GM Accelerates Shift to Subscription Services, with OnStar and Super Cruise Driving Growth

General Motors is accelerating its transformation from a traditional automaker into a subscription services provider. The company disclosed that its software and services business retains approximately 70 cents of every dollar in revenue—significantly higher than the 4 to 10 cents per dollar retained from vehicle sales. OnStar, its biggest cash cow, has evolved from an initial emergency assistance service into a comprehensive connected platform, generating about $800 million in revenue in the second quarter of 2024, with customer numbers continuing to grow. GM expects OnStar’s subscriber base to reach nearly 13 million by the end of 2026. Another key offering, Super Cruise—GM’s advanced driver-assistance system—carries a monthly fee of $39.99 and boasts a high renewal rate after its free trial period. It added approximately 70,000 new users in Q2, with revenue up roughly 70% year-over-year. GM projects Super Cruise will surpass 850,000 subscribers by the end of 2026. Overall, GM reported $5.4 billion in deferred revenue from its subscription businesses in 2025 and forecasts $3.1 billion in realized revenue and $7.5 billion in deferred revenue for 2026. Other automakers—including Tesla, Ford, Mercedes-Benz, Audi, and BMW—are also advancing similar software-based subscription models.