'The Internet on Wheels'

Ford is building Internet access into over 2,000 new Lincolns. General Motors is heading down the same road with its newest Cadillac.

Ford Motor is adding voice-activated systems to some 2,001 new Lincoln automobiles, allowing drivers to get stock quotes and weather reports through the Internet and summon help on the highway.

Ford, the world's No. 2 automaker, will expand its Internet, communication and information services package -- which it calls "telematics" -- to most of its vehicles worldwide over the next two to three years at no extra cost.

"The car becomes an Internet on wheels. It becomes a portal to the Internet," Ford chief executive officer Jac Nasser said at the North American International Auto Show, where Ford made the announcement.

In addition to the Lincoln, Ford will make the telematic systems standard in Focus small cars sold in Europe.

Ford executives said they do not see the voice-activated telematic systems becoming an additional distraction to drivers that could lead to accidents.

Ford isn't the only one to add Internet systems to its cars. General Motors's Cadillac unit also plans to begin selling a car this year that offers Internet connectivity.

As expected, Ford has also announced an agreement with Internet portal Yahoo that will give Ford owners, through Yahoo Autos, access to services such as recalls, owner guides and financial account information. Consumers can also access a separate Ford site, OwnerConnect.com, that allows them to schedule appointments with dealerships for repairs.

"It's basically a customised, personalized service for Yahoo users that also own Ford," said Yahoo co-founder Jerry Yang.

Financial terms of the relationship were not released. Yahoo and Ford officials said the deal will not preclude them from striking other alliances with competing Internet or automotive companies.

The moves are the latest from Detroit's traditional Big 3 automakers as they strive to take advantage of the boom in electronic commerce.

With today's electronic age, vice president of design J. Mays said consumers need vehicles that have adapted to keep them connected to the outside world whenever they want. Consumers spend about 80 minutes a day in their vehicles, Ford research shows. Nasser said Ford is also adapting, reinventing itself to raise customer satisfaction and build its e-commerce networks.

To show off its new technologies, Ford Sunday unveiled three high-tech vehicles that it called 24-7 concepts. Looking like four-wheel versions of tropical-coloured iMac personal computers, the sedan, coupe, and pickup 24-7 vehicles allow different drivers to personalize their vehicles by changing such things as dashboard graphics.

The concepts also allow drivers to access email, talk on hands-free mobile telephones, and have directions to a restaurant displayed in the dashboard. The cars, built using parts from the Ford Focus, use voice, display and lighting technologies from Ford's Visteon Automotive Systems supplier unit.

Richard Parry-Jones, Ford's product development chief, said the company wants to see how consumers react to the cars before deciding on whether to build all or parts of them.

Copyright 1999 Reuters Limited.