Market Size of Automotive Navigation System Industry
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 35.89 Billion |
| Market Size (2029) | USD 51.89 Billion |
| CAGR (2024 - 2029) | 7.65 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Europe |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Automotive Navigation System Market Analysis
The Automotive Navigation System Market size is estimated at USD 35.89 billion in 2024, and is expected to reach USD 51.89 billion by 2029, growing at a CAGR of 7.65% during the forecast period (2024-2029).
Over the coming years, the integration of real-time traffic data, map updates, and smartphone usage in automotive navigation systems will serve as major factors for attracting significant customer demand. Further, rapid enhancement in autonomous vehicles and connected vehicle technology is expected to fuel the demand for advanced automotive navigation systems as they heavily rely on real-time information concerning other vehicles on the road. However, increasing cybersecurity issues and the high cost of navigation systems are a few factors that are likely to hinder the market's growth during the forecast period.
Moreover, consumers' shifting preference toward availing private transportation mediums and the expanding logistics industry worldwide are contributing to the growth of the passenger and commercial vehicle segments, which, in turn, positively impacts the penetration of automotive navigation systems. Commercial vehicles are required to travel for a longer duration for cargo and passenger transportation purposes, and therefore, the drivers of these vehicles require swift knowledge of the faster routes to reduce travel downtime. Such factors are expected to impact the growth of the automotive navigation system market.
• According to the International Organization of Motor Vehicle Manufacturers (OICA), new passenger vehicle sales worldwide touched 57.4 million units in 2022 compared to 56.4 million units in 2021, representing a Y-o-Y growth of 1.9%.
• Similarly, new light commercial vehicle sales touched 19.8 million units in 2022 compared to 18.6 million units in 2021 worldwide, recording a substantial Y-o-Y growth of 7%.
Asia-Pacific is projected to emerge as the key regional market for automotive navigation systems, with Japan, India, and China developing as major automotive manufacturing hubs during the forecast period. The demand across North American and European countries is likely to increase due to the penetration of automobile micro-electro-mechanical systems (MEMS) sensors. These sensors are among the most prominent emerging applications and are increasingly being used in electronic control units and tire pressure monitoring systems in the automotive navigation systems market.
