Market Size of Asia-Pacific Connected Cars Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 30.42 Billion |
| Market Size (2029) | USD 66.01 Billion |
| CAGR (2024 - 2029) | 16.76 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Asia-Pacific Connected Cars Market Analysis
The Asia-Pacific Connected Cars Market size is estimated at USD 30.42 billion in 2024, and is expected to reach USD 66.01 billion by 2029, growing at a CAGR of 16.76% during the forecast period (2024-2029).
Over the long term, increasing investments in R&D by major industry players, preference by new young car buyers for connectivity features, rise in adoption of smartphones, an increase in sales of electric and autonomous vehicles, as well as rising internet connectivity and falling data prices are driving demand for connected cars market across the Asia-Pacific region.
Enhancement of network infrastructure in countries such as China and India to develop their 5G connectivity ecosystem is complementing various auto manufacturers to integrate this space and offer advanced vehicle models to consumers. It helps them access real-time information on vehicle performance, door locking/unlocking through smartphones and a range of other features.
Key players in the market are expanding their investments and entering into tie-ups with telecom companies to cater to the increased demand for connected cars. For instance, in May 2023, MediaTek, a Taiwanese-based semiconductor company, announced its partnership with NVIDIA to design an automotive solution for intelligent and connected vehicles with the integration of artificial intelligence and accelerated computing. In August 2022, SAIC Motor and OPPO entered into a joint venture to create a software platform for cross-integration between cars and smartphones.
In March 2022, Chinese state-owned SAIC Motor announced to invest USD 43 billion into advanced automotive technologies, including connected automotive solutions, over the next five years.
The connected cars market in the Asia-Pacific region will witness surging growth during the forecast period, owing to the consumers' increasing preference towards availing of services that give real-time information about vehicle health, traffic conditions, weather conditions, etc. Coupled with that, rising internet penetration, the advent of 5G, and the proliferation of low-cost smart devices are further anticipated to bolster the demand for connected cars market across the Asia-Pacific region.
