar and provides more services than OnStar does. Check it out.
http://www.gadgetell.com/tech/comment/onstar-alternative-for-any-car-carshield-teens-on-notice/
http://www.autoblog.com/2008/01/16/ces-2008-carshield-offers-telematics-on-the-kinda-cheap/

Posted by: Grace | Feb 13, 2008 8:13:06 AM

Can you explain me why I must go on using onstar which always creates something to make my life difficult when I can use CarShield which is more cheap and comfortable?

Posted by: Jonny | Mar 17, 2008 7:32:48 AM

I purchased my SUV with the on star. I use to tell women that they should have a vehicle with on star in it. It makes you feel secure knowing that if you need something just push the button. I recently moved to Los Angeles with my girls and I pushed that button everyday. If I went into a unsafe area I could push the button and it would put me in the right direction. When I went to push the button and it was no longer there I felt lost and unsecure. I feel GM is suppose to stand by its cars. They made a choice to have this service in there vehicles and they need to be responsible. A big class action lawsuit needs to happen.

Posted by: Anna Brown | Apr 09, 2008 11:16:18 PM

I have a 2004 GMC Envoy and just received a letter stating the the dealership needs my car to deactivate Onstar… I have no idea what that process but they need my car for a day or so.  I don’t use the Onstar but I thought its a great feature to the car if I eventually wanted to use it.  I hope the value of it does not go down in anyway with it being removed.. .I wonder what cost was built in for that service in my truck…

Posted by: Carlos | Jun 23, 2008 9:07:38 PM

It fascinates me how people can get so excited over something so small.  People, don’t have something else in your life that’s more important to b*tch about than “big bad GM took away my OnStar”.  Give me a break.  10 years ago there wasn’t OnStar, now all of a sudden it’s as if it’s an entitlement.  GET OVER IT.  Install the $15 item and move on.  For those of you who can’t, DRIVE YOUR CAR.  You’re still safer than the car you had before this one.  If you’re one of the few that actually believes OnStar is going to save your life because of failing health issues, maybe you should consider staying home.  You probably shouldn’t be on the road anyway.  You’re probably a threat to the rest of us on the road.  Get someone else to drive.

Posted by: XYZ | Oct 16, 2008 5:46:58 AM

If pushing a button makes you feel secure, I suggest you need serious psychiatric help. See a doctor, not a GM dealer.

Posted by: XYZ | Oct 16, 2008 5:50:32 AM

Thanks for the info on CarShield. I have OnStar and like its services, but it is rather expensive. I have a cell phone, so I don’t need the OnStar phone (it sucks that you lose your minutes). I’ve only had to use the service twice in the two years I’ve had my car. Once with a flat tire and again when the car would not start. OnStar contacted the Dealer Roadside service. On the breakdown, my car was towed to the Dealer Repair Shop and they had an Enterprise office on site. It is time to renew and I was searching the web for an alternative to OnStar and found your site. I will do my research to see if CarShield would be better and less expensive.
Thanks again

Posted by: Bonnie | Nov 25, 2008 1:27:13 PM

You’re welcome, Bonnie.  Let us know what you learn!

Posted by: Sara Lacey | Nov 25, 2008 5:08:01 PM

To the comment by Carlos , Picture yourself in a snow storm in upstate NY , and you are down this country road its dark and your call slips off the road , you go in a ditch… 1st thing you think of- Call 911 on the cell phone… but you cant because you hit your head on the side window , so now you are in the sleep to even get a cell to dial .... Now what…. Let me tell you what happened… I was out of it, On Star - Are you ok? No Reply… On Star- Are you ok? ? No reply. 10 min later help is there, Now this is a county road no houses for miles on end. The temperature is 21 Degrees and your knocked out in a car not running….. How long will it take to wake up? Who knows I am here…... Think About it….
On Star may have just saved my life. And I am angry that that took it away…. It’s not their fault its GM smart thinking for the future. But you don’t give someone a billion dollars and ask for it back do you? This is why 500 million people are upset and the reason why some people just can’t get over it. You really had to be there, I pray that you never are. Sometimes you have to see that dark in order to see the light of things. This being said Technology is advancing and people depend on the advancements , Now I have a 2003 SAAB and only had to enjoy the benefits for 2 years since the service was gone as of 2008. CarSheild looks good. But again ... why is it not all over the place…. I looked at the site and I see what it does, which offers more than On Star did. You won’t hear a voice in your car though unless you answer your phone. But this is just the beginning,  I am sure there will be more stuff out there. I will try the Carsheid and let you all know how it works. My concern is I have a Saab Vector - The car runs purely on electronics, this adapter plugs into the main computer reader port… Kind of Leary….. But I have extended warranty.

Posted by: Toddbro79 | Mar 14, 2009 4:38:22 PM

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