Remote diagnostics is expanding the business scope of vehicle manufacturers, ranging from products to services. In this paper, we focus on investigating the business challenges and opportunities related to the remote diagnostics of vehicles from an IT-based resource perspective. Remote diagnostics involves technology, human skills and intangibles. IT-based resources consist of physical IT infrastructure, human IT skills and IT-enabled intangibles. In this study, we find that remote diagnostics not only faces challenges in these three categories of IT-based resource, but also creates opportunities. One contribution of this paper is to provide an overview of the challenges and opportunities for business related to the technology. The paper also makes a contribution to information systems by shedding light on the discussion of digital infrastructure. It also highlights the application of IT-based resource perspective to find out the business challenges and opportunities of an emerging technology like remote diagnostics.