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For Your Truck Back in the 80's car theft using hot-wiring technology was becoming more and more prevalent. General Motors introduced "chip keys" or transponder keys in order to stop this. The new car keys include an electronic chip in the head that transmits a unique number to your vehicle. If the code matches, your car's engine, it will begin. Transponder Keys A transponder key has a microchip that transmits a signal when the key is put into the ignition. The car's computer verifies the code and allows the engine to start if it is in line with the original key.