Connected Car Market

Introduction:

A connected car is defined as a vehicle that is equipped with internet connectivity and a range of sensors and electronic components that enable it to communicate with other devices or networks. This technology allows vehicles to connect with the internet, other cars, and infrastructure such as traffic lights, parking meters, and toll booths.

Connected Car technology enables the usage of GPS technology and real-time traffic data to figure out the destination location or route by drivers. These vehicles are equipped with sensors and cameras to provide alerts to the driver about hazards or danger. Further, this technology allows the driver to monitor and diagnose vehicle health in real-time and provide alerts to drivers of potential issues, and suggest maintenance or repairs.

Factors Drive Connected Car Market:

Different factors are involved in driving the Connected Car market which involves safety and security, convenience and comfort, efficiency and suitability, autonomous driving, and government regulation. This technology elevated safety and security by giving real-time alerts and assistance in case of emergency. Further, governments around the world are increasingly implementing regulations that require connected car technology, such as eCall in Europe, which requires all new cars to be equipped with an automatic emergency call system, anti-lock braking system, electronic stability control, and autonomous emergency braking for commercial vehicles. These all made a huge impact on the growth of the Connected Car market in the upcoming years.

Global Market Trend:

The Global Connected Car Market has reached a value of $79.2 billion in 2022. This market is expected to grow from $95 billion in 2023 to $343.1 billion in 2030 with a CAGR of 20.1% in the forecast period of 2023-2030. This market is estimated based on different key pointers that attribute to the growth which are technology types such as 4G/LTE, 3G, and 2G, applications including Driver Assistance, Telematics, Infotainment, and others, connectivity such as Integrated, Embedded, and Tethered, vehicle connectivity such as Vehicle to Vehicle, Vehicle to Infrastructure, and Vehicle to Pedestrian, vehicle types including Passenger cars & Commercial Vehicles. Leading companies such as Continental AG, Robert Bosch GmbH, Visteon Corporation, Harman International, and Denso Corporation are involved in the development and management of connected car services applications.

Integrated connectivity systems made a significant position in the market of Connected Car technology worldwide. It is due to the rising demand for voice assistance in terms of Google Assistant has become popular in recent times and many consumers are now looking for these features in their cars. These connectivity systems enable voice assistant integration, allowing drivers to use voice commands to control various functions in their vehicles. Further, through integrated connectivity systems, the connected car provides services such as navigation, music streaming, and telematics. All these features have attracted the customer for seamless experiences in all aspects, leading to an increase in the market value of the connected car in the upcoming years.

Regional Analysis:

The prevalence of the connected cars market in the region of Asia-Pacific is projected to grow in the given forecast period. China is one of the largest automotive markets in the world and recorded a 6% surge in sales of passenger cars in 2021, despite the pandemic. It has witnessed huge market growth for connected cars. The progression of these markets lies in the rising purchase the vehicles along with effective safety and security features, the need for vehicle-to-vehicle connectivity technology, and in building the IoT feature in the vehicles manufactured by the automobile industry. Furthermore, the integration of high-speed internet services such as 5G has enhanced the market for connected cars as expected in the coming years.

Conclusion:

As the automotive industry continuously invests in developing connectivity among vehicles prominently increasing the significance of data utilization by various players prevails in an ecosystem. Hence, it is necessary for companies to develop innovative solutions for connected car facilities that meet the needs of evolving customers. At the same time, focus on delivering a seamless and intuitive user experience that provides passengers and drivers access and control of the connected car features.

Further, the telecom industry is involved in enhancing connectivity speed by implementing 5G network technology. The companies should enhance the user experience by developing features that should compatible with a 5G network connectivity system. Thus, all these developments and innovations drive the Connected Car Market and are expected to grow significantly in the future as predicted.