Latest News- Connected Car Market: Embedded solutions is expected to lead the Connectivity segment during 2025-2029

The Connected Car Market is being driven by Increasing internet penetration and its impact on global connected car market

The Connected Car Market is expected to grow at a CAGR of 17.1% during 2024 and 2029. During this period, the market is also expected to show a growth of USD 138958.3 million. The global connected car market is experiencing robust growth, driven by the increasing integration of advanced connected technologies in automotive offerings. Automakers are responding to evolving consumer expectations for connectivity and safety by incorporating features such as Advanced Driver-Assistance Systems (ADAS), real-time navigation, infotainment systems, and remote diagnostics into their latest models. The proliferation of high-speed networks like 5G is further accelerating this trend, enabling seamless vehicle-to-everything (V2X) communication, over-the-air (OTA) updates, and cloud-based services for enhanced user experiences and operational efficiency. Key regions, including North America and Asia-Pacific, are witnessing high adoption rates due to advanced infrastructure, favorable government policies promoting connected mobility solutions, and strong consumer demand for tech-rich vehicles. 

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Which Factors Are Causing a Surge in Market Growth?

The market is segmented based on

• Connectivity
  • Embedded solutions
  • Integrated solutions
  • Tethered solutions
• End-user
  • OEM
  • Aftermarket
• Communication Technology
  • V2I
  • V2X
  • V2V
• Geography
  • North America
    • Canada
    • US
  • Europe
    • Germany
    • UK
    • France
    • Italy
  • APAC
    • China
    • India
    • Japan
    • South Korea
  • South America
  • Middle East and Africa

According to Technavio, There are several factors that are causing the market to flourish during the forecast period, which are as follows: 

• Increasing internet penetration and its impact on global connected car market
• Applications of blockchain technology in connected cars
• Government regulations to increase in-vehicle safety and improvement in safety controls

However, the market also witnesses some limitations, which are as follows:

• Design complexity and technological challenges
• Short product life of connected car technologies owing to fast advances in passengers smartphones
• Data challenges associated with connected cars

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Market Scope in Connected Car Market Research Report

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Research Analysis Overview

The Connected Car Market encompasses advanced technologies such as vehicle data logging, sensor fusion algorithms, and map data integration. High definition maps, 5G network infrastructure, and data analytics dashboards facilitate real-time driver behavior analysis and remote diagnostics tools. Predictive maintenance models, vehicle health monitoring, and software updates management ensure optimal vehicle performance. Secure data transmission, location tracking accuracy, in-cabin voice recognition, multimedia streaming protocols, and head-up display technology enhance user experience. Augmented reality overlays, haptic feedback systems, connectivity management, user interface design, software development lifecycle, and vehicle-to-infrastructure communication complete the connected car ecosystem.

Market Research Overview

The Connected Car Market is a significant segment of the global automotive parts and equipment industry, encompassing telematics systems, over-the-air updates, and in-vehicle infotainment. This market caters to companies manufacturing components and accessories for various vehicle types, including passenger cars (PCs), electric vehicles (EVs), commercial vehicles (CVs), heavy-duty vehicles, off-road vehicles, motorcycles, scooters, quad bikes, and three-wheelers. According to Technavio, market growth is driven by the increasing integration of electronic components in automobiles, such as electronic control units (ECUs), fueled by the rising sales of EVs, motorcycles, and PCs. This trend has significantly boosted demand for advanced telematics systems, over-the-air updates, and in-vehicle infotainment solutions in the past decade.. Industries are leveraging the products belonging to the market for customer engagement, transactional notifications, and promotional offers.

Technavio Research
Jesse Maida
Media & Marketing Executive
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UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/