This week’s SmartCar roundup features a software giant’s concept for the connected car platform, an app that diagnoses your car problems, and the largest telematics contract to date.

Microsoft’s prototype connected car platform

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At BUILD 2014, Microsoft revealed its prototype operating system for connected cars, one that could compete with Apple’s CarPlay as well as the Android-based connected car platform Google has in the works.  Microsoft hopes to become more visible in the emerging smart car market, building on existing partnerships with many car manufacturers.

At present, car manufacturers such as BMW, Fiat, Ford, Kia, and Nissan, use either Windows Embedded or Windows Automotive for their in-vehicle infotainment systems, unbeknownst to many car buyers due to the manufacturers’ ability to customize the Windows system.

Though a number of US car manufacturers are currently using Microsoft’s offerings, the Redmond-based software maker faces competition from rival solutions. Some auto makers have already inked deals with BlackBerry to have their infotainment systems run on QNX, BlackBerry’s secure mobile platform.

So Microsoft is working on an infotainment platform based on Windows, to allow seamless integration of Windows devices with the car.  It’s not about projecting the a Windows Phone screen to a car’s dashboard, but about making the system as easy to use as a mobile device.  The smart car solution features the Start screen where the user can pin their most used apps, while important information is displayed prominently so it can be viewed at a glance, and even access some features of the mobile device via the dashboard, like users’ contacts. It may also feature eye-tracking technology as well as Microsoft’s Siri-like AI named Cortana, so drivers can just use their voice to interact with the Windows-based service.

Hermes Road Warrior System

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The Hermes Road Warrior System is one of the winners in the Global Connected Car Contest 2013 sponsored by SAP.  Hermes is an app accessible in a car’s display panel, which delivers information such as the nearest auto repair shop, gas stations, restaurants, hotels, but most importantly, the app is able to diagnose car problems.

Right now, when something’s wrong with your car, the check engine light lights up but it doesn’t tell you where exactly the problem is.  Some car owners get duped by shady mechanics by telling them their car needs replacements for expensive part when all they did was fix some connections.  Hermes aims to give car owners more control by giving them information about the actual problem.

The creators of the app are students of the Naveen Jindal School of Management, and they will be travelling to Silicon Valley in August to meet with experts from SAP and General Motors to advance their idea.

Quindell signs largest telematics contract

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Quindell, a company that specializes in software for insurance companies and telecoms, signed the largest telematics contract to date.  The contract takes the form of a joint investment between Quindell and RAC, a British automotive services company, to distribute the combined connected car capabilities of the two companies.

Quindell holds a 51 percent stake in CCS, while RAC holds the remaining 49 percent. Initial investment for CCS was at £30 million (about $50 million), and an additional £70 million (about $117 million) is expected to be invested, subject to key milestones.

Both parties agreed that CCS will take 100 percent of the benefits from addressing the cost of claims from RAC connected car consumers, while focusing on driving down the cost of claims and improving the customer experience following an accident or breakdown-related event.

CCS also aims to address other global opportunities, such as expanding beyond the connected car market and venturing into the connected home and connected health markets.

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