Global Automotive IoT Market Insights Forecasts to 2032
- The Automotive IoT Market Size was valued at USD 115.37 Billion in 2022.
- The Market Size is Growing at a CAGR of 23.8% from 2022 to 2032.
- The Worldwide automotive IoT Market Size is expected to reach USD 975.66 Billion by 2032
- Asia-Pacific is expected To Grow the fastest during the forecast period.
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The Global Automotive IoT Market Size is expected to reach USD 975.66 Billion by 2032, at a CAGR of 23.8% during the forecast period 2022 to 2032.
Automotive IoT refers to the integration of Internet of Things (IoT) technology in the automotive industry. It involves connecting vehicles to the internet and enabling them to communicate with each other, with infrastructure, and with external devices. Automotive IoT aims to enhance vehicle safety, improve efficiency, and provide an enhanced driving experience. Through IoT-enabled sensors, vehicles can collect and exchange real-time data on traffic conditions, weather, vehicle performance, and driver behavior. This information can be used for various purposes, such as predictive maintenance, intelligent navigation, and autonomous driving. Additionally, IoT connectivity enables the integration of smartphones and other devices with vehicles, offering features like remote monitoring, vehicle tracking, and personalized infotainment services. The rapid advancements in automotive IoT are shaping the future of transportation and paving the way for connected, autonomous, and smart vehicles.
This research report categorizes the market for automotive IoT market based on various segments and regions and forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the automotive IoT market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segments of the automotive IoT market.
Global Automotive IoT Market Report Coverage
|Market Size in 2022:||USD 115.37 Billion|
|Forecast Period 2022-2032 CAGR:||23.8%|
|2032 Value Projection:||USD 975.66 Billion|
|Historical Data for:||2018-2021|
|No. of Pages:||200|
|Tables, Charts & Figures:||100|
|Segments covered:||By Offering, By Connectivity, By Communication Type, By Application, By Region,|
|Companies Covered:||• NXP Semiconductors • Harman • Robert Bosch • Thales • TomTom International • IBM • Geotab Inc. • Texas Instruments • Intel Corp. • Eurotech • STMicroelectronics • Renesas • Infineon Technologies • Airbiquity • Qualcomm • Visteon • Vodafone Group • Microsoft Corporation • Alphabet Inc. • AT&T • Cloudmade • Sierra Wireless|
|Pitfalls & Challenges:||COVID-19 Empact, Challenge, Future, Growth, & Analysis|
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The automotive IoT market is driven by several factors. The increasing demand for connected cars and the integration of advanced technologies in vehicles propel market growth. The need for enhanced safety features, efficient vehicle management, and improved user experience has led to the adoption of automotive IoT solutions. Additionally, government regulations mandating the inclusion of safety features like telematics and connected services in vehicles further drive market expansion. The rising popularity of autonomous vehicles and the growing focus on reducing carbon emissions have also fueled the automotive IoT market. Furthermore, the emergence of 5G technology offers faster and more reliable connectivity, facilitating the widespread implementation of IoT solutions in automobiles. The convergence of IoT with artificial intelligence, machine learning, and cloud computing further accelerates market growth by enabling advanced analytics and intelligent decision-making in the automotive industry.
The automotive IoT market faces certain restraints that hinder its growth. The concerns over data privacy and security pose a significant challenge. With increased connectivity and data sharing, there is a risk of unauthorized access, cyber-attacks, and misuse of personal information. Addressing these security concerns is crucial to gaining consumer trust and widespread adoption of Automotive IoT solutions. Additionally, the high cost of implementing IoT technology in vehicles and the need for infrastructure upgrades can be a barrier for market expansion, particularly in developing regions. Moreover, the complexity of integrating IoT systems with existing automotive architectures and the lack of standardization pose technical challenges. These restraints require comprehensive solutions and collaborative efforts to overcome and ensure the sustainable growth of the Automotive IoT market.
- In 2022, the in-vehicle communication segment accounted for around 37.8% market share
On the basis of the communication type, the global automotive IoT market is segmented into in-vehicle communication, vehicle-to-vehicle communication, and vehicle-to-infrastructure communication. In-vehicle communication is expected to hold a significant market share in the automotive IoT market. This technology enables communication between different components within the vehicle, as well as between vehicles and external devices. In-vehicle communication plays a crucial role in enhancing safety, efficiency, and overall driving experience. It enables real-time data exchange between various systems, such as engine management, brake control, and entertainment systems, leading to improved vehicle performance and functionality. Furthermore, in-vehicle communication facilitates advanced driver assistance systems and cooperative intelligent transportation systems, enabling vehicles to share critical information with each other and with infrastructure to prevent accidents and optimize traffic flow. Moreover, the integration of in-vehicle communication with emerging technologies like 5G and edge computing further enhances its capabilities. With the increasing focus on connected and autonomous vehicles, in-vehicle communication is poised to have a significant market share, driving the growth of the automotive IoT industry.
- In 2022, the hardware segment dominated with more than 55.4% market share
Based on offering type, the global automotive IoT market is segmented into hardware, software, and services. Microcontrollers are expected to account for the largest share of the automotive IoT market for the hardware segment. Microcontrollers play a vital role in enabling connectivity and intelligence in automotive systems. These small-sized integrated circuits contain a microprocessor, memory, and various peripheral interfaces, allowing them to control and manage diverse functions within the vehicle. Microcontrollers are used in a wide range of automotive applications, including infotainment systems, engine control units, safety systems, and sensor modules. They provide the necessary processing power and real-time responsiveness to handle data processing, communication protocols, and sensor integration. With the increasing demand for connected cars and advanced functionalities, the need for microcontrollers in automotive IoT applications is growing rapidly. Additionally, the continuous development of low-power microcontrollers with enhanced processing capabilities and security features further strengthens their position in the automotive IoT market. Hence, microcontrollers are expected to dominate the hardware segment, ensuring seamless connectivity and efficient data management in automotive IoT implementations.
Regional Segment Analysis of the Automotive IoT Market
- North America (U.S., Canada, Mexico)
- Europe (Germany, France, U.K., Italy, Spain, Rest of Europe)
- Asia-Pacific (China, Japan, India, Rest of APAC)
- South America (Brazil and the Rest of South America)
- The Middle East and Africa (UAE, South Africa, Rest of MEA)
North America dominated the market with more than 43.5% revenue share in 2022.
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Based on region, North America has emerged as the dominant region in the automotive IoT market. Several factors contribute to its dominance. The region is home to some of the world's leading automotive manufacturers and technology companies, fostering innovation and driving the adoption of IoT in vehicles. North America has a robust telecommunications infrastructure and widespread internet penetration, facilitating seamless connectivity for IoT-enabled vehicles. Additionally, the region has high consumer demand for connected cars, advanced safety features, and personalized infotainment services. Moreover, favorable government initiatives and regulations promoting the deployment of connected vehicles have further accelerated the growth of the automotive IoT market in North America. The presence of a large number of IoT solution providers and research institutions also contributes to the region's leadership in this market. Overall, these factors position North America as a key driver and frontrunner in the automotive IoT industry.
The report offers the appropriate analysis of the key organizations/companies involved within the global automotive IoT market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.
List of Companies:
- NXP Semiconductors
- Robert Bosch
- TomTom International
- Geotab Inc.
- Texas Instruments
- Intel Corp.
- Infineon Technologies
- Vodafone Group
- Microsoft Corporation
- Alphabet Inc.
- Sierra Wireless
Key Target Audience
- Market Players
- Government Authorities
- Consulting and Research Firm
- Venture Capitalists
- Value-Added Resellers (VARs)
- In January 2023, VinFast and NXP Semiconductors have joined forces to collaborate on the next generation of automotive applications for VinFast vehicles. This collaboration aims to support VinFast's objective of creating smarter, cleaner, and connected electric vehicles. As part of the collaboration, VinFast plans to utilize NXP's processors, semiconductors, and sensors. Both companies will work together in the initial development stages of new automotive projects at VinFast, taking advantage of NXP's extensive range of system solutions for innovative applications in the automotive sector.
This study forecasts revenue at global, regional, and country levels from 2019 to 2032. Spherical Insights has segmented the global automotive IoT market based on the below-mentioned segments:
Automotive IoT Market, By Offering
Automotive IoT Market, By Connectivity
- Embedded Systems
- Tethered Systems
- Integrated Systems
Automotive IoT Market, By Communication Type
- In-vehicle Communication
- Vehicle-to-vehicle Communication
- Vehicle-to-infrastructure Communication
Automotive IoT Market, By Application
Automotive IoT Market, Regional Analysis
- North America
- Rest of Europe
- Asia Pacific
- South Korea
- Rest of Asia Pacific
- South America
- Rest of South America
- Middle East & Africa
- Saudi Arabia
- South Africa
- Rest of Middle East & Africa
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