The global connected car market is anticipated to grow at a CAGR of around 17.5% during the forecast period 2020 to 2027 and to reach around US$ 174.7 Bn by 2027.
Increasing passenger vehicle sale in developing countries, major players focus on development of smart vehicles and approach towards integration of AI are major factors expected to drive the growth of global market. In addition, increasing government spending on development of infrastructure and inclination towards adoption of electric vehicle are among other factors expected to support the growth of target market.
Major players focus on business expansion through strategic acquisitions and partnerships in order to enhance the customer base this is expected to boost the growth of target market.
In 2019, Continental a multinational automotive parts manufacturing company specializing in brake systems, interior electronics, automotive safety, powertrain and chassis components launched CoSmA digital door opener solution for Honda E. The product is a smartphone-based access solution that will enable Honda e owners to open their vehicles or share the key with others using just their smartphone. This is expected to help the company to enhance the business profit.
In 2019, Robert Bosch GmbH a multinational engineering and technology company developed a new cloud-connected software service that aid in managing and monitoring the battery life of the vehicle. The solution is expected to enable company to remotely monitor the battery status in order to reduce wear and tear on the batteries by up to 20%. This is expected to help the company to increase the customer base.
In 2019, Harman International Industries a multinational enterprise that is focused on designs, engineers and produces connected products for automakers, consumers and enterprises worldwide launched a Dual-Mode V2X system with the focus to enhance the automotive safety. The product launch is expected to help the company to increase its revenue share.
In 2019, Visteon Corporation an automotive electronics supplier in collaboration with Tencent developed and autonomous driving and intelligent cockpit solutions. This is expected to help the company to enhance the business and increase the revenue share.
In 2019, Airbiquity a business-to-business software development and engineering company partnered with Wind River in order to develop an end-to-end software lifecycle management solution for connected and autonomous vehicles. This is expected to help the company to increase the profit ratio.
However, factors such as lack of developed infrastructure and high cost of vehicles are expected to hamper the growth of global connected car market. In addition, a threat related to cyber security is expected to challenge the growth of target market.
High investment by major players for technological advancements and integration of AI in vehicles are factors expected to create new opportunities for players operating in the target market over the forecast period. In addition, increasing partnership and agreements between players is expected to support the revenue transaction of target market.
Segment Analysis by Region
The market in the Asia Pacific is expected to account for significant revenue share in the target market due to increasing passenger vehicle sale in developing countries. In addition, favorable business policies and introduction of 5g technology are resulting in the emergence of small and mid-size enterprises with innovative solutions are among other factors expected to boost the growth of the target market.
The global market is high highly competitive due to the presence of a large number of players and innovative product offerings. In addition, business expansion activities through partnerships and agreements are factors expected to further increase the competition.
Global Connected Car Market
2016 – 2027
2020 – 2027
Technology, Connectivity Solution, Service, End Use and Geography
North America, Europe, Asia Pacific, Latin America, and Middle East & Africa
Market Trends, Drivers, Restraints, Competitive Analysis, Player Profiling, Regulation Analysis
Connected Car Market Segment Analysis, 2019
The global market is segmented into technology, connectivity solution, service, and end-use. The technology segment bifurcated into 3G, 4G/LTE, and 5G. Among the technology, the 5G segment is expected to witness faster growth in the target market. The service segment is divided into driver assistance, safety, entertainment, well-being, vehicle management, and mobility management. Among the service, the driver assistance segment is expected to account for major revenue share in the global market.
The players profiled in the report are Airbiquity Inc., CloudMade, Continental AG, Intellias Ltd., Tesla, ZUBIE, INC., AT&T, Audi AG, LUXOFT, Qualcomm Technologies, Inc., Robert Bosch GmbH, and Sierra Wireless.
Market By Technology
Market By Connectivity Solutions
Market By Services
Market By End-Use
Original Equipment Manufacturer (OEMs)
Market By Region
Middle East & Africa
Increasing passenger vehicle sale in developing countries, major players focus on development of smart vehicles and approach towards integration of AI are major factors expected to drive the growth of global market.
The global connected car market in 2027 is expected to be above US$ 174.7 Bn.
In end use segment the Original Equipment Manufacturer (OEMs) segment is growing at faster pace.
The CAGR of the global connected car market from 2020-2027 is above 17.5%.
In the global market the Asia Pacific region is expected to grow faster.
Some of the players considered in the report scope are Airbiquity Inc., CloudMade, Continental AG, Intellias Ltd., and Tesla.
The Asia Pacific is expected to account for major revenue share in the global market.