When you need to have your vehicle repaired, you can simply pull into your local shop and let them take a look at it, right?
Not so fast, if you own a vehicle from Tesla, you must go to a Tesla-certified and approved location, and this brand is not the only one creating a pseudo-monopoly in the auto repair industry. The development of electronics, more complicated machinery, and specialized tools has led to many automakers keeping their technology in-house and only sharing information with their dealer network. Shouldn’t you have the choice of where to go to have your vehicle repaired?
Lawmakers in Two Countries Think So
Both Canadian and United States lawmakers have proposed bills on the federal level to put an end to the practice of unshared technology and information. Both bills would require all tools and equipment, transmission of repair, and diagnostic data to be made available to the independent repair industry. The goal of these bills is to ensure the public has the right to have their vehicles repaired wherever they desire, disallowing a monopoly in this industry, which is being held by the automakers.
Shouldn’t Automakers Benefit from the Technology Developed?
We hear about the development of the next tech item to go into cars all the time. As vehicles move from the internal combustion engine toward a fully-electric market, the companies developing technology are the automakers and their partners, not the small, independent repair shop. If the technology developed by Tesla, GM, Ford, or Toyota belongs to them, shouldn’t these companies reap the benefits of being the only place where you can have the vehicles repaired? While this train of thought might make sense, this is precisely what can create the monopoly-like situation the bills are being proposed with an attempt to avoid.
President Biden Addresses the Issue
As reported by Reuters.com last month, President Biden stated that in too many cases,“ if you own a product, from a smartphone to a tractor, you don’t have the freedom to choose how or where to repair that item you purchased.” This doesn’t sound like the American Way at all. Choice and freedom are part of what has built this country and are two of the foundational elements we hold dear. Shouldn’t we have options when we need to service or repair a vehicle? Shouldn’t we have the ability to do the work ourselves or choose to go to a repair shop?
This Isn’t the First Time this Issue has Come Up for the Auto Industry
In Canada, similar legislation was proposed in 2009 as vehicles were becoming more tech-dependent, and repair shops lacked the training and tools to fix them. The industry decided to enact a voluntary agreement at the time instead of being forced to share information. The voluntary nature of this agreement allowed for some companies to avoid sharing their information, which has put this industry where it is today. This time, lawmakers in Canada and the United States are ready to force automakers to develop a method of sharing technology with the independent auto repair industry.
An Economic Boom or Bust
The way we see it, there are specific repercussions that could result from these bills being passed into laws. Depending upon how the bills read and what is passed, this change could be either extremely good for the economy or could lead to the independent auto repair market busting.
Creating the Boom
If automakers are forced to share technology, tools, information, and developments, everyone wins. Currently, many consumers visit dealerships to have vehicles repaired without thinking of independent shops. Others, who prefer the independent shops, have the option to go there. With shared information, automakers can create training programs for independent shop staff, requiring a fee for those programs. This would allow the automaker to benefit from training the competition. Small auto shops can continue to operate and thrive while advancing right alongside the automaker as we move from a world of gasoline vehicles to one where only electric vehicles are sold.
What Could Cause a Bust?
Whether there are missing parts to these bills when passed, or they don’t get passed at all if automakers are permitted to retain control over any of the necessary technology and equipment that would allow independent shops to repair vehicles, there will be a bust in this industry. Eventually, the vehicles these small shops can repair will no longer be allowed on the roads through phase-out programs, causing these shops to close. Can you imagine the number of jobs and businesses lost of all independent auto repair shops that have to shut down? The results would be catastrophic.
Will Automakers do the Right Thing
While Tesla didn’t start this issue, they certainly haven’t helped with the requirement to visit a Tesla-approved repair show for any service or repairs needed. Other automakers have taken notice of this and have asked, “why shouldn’t our vehicle models only be repaired at our dealerships?” A pseudo-monopoly on automotive repair would quickly remove the freedom we have to go where we want and select the repair shop we desire when we need to have our vehicle repaired. Hopefully, lawmakers and automakers can come together and create a situation that works for everyone. This is a decision that has future long-term implications that cannot be undone.
What Can You Do?
For now, you still have the choice of where to go when you need your vehicle serviced, as long as you have a car that can be serviced by an independent location. For those of you who drive newer, electric vehicles or know that your car must be serviced at specific locations, it’s best to continue to visit approved places while hoping the lawmakers in Canada and the United States find a solution to this problem. Maybe it’s time to buy an old car that has no electronics and fix it up in your garage to drive until you’re no longer allowed. That is another solution that might work for you.
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