First Microsoft set out to put a computer in every home. Now the software giant hopes to put one in every vehicle, too.

'We'd like to have one of our operating systems in every car on earth,' said Mr Dick Brass, vice-president of Microsoft's automotive business unit. 'It's a lofty goal.'

Cars with the Microsoft software will speak up when it is time for an oil change.

They will warn drivers about wrecks on the road ahead and scout out alternative routes. They will pay highway tolls automatically. The software running the brakes will upgrade itself wirelessly.

The Microsoft platform is already in 23 different models, including the BMW 7 series and various Citroen, Daimler, Fiat, Volvo, Hyundai, Mitsubishi, Subaru and Toyota cars.

Globally, 650 million cars and 50 million other new vehicles are produced every year, Mr Brass said - comparable to the market for desktop computers.

Microprocessors already control major vehicle functions. And for years, Microsoft has been making inroads in automotive telematics, a combination of computers and telecommunications.

Mr Brass said drivers spend millions of hours commuting and are distracted by myriad gadgets, including hand-held viewers that offer traffic reports which are in use in some American states.

Microsoft's TBox, which he said would be available in one to three years, can connect them all and make them hands-free.

The device has a processor, memory and a hard drive with no moving parts, said Mr Peter Wengert, marketing manager for Microsoft's automotive unit.

At a conference, Mr Brass showed on-the-street interviews asking what gadgets future cars should carry.

'I don't want Ford making PDAs, and I don't want Microsoft making cars,' one man said.

But bringing the two together seems inevitable.

Mr Brass said drivers could use the system to create 21st century car-pools to help reduce congestion.

'It's possible to imagine setting a system in place with 5,000 to 10,000 vans and having a dramatic reduction in traffic,' he said.

'With GPS and TBox, we have the tools we would need to put all this together.' GPS means global positioning system.

Mr Doug Klunder, director of the Privacy Project at the American Civil Liberties Union, asked Mr Brass how Microsoft planned to protect individual information.

'We really, really, really understand the need for security and privacy,' the latter replied, suggesting that encrypting and not storing the information are two ways to address some concerns.

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