South Korea Connected Car Market Size, Share, and COVID-19 Impact Analysis, By Technology (3G, 4G/LTE, and 5G), By Connectivity Solutions (Integrated, Embedded, and Tethered), and South Korea Connected Car Market Insights, Industry Trend, Forecasts to 2035.

South Korea Connected Car Market Insights Forecasts to 2035

• The South Korea Connected Car Market Size was estimated at USD 384.2 Million in 2024
• The Market Size is Expected to Grow at a CAGR of around 12.47% from 2025 to 2035
• The South Korea Connected Car Market Size is Expected to Reach USD 1398.9 Million by 2035

According to a research report published by Spherical Insights & Consulting, the South Korea Connected Car Market Size is anticipated to reach USD 1398.9 Million by 2035, growing at a CAGR of 12.47% from 2025 to 2035. The market is being driven by the development of communication technologies, such as 5G networks, which have greatly increased the capabilities of connected cars.

Market Overview

The South Korea connected car market refers to the segment of the automotive industry dedicated to cars with cutting-edge communication technologies that allow for real-time interaction with external networks, infrastructure, and devices is known as the "connected car market" in South Korea. These cars support functions like navigation, remote diagnostics, over-the-air (OTA) updates, vehicle-to-everything (V2X) communication, and in-car entertainment through the use of embedded systems, sensors, GPS, and wireless connectivity (such as 4G/LTE and 5G). Additionally, South Korea's connected car market is expanding at an unprecedented rate thanks to a combination of changing consumer preferences and technology breakthroughs. First, one of the main drivers has been the extensive use of Internet of Things (IoT) technology. Vehicles can now communicate with the surrounding infrastructure and with each other thanks to seamless connectivity, opening the door for improved safety features and effective traffic control. The need for connected cars has also increased as a result of the increased focus on data-driven insights. Notably, telematics solutions are now essential for gathering and evaluating data in real time, providing useful information to businesses and consumers alike.

Report Coverage

This research report categorizes the market for the South Korea connected car market based on various segments and regions and forecasts revenue growth and analyses trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the South Korea connected car 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-segment of the South Korea connected car market.

Driving Factors

A major factor in the market's growth has been the rising demand from consumers for better in-car experiences. Advanced infotainment systems, navigation services, and remote vehicle monitoring are examples of connectivity features that have become essential to the modern driving experience. The market for connected cars has also been strengthened by the development of autonomous driving technologies, as cars now need strong connectivity for smooth coordination and communication. In addition, the market for connected cars in South Korea is anticipated to be driven during the forecast period by regulatory initiatives that support safety standards and the integration of connected technologies to lower accidents and enhance overall road safety.

Restraining Factors

Cars that have more connected features, like over-the-air updates, remote diagnostics, and cloud-based navigation, are also more susceptible to cyberattacks. Particularly if the data could be accessed by foreign entities, this raises concerns about hacking, data leaks, and the unauthorized transfer of sensitive driver or vehicle information. As a result, South Korean consumers and regulators are growing increasingly wary of privacy and security issues in connected cars.

Market Segmentation

The South Korea connected car market share is classified into technology and connectivity solution.

• The 4G/LTE segment held a significant share in 2024 and is expected to grow at a significant CAGR during the forecast period.

The South Korea connected car market is segmented by technology into 3G, 4G/LTE, and 5G. Among these, the 4G/LTE segment held a significant share in 2024 and is expected to grow at a significant CAGR during the forecast period. Its increasing infrastructure, consistent performance, and compatibility with a wide range of connected car features including infotainment systems, remote diagnostics, and real-time navigation are the main reasons for its dominance.

• The embedded segment held a significant share in 2024 and is expected to grow at a significant CAGR during the forecast period.

The South Korea connected car market is segmented by connectivity solution into integrated, embedded, and tethered. Among these, the embedded segment held a significant share in 2024 and is expected to grow at a significant CAGR during the forecast period. This is driven by the growing need for smooth connectivity, safety regulations, and the desire of automakers for integrated solutions that improve data control and user experience. If you want a comparison between tethered and integrated systems, please let me know.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the South Korea connected car 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 Key Companies

• Hyundai Motor Company
• Kia Corporation
• LG Electronics
• Samsung Electronics
• SK Telecom
• Others

Recent Developments:

• In February 2025, BYD's first model launched in South Korea, the Atto 3, was equipped with connected car features, such as over-the-air (OTA) software update capability and navigation functions, through which sensitive driver data could have been transferred to China, according to market watchers.

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Market Segment

This study forecasts revenue at South Korea, regional, and country levels from 2020 to 2035. Spherical Insights has segmented the South Korea Connected Car Market based on the below-mentioned segments:

South Korea Connected Car Market, By Technology

• 3G
• 4G/LTE
• 5G

South Korea Connected Car Market, By Connectivity Solutions

• Integrated
• Embedded
• Tethered