Connected Car Devices Market Size
|2019 - 2029
|Base Year For Estimation
|> 21.00 %
|Fastest Growing Market
*Disclaimer: Major Players sorted in no particular order
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Connected Car Devices Market Analysis
The connected car device market was valued at USD 11.6 billion in 2021 and is expected to reach USD 34.13 billion by 2027, registering a CAGR of over 21% during the forecast period (2022 - 2027).
The COVID-19 pandemic had a severe effect on the market owing to the slowdown of the global automotive industry. The lockdown norms implemented across the world, have severely impacted the market. However, the increasing electrification and self-driving cars are driving the demand for connected cars in the industry.
Connected car devices essentially assist in monitoring vehicles and drivers. Various sensors embedded into the vehicles provide an opportunity to monitor the vehicle's health. This enables the owners to get predictive maintenance for the vehicles without any hiccups. This technology is extremely useful for commercial fleet operators and owners. It helps them maintain a high run-time and low downtime or maintenance time, reducing the scope for losing out on revenue due to vehicle repairs.
The major factors that are driving the market are the increasing occurrences of vehicle theft, and a robust spike in the number of road accidents, particularly due to unsafe driving habits, such as over-speeding, hard cornering, and unmanageably dense traffic. Apart from the aforementioned drivers, vehicle connectivity has also gained traction, due to the preference of in-car Wi-Fi hotspots and data services, for providing infotainment facilities.
Vehicle automation presents the most lucrative opportunity for connected car devices, which provide the necessary (initial) inter- and intra-vehicle communication and response infrastructure, to facilitate autonomous capabilities.
Connected Car Devices Market Trends
This section covers the major market trends shaping the Connected Car Devices Market according to our research experts:
Increasing Electrification and Automation
The increasing electrification and automation in the automotive industry are expected to drive the market significantly during the forecast period. Heavy investments from automakers are expected to cater to the growing demand for EVs and play a major role in the evolution of the electric vehicle market. OEMs offer electric vehicles in different segments ranging from hatchbacks such as Nissan Leaf to high-end sedans like Tesla Model 3. For instance,
Ford company had previously committed to spending USD 11.5 billion on electrifying its vehicle lineup through 2022, and in its recent announcement, it increased its investment in autonomous and electric vehicles amid continuous lockdowns to boost vehicle sales.
Government regulations and permissions are also being observed, driving the growth faster towards automation and connected vehicles. For instance, The Department for Transport - United Kingdom, in April 2021, said automated lane-keeping systems (ALKS) would be the first type of hands-free driving legalized.
The higher number of self-driving cars operating on the road has made roads relatively safer compared to the previous years. Manufacturers of these cars have reported a positive growth rate in the increase in accident prevention. For instance, in August 2022, Tesla published that its autopilot enabled cars to prevent approximately 40 possible car crashes every day. Owing to such reliable car capabilities, there is an increasing demand for connected cars and consequently, connected car devices. This is expected to drive significant revenue into the market during the forecast period.
Europe and North America Dominating the Market
The European and North American regions are expected to dominate the connected car device market, followed by Asia-Pacific.
The United States is considered to be a pioneer, in terms of vehicle connectivity. The US Transportation Department has taken a new initiative to accelerate the deployment of vehicle-to-vehicle (V2V) communications technology. This new proposal is expected to be mandatory by 2023. Additionally, the demand for smart solutions in the fields of mobility, vehicle management, safety, and driver assistance, has been continually increasing in the country over the past few years, and integration of these cutting-edge technologies has been one of the crucial parameters for customers in purchasing new vehicles.
In the EU, the European parliament implemented the regulation, mandating e-call systems in vehicles that ensure the passenger's safety, and it has been estimated that they may save more than 2,500 lives on the road. These initiatives and favorable regulations increase the number of connected vehicles on roads, which further creates a huge demand for connected vehicle services and connected vehicle devices.
In the Asia-Pacific region, China leads the market for connected car devices, followed by Japan. The demand for embedded connectivity in vehicles from the consumers and the shift toward connected vehicles has expanded the market for connected car devices in the country.
Connected Car Devices Industry Overview
Some of the key players of the connected car device market are Continental AG, Robert Bosch GmbH, Denso Corporation, Autoliv, Autotalks, and Valeo SA. The companies are making partnerships for developing more advanced technology, and for being ahead in the competition. For instance; Bosch and Mojio unveiled a jointly developed, IoT integrated emergency response solution. The new offering adds crash detection and emergency call (eCall) response to an existing connected car solution from Mojio.
New players are entering, with this market offering immense growth opportunities. These new companies are expanding rapidly to cater to the expected high demand for connected cars. For instance, Raythink, a world-leading ARHUD solution provider for the automotive and transportation industry, announced that it has raised around USD 15 million in Series A+ funding. This funding is expected to be used for R&D and company expansion.
Connected Car Devices Market Leaders
Robert Bosch GmbH
*Disclaimer: Major Players sorted in no particular order
Connected Car Devices Market News
TRL, a transport software company in the United Kingdom, in Feb 2022, has developed a roadmap to enable the remote operation of connected and automated vehicles (CAVs) by 2035 as the final piece of the Project Endeavour program.
During Aug 2021, China is encouraging carmakers to adopt the domestically developed Beidou satellite navigation system in their automated vehicles and other connected cars, apparently to steer them away from the U.S. government's GPS.
Connected Car Devices Market Report - Table of Contents
1.1 Study Assumptions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Drivers
4.2 Market Restraints
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 End-user Type
5.2 Communication Type
5.3 Product Type
5.3.1 Driver Assistance System (DAS)
5.4 Vehicle Type
5.4.1 IC Engine
126.96.36.199 Battery Electric Vehicle
188.8.131.52 Hybrid Electric Vehicle
184.108.40.206 Fuel Cell Vehicle
5.5.1 North America
220.127.116.11 United States
18.104.22.168 Rest of North America
22.214.171.124 United Kingdom
126.96.36.199 Rest of Europe
188.8.131.52 Rest of Asia-Pacific
5.5.4 Rest of the World
184.108.40.206 South America
220.127.116.11 Middle East & Africa
6. COMPETITIVE LANDSCAPE
6.1 Vendor Market Share
6.2 Company Profiles
6.2.1 Continental AG
6.2.2 Denso Corporation
6.2.3 Robert Bosch GmbH
6.2.4 ZF Friedrichshafen AG
6.2.5 Autoliv Inc.
6.2.6 Valeo SA
6.2.7 Autotalks Ltd
6.2.8 Visteon Corporation
6.2.9 Magna International Inc.
6.2.10 Infineon Technologies AG
6.2.11 Harman International Industries Incorporated
6.2.12 Panasonic Corp.
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Connected Car Devices Market Research FAQs
What is the current Connected Car Devices Market size?
The Connected Car Devices Market is projected to register a CAGR of greater than 21% during the forecast period (2024-2029)
Who are the key players in Connected Car Devices Market?
Continental AG, Denso Corporation, Robert Bosch GmbH, Autoliv Inc. and Valeo SA are the major companies operating in the Connected Car Devices Market.
Which is the fastest growing region in Connected Car Devices Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Connected Car Devices Market?
In 2024, the Asia Pacific accounts for the largest market share in Connected Car Devices Market.
What years does this Connected Car Devices Market cover?
The report covers the Connected Car Devices Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Connected Car Devices Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Connected Car Devices Industry Report
Statistics for the 2024 Connected Car Devices market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Connected Car Devices analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.