Authored By: Sarah
11 Jul 2024

 Automotive Obd Dongle Market Size to grow by USD 87.87 billion between 2024-2028

According to a research report “ Automotive Obd Dongle Market” by Vehicle Type (Passenger cars, Commercial vehicles) Type (Bluetooth, WiFi) Geography (North America, APAC, Europe, South America, Middle East and Africa)- Global Forecast to 2028 published by Technavio, the market size is estimated to grow by USD 87.87 billion, at a CAGR of  18.52% during the forecast period. In the realm of automotive technology, the Obd Dongle Market plays a pivotal role in enabling the implementation of Usage-Based Insurance (UBI) systems. UBI is a business model where insurers are billed based on data derived from a vehicle's On-Board Diagnostic (OBD) system, including driving behavior and vehicle performance metrics. This data-driven approach empowers insurers to construct risk profiles for policyholders, encouraging safe driving practices and offering accurate data for underwriting processes. By incentivizing safe driving, UBI fosters a culture of responsible driving among commercial fleet owners, potentially lowering insurance premiums. Additionally, the data gathered from OBD systems offers valuable insights for insurers, enabling them to process claims more efficiently and effectively.

Browse market data tables, figures, and in-depth TOC on “Automotive Obd Dongle Market” by Vehicle Type (Passenger cars, Commercial vehicles) Type (Bluetooth, WiFi) Geography (North America, APAC, Europe, South America, Middle East and Africa) Global Forecast to 2028. Download Free Sample


By Vehicle Type, the Passenger cars segment is projected to dominate the market size in 2024

The Bluetooth segment of the global automotive OBD dongle market refers to the sale of OBD dongles that connect to a vehicle's OBD-II port via Bluetooth wireless technology. OBD-II dongles are compact devices that interface with the OBD-II port, which is usually situated beneath a vehicle's dashboard. These dongles empower users to obtain diagnostic data and monitor various vehicle parameters. Bluetooth-enabled OBD dongles provide the added benefit of wireless communication, enabling users to link their smartphones, tablets, or other Bluetooth-compatible devices to the dongle. This facilitates the transfer of data between the vehicle and the connected device, granting real-time access to essential vehicle information and diagnostics.

By Type, Bluetooth  segment is expected to hold the largest market size for the year 2024

The passenger car segment holds the largest market share in the global automotive OBD (On-Board Diagnostics) dongle industry, both in terms of volume and value. This segment's significance is not only limited to the automotive sector but also serves as a crucial economic indicator, reflecting industrial output, economic progress, and population demographics. The demand for passenger cars is anticipated to remain robust, particularly in emerging economies and reviving developed markets. Furthermore, the integration of telematics offerings as standard fitments in most cars is expected to bolster the passenger car segment's dominance in the automotive OBD dongle market. Additionally, the expansion of the e-hailing market is driving the wider adoption of OBD dongles through aftermarket channels.

North America is forecasted to hold the largest market size by region in 2024

The Automotive OBD Dongle market represents a significant growth opportunity for businesses in the diagnostic tools industry. These devices, which plug into a vehicle's on-board diagnostic port, enable real-time monitoring and analysis of vehicle performance data. With increasing vehicle complexity and the growing demand for efficient and cost-effective diagnostic solutions, the market for OBD Dongles is poised for substantial expansion. Businesses can capitalize on this trend by offering innovative and user-friendly OBD Dongle solutions to meet the evolving needs of automotive repair shops and individual consumers.

The Automotive Obd Dongle Market growth and forecasting report also includes detailed analyses of the competitive landscape of the market growth and forecasting and information about 20 market companies, including:

  • ApS
  • BAFX Products
  • BorgWarner Inc.
  • Continental AG
  • Danlaw Inc.
  • Geotab Inc.
  • Huawei Technologies Co. Ltd.
  • Intel Corp.
  • iWave Systems Technologies Pvt. Ltd.
  • Legion Autodata JSC
  • Inc.
  • OBD Solutions LLC
  • Prizmos Ltd.
  • Robert Bosch GmbH
  • ShenZhen CheBoTong Technology Co. Ltd.
  • TomTom NV
  • Veepeak
  • Verizon Communications Inc.
  • Zubie Inc.
  • Zymbia Interactive Technologies Pvt. Ltd.

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Research Analysis Overview

The Automotive OBD (On-Board Diagnostics) Dongle Market is witnessing significant growth due to the increasing demand for fuel efficiency, vehicle diagnostics, and enhanced driving experiences. OBD dongles enable real-time monitoring of vehicle health, fuel consumption, engine performance, and diagnostic trouble codes through web-based applications and mobile apps. These devices use connectivity technologies such as Wi-Fi, Bluetooth, and cellular networks for data transmission. Telematics solutions are becoming increasingly popular in both commercial fleets and personal vehicles. Telematics services provide valuable insights into vehicle performance, trip tracking, and preventive maintenance. Automotive manufacturers and insurance models are integrating telematics to offer improved vehicle connectivity and better customer experiences. OBD dongles are essential tools for vehicle diagnostics and performance analysis. They help in real-time monitoring of vehicle health, enabling timely preventive maintenance and reducing downtime. With the growing trend of connected cars, OBD dongles are expected to become an integral part of the automotive ecosystem. The market for OBD dongles is expected to grow significantly in the coming years, driven by the increasing demand for fuel efficiency, vehicle diagnostics, and telematics services.

Market Research Overview

The Automotive OBD (On-Board Diagnostics) Dongle Market is witnessing significant growth due to the increasing adoption of IoT technology and connected car technologies in the automotive industry. Industry standards for OBD systems and emissions standards are driving the demand for OBD dongles that offer real-time data on vehicle health, fuel efficiency, and driving behavior. Cybersecurity measures, such as firmware updates, authentication mechanisms, and encryption protocols, are crucial in mitigating cyber threats like unauthorized access, hacking, and security vulnerabilities. Cybersecurity concerns are particularly relevant for fleet operators, insurers, and fleet management solutions that rely on data-driven insights for preventive maintenance, usage-based insurance, and fleet management operations. OBD dongles come in various forms, including wired and wireless, Bluetooth, Wi-Fi, and cellular. Retail channels include offline retail, online platforms, and aftermarket channels. OEMs, independent workshops, and fleet management companies are major buyers of OBD dongles. Vehicle tracking, telematics, and vehicle connectivity are key applications of OBD dongles. They offer real-time data on vehicle performance, diagnostics, and maintenance alerts. OBD dongles are also used for vehicle safety, trip tracking, and fuel consumption analysis. Automotive IoT technologies, such as machine learning and artificial intelligence, are being integrated into OBD dongles to provide more advanced features like predictive maintenance and vehicle-to-everything communications. However, concerns over vehicle warranty voidance and privacy issues persist. In conclusion, the Automotive OBD Dongle Market is a dynamic and evolving market that offers significant opportunities for aftermarket suppliers and OEMs alike. The market is driven by the need for data-driven insights, connectivity, efficiency, and vehicle safety. Cybersecurity measures and regulatory compliance will continue to be critical factors in the market's growth.


Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200

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