The Software-Defined Vehicle (SDV) Market is being driven by Increasing demand for autonomous vehicles
The Software-Defined Vehicle (SDV) Market is expected to grow at a CAGR of 23.5% during 2024 and 2029. During this period, the market is also expected to show a growth of USD 96.93 billion. The automotive industry is experiencing a significant shift towards advanced safety technologies, with a focus on enhancing the safety and reliability of luxury vehicles, particularly SUVs. Due to the increasing number of road accidents and resulting fatalities, original equipment manufacturers (OEMs) are prioritizing the integration of innovative safety features in crossovers. These technologies include emergency brake assist, lane departure warning systems, collision mitigation warnings, blind-spot detection, and automatic emergency braking systems. While these systems have gained significant traction in sedans, their penetration rate in SUVs remains relatively low. However, this trend is set to change as OEMs increasingly prioritize the adoption of such safety technologies in SUVs to meet consumer demand for safer and more reliable vehicles.
Get more information on Software-Defined Vehicle (SDV) Market by requesting a sample report
The market is segmented based on
According to Technavio, There are several factors that are causing the market to flourish during the forecast period, which are as follows:
However, the market also witnesses some limitations, which are as follows:
Rich Experience: 20+ years leading global market research, trusted insights across industries.
Unlock Business Potential with Technavio: Maximize ROI with Technavio's tailored market research: deep dives and actionable insights.
Your Guide to Market Success: Empower your business with Technavio's market research and future-proof your decisions.
Market Scope |
|
Report Coverage |
Details |
Page number |
222 |
Base year |
2024 |
Historic period |
2019-2023 |
Forecast period |
2025-2029 |
Growth momentum & CAGR |
Accelerate at a CAGR of 23.5% |
Market growth 2025-2029 |
USD 96.93 billion |
Market structure |
market_structure.ucfirst |
YoY growth 2024-2025(%) |
22.0 |
Key countries |
US, China, Germany, Canada, UK, Japan, France, South Korea, Italy, and Spain |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Find out which segment is leading the market by accessing the free PDF report
Software-defined vehicles (SDVs) represent the future of the automotive industry, transitioning from conventional vehicles with hardware-centric configurations to more technologically advanced ones. SDVs enable over-the-air updates, online fixes, and continuous customer engagement through complex software systems. However, they also present new challenges, such as cyberattacks, remote hacking, and cyber threats, necessitating robust safety protocols, encryption procedures, and security patching. SDVs support autonomous driving, V2X communication, and driving assistance, while fleet management and remote diagnostics optimize operational costs. Monetization opportunities include SDV platform monetization and a software-centric business model. Standardizing hardware and prolonging vehicle life are essential to address software development shortcomings. Electric mobility and cloud-native technologies, along with opensource platforms, are integral to the SDV ecosystem. Amidst these advancements, automotive manufacturers must balance the shift towards software-centric approaches with the need for vehicle design and safety. Chip providers play a crucial role in ensuring secure and reliable hardware foundations for SDVs.
The Software-Defined Vehicle (SDV) market represents a significant segment within the broader IT software industry. SDVs, characterized by their complex software systems, differ from conventional vehicles with hardware-centric configurations. Companies specializing in SDV development and production fall under the application software market category. This market encompasses businesses engaged in creating software for specialized business or consumer applications, such as SDVs. Technavio's IT software market analysis includes companies offering over-the-air update capabilities for SDVs, ensuring operational cost savings through online fixes. However, this sector faces challenges like cyberattacks, necessitating robust security measures. As SDVs rely on intricate software systems, remote hacking poses a significant threat. The market's growth is driven by the potential for cost savings, improved functionality, and enhanced security features.. Industries are leveraging the products belonging to the market for customer engagement, transactional notifications, and promotional offers.
Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/
Safe and Secure SSL Encrypted