Global Connected Cars Market
As stated in our extensive report; the Global Connected Cars Market accounted for USD 23.9 Billion in 2022 and is projected to reach a value of USD 100.1 Billion by 2030.
The Connected Cars market refers to vehicles equipped with internet connectivity and can connect to other devices, networks, and services. This connectivity allows for various features and services, such as enhanced navigation, entertainment, vehicle diagnostics, and safety features. The Connected Cars market is rapidly growing as technology advances and consumer demand for more integrated and connected vehicles increases. This market includes both new vehicles that are manufactured with built-in connectivity capabilities and aftermarket devices that can be assembled in existing cars to add connectivity.
Key factors boosting the growth of the Connected Cars market include the increasing demand for connectivity, advancements in vehicle-to-vehicle (V2V) and vehicle-to-infrastructure (V2I) communication technologies, and the rising adoption of electric vehicles. Moreover, adopting advanced driver assistance systems (ADAS) and autonomous driving technologies has further spurred the demand for Connected Carss. The Connected Cars market offers a wide range of services, including safety & emergency services, vehicle management, entertainment services, and autonomous driving services. Safety & emergency services, such as automatic crash response systems and remote diagnostics, are expected to dominate the industry owing to the increasing focus on driver safety.
These are the primary factors that must be considered to propel the growth of the global Connected Cars market. However, one main constraint is the high cost associated with Connected Cars technologies and services. Concerns related to data security and privacy can also hinder market growth.
Key factors influencing Connected Cars Market Growth
The growth of the global Connected Cars market can be attributable to the following:
- Consumers increasingly seek vehicles with advanced connectivity features and enhanced driving experiences. Connected Carss provide features such as in-car entertainment, navigation, remote diagnostics, and vehicle-to-vehicle communication, which are in high demand among tech-savvy consumers.
- The rapid advancements in communication techniques, such as the 5G network, AI, and the Internet of Things (IoT), have greatly improved the connectivity capabilities of vehicles. This has enabled seamless communication between vehicles, infrastructure, and other devices, enhancing the overall driving experience.
- Governments worldwide are implementing regulations and incentives to promote the adoption of Connected Carss. For example, many countries have mandated including telematics systems in vehicles to improve road safety and reduce accidents. These initiatives are driving the growth of the Connected Cars market.
- Connected Carss offer many safety and security features, such as emergency assistance, remote diagnostics, stolen vehicle tracking, and automatic crash notification. With the rising awareness of vehicle safety and security, consumers are increasingly opting for Connected Carss, driving the market growth.
- Connected Carss generate a huge set of data, which can be inspected to gain insights into driver behavior, vehicle performance, and traffic patterns. Data analytics is crucial in optimizing vehicle performance, improving fuel efficiency, and providing personalized services. This growing need for data analytics is driving the demand for Connected Carss.
- Connected Carss allow integration with various smart devices, such as smartphones, wearables, and smart homes. This enables users to seamlessly control multiple aspects of their vehicles remotely, such as locking/unlocking doors, starting the engine, and adjusting climate control. The integration of smart devices is a crucial driver of growth in the Connected Cars market.
- The rising consumer shift towards electric and autonomous vehicles is also driving the growth of the Connected Cars market. Electric and autonomous vehicles heavily rely on connectivity to optimize performance, enable autonomous driving, and provide real-time updates on charging infrastructure. This increasing focus on electric and autonomous vehicles is expected to fuel market growth.
North America Region to Lead the Market
North America Connected Cars market is getting more significant with maximum market share during the forecast period. The area’s supremacy can be ascribed to the increasing adoption of advanced technologies, robust automotive industry, and favorable government regulations. The United States significantly contributes to the North American Connected Cars market. The country has witnessed a significant rise in the demand for connected vehicles owing to the increasing focus on enhancing road safety and reducing traffic congestion. In addition, the presence of several notable players in the region, such as General Motors and Ford, has further propelled the growth of the Connected Cars market in North America. Canada is also a key player in the North American Connected Cars market. The country has rapidly adopted Connected Cars technologies, driven by increasing awareness about vehicle data analytics and the growing demand for personalized in-car services.
Increasing demand for connectivity and the rising adoption of electric vehicles positively influence the overall Connected Cars market.
Some of the key players in the Global Connected Cars Market include- CloudMade (UK), TOMTOM International N.V. (Netherlands), Ford Motor Company (U.S.), LUXOFT (Switzerland), BMW Group (Germany), AT&T Inc. (U.S.), Vodafone Group PLC (UK), Airbiquity Inc. (U.S.), Samsung Electronics Co. Ltd. (South Korea), Verizon Communications Inc. (U.S.), Robert Bosch GmbH (Germany), Intellias Ltd. (U.S.), Continental AG (Germany) and others.