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Connected Car Market worth $26.4 billion by 2030 | MarketsandMarketsCHICAGO, June 17, 2024 /PRNewswire/ -- Connected Car Market is estimated to grow from USD 12.4 billion in 2024 to USD 26.4 billion by 2030, at a CAGR of 13.3%, according to a new report by MarketsandMarkets. Government initiatives towards developing intelligent transportation networks and the growing trend of in-vehicle connectivity solutions are two factors influencing the growth of the worldwide connected car market. Also, the consumer demand for a safer, more convenient, and entertaining driving experience is a significant driver. This aligns with stricter safety regulations and government support for connected car technology. Advancements in 5G infrastructure are crucial for enabling features like real-time traffic updates and autonomous driving. Consequently, the market for linked cars is anticipated to develop significantly.  Download an Illustrative overview: https://www.marketsandmarkets.com/pdfdownloadNew.asp?id=102580117 Browse in-depth TOC on "Connected Car Market" 317 - Tables Connected Car Market Scope:
ECU is the second largest market in the connected car market for hardware segment. The Electronic Control Unit (ECU) is a critical component in the hardware of connected cars, playing a central role in managing various functions and systems within the vehicle. The importance of ECUs stems from their ability to process and control data from different sensors and subsystems, ensuring seamless operation and coordination of advanced vehicle functionalities. Modern connected cars often have multiple ECUs dedicated to specific tasks, such as engine control, transmission control, infotainment, and advanced driver-assistance systems (ADAS). For instance, the Audi A8 features over 90 ECUs that manage everything from the powertrain to the advanced safety features, illustrating the complexity and integration required for modern vehicle operation. Considering the recent developments, Robert Bosch (Germany) inaugurated a new semiconductor plant in July 2022. Dresden signifies a substantial investment in ECU production for connected and electric vehicles, showcasing the industry's commitment to enhancing automotive electronics. Similarly, Visteon's (US) expansion of ECU production in Morocco in September 2021 highlights the growing demand for sophisticated ECUs in the European and North African regions, reflecting the industry's focus on meeting the evolving needs of connected car technologies. Strategic partnerships and acquisitions further emphasize the importance of ECUs in driving innovation and competitiveness in the connected car market. Continental's (Germany) collaboration with the Automotive Edge Computing Consortium (AECC) (Germany) and Aptiv's (US) acquisition of Wind River (US) in December 2022 demonstrate a concerted effort to advance ECU technologies and computing platforms for connected vehicles. Additionally, Nvidia's (US) partnership with Mercedes-Benz (Germany) to develop software-defined vehicles, leveraging Nvidia's advanced DRIVE Orin SoC as a central ECU, showcases the industry's push towards AI-driven autonomous driving and enhanced connected car capabilities. One of the key reasons the ECU market is the fastest-growing segment in the connected car market is the increasing complexity and sophistication of automotive systems. As vehicles become more advanced, the number of functions controlled by ECUs grows, leading to higher demand for these units. The rise of autonomous driving technologies and ADAS has mainly spurred the need for high-performance ECUs capable of processing large amounts of data in real time. For example, Tesla's Full Self-Driving (FSD) computer relies on multiple ECUs to handle inputs from cameras, radar, and ultrasonic sensors, making quick, accurate decisions to ensure safe and efficient vehicle operation. In conclusion, the investments, expansions, partnerships, and acquisitions in the ECU segment underscore the critical role of ECUs in shaping the future of connected cars. As automotive technology evolves rapidly, ECUs will remain at the forefront of innovation, enabling vehicles to offer advanced features, improved safety systems, and seamless connectivity. The industry's focus on enhancing ECU capabilities reflects a commitment to delivering cutting-edge solutions that meet the demands of a connected, intelligent automotive ecosystem, driving the growth and evolution of the connected car market. Cellular networks hold the fastest growing segment for the connected car market in the network segment. Cellular connectivity, particularly 3G/4G and 5G, is being increasingly adopted by automakers for embedded and integrated connected car solutions due to several key advantages over DSRC. One of the main reasons is the ability to leverage existing cellular infrastructure, which allows automakers to utilize the already deployed network and avoid the costs of setting up dedicated DSRC hardware. This makes cellular a more cost-effective solution for connected car applications, as automakers can integrate the necessary modules into their vehicles. Another significant advantage of cellular connectivity is its improved safety and reliability. Cellular V2X (C-V2X) can provide greater capacity and lower the chance of interruptions in service, ensuring reliable communication for safety-critical applications. C-V2X also offers a more extensive communication range, enabling advanced applications like vehicle-to-home (V2H) and vehicle-to-cloud (V2C) communication. For example, Tesla has been using cellular connectivity to provide over-the-air updates and remote diagnostics for its vehicles, demonstrating the potential of cellular technology in enhancing the connected car experience. Cellular connectivity also offers compatibility and convenience for automakers. C-V2X can be easily integrated into vehicles, as it is compatible with existing cellular technologies like 4G/LTE and 5G. This compatibility allows seamless integration with the vehicle's existing communication systems, reducing the implementation complexity. Cellular networks offer scalability and interoperability, as 5G can be run on private cell towers, making it more scalable. 5G also offers more interoperability in the long term, as it can be used for various smart city and IoT applications. For instance, Volvo has partnered with AT&T to provide cellular connectivity in its vehicles, demonstrating the automaker's commitment to leveraging cellular technology for its connected car solutions. While the initial deployment costs of C-V2X may be higher than DSRC due to cellular technology's complexity and challenging requirements, the long-term benefits of cellular connectivity make it an attractive choice for automakers. The potential for advanced applications, such as autonomous driving and vehicle-to-everything (V2X) communication, is another factor driving the adoption of cellular technology in the connected car market. As cellular networks continue to evolve and 5G becomes more widely available, the adoption of cellular connectivity in embedded and integrated connected cars is expected to grow further, shaping the future of the automotive industry. North America is the second-largest region in the connected car market. North America is the largest market for connected cars, driven by advanced technological infrastructure, a robust automotive industry presence, high consumer demand, and a supportive regulatory environment. Considering the vehicles sales in North America, the number of automobiles sold in the US rose from 14.4 million in 2022 to 16.1 million in 2023, in which premium automobile sales (E, F, and SUV - E) category sales went from 1.6 million in 2022 to 1.8 million in 2023, a rise of ~12.1%. Additionally, D-segment car sales in the US rose by 4% from 4.1 million units in 2022 to 1.5 million units in 2023. Improved cellular V2X systems, telematics systems, dynamic route optimisation, in-car Wi-Fi and internet access, and over-the-air software upgrades for sedans and premium vehicles are just a few of the technologies available in these high-end cars. Moreover, there is a strong presence of major automotive manufacturers and technology companies in North America further fuels the growth of the connected car market. Leading automakers such as General Motors, Ford, and Tesla are at the forefront of integrating advanced connectivity features and are heavily investing in autonomous driving and connectivity technologies. For instance, Ford plans to invest USD 29 billion in autonomous and electric vehicles through 2025. Moreover companies like Tesla's who is known for their Autopilot and Full Self-Driving (FSD) systems, which rely on extensive connectivity and real-time data processing, set a high standard for autonomous driving technologies. Similarly, General Motors' Cadillac models feature the Super Cruise system, utilizing high-definition maps and GPS for hands-free driving on highways. Ford's FordPass Connect offers remote start, vehicle location tracking, and smart home device integration, exemplifying the convergence of automotive and IoT technologies. These innovations demonstrate the commitment of North American automakers to developing cutting-edge, connected car technologies. Regulatory bodies in North America have taken proactive steps to encourage the adoption of connected car technologies. The US Department of Transportation's Connected Vehicle Pilot Deployment Program has incentivized automakers to incorporate connectivity features, recognizing the potential for improved safety and efficiency. New safety regulations like the ANSI/UL 4600 standard for autonomous vehicles have emerged, focusing on the Safety of the Intended Functionality (SOTIF). Key players such as Google's Waymo and Apple are influencing the market through innovative product launches and partnerships. Additionally, significant mergers and acquisitions, like Intel's USD 15.3 billion acquisition of Mobileye, are reshaping the landscape by integrating advanced AI and sensor technologies into vehicle platforms. These developments highlights a dynamic shift towards smarter, safer, and more connected automotive experiences in the U.S. market. Embedded car systems are particularly prevalent in the USA, driven by the advanced infrastructure and consumer demand for high-tech features. Integrating embedded systems allows for sophisticated functionalities such as ADAS, real-time diagnostics, and over-the-air (OTA) updates. Vehicles like the Ford F-150 come equipped with FordPass Connect, which provides features such as remote start, vehicle location tracking, and integration with smart home devices. Similarly, Tesla's embedded systems enable continuous software updates and enhancements to the Autopilot and FSD features, ensuring that vehicles remain up-to-date with the latest technological advancements. Hence, North America is positioned as the largest market for connected cars, driven by advanced technological infrastructure, a robust automotive industry presence, high consumer demand, and supportive regulatory frameworks. Request Sample Pages: https://www.marketsandmarkets.com/requestsampleNew.asp?id=102580117 Connected Car Market Dynamics: Drivers: 1. Increasing Adoption of Telematics and usage-based Insurance Restraints: 1. Lack of infrastructure for the proper functioning of connected cars Opportunities: 1. Development of ridesharing and mobility services Challenge: 1. Cybersecurity Key Market Players Connected Car Industry: Prominent players in the Connected Car Market include Continental AG (Germany), Robert Bosch GmbH (Germany), Harman International (US), Visteon (US), and Airbiquity Inc (US) The break-down of primary participants is as mentioned below:
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Related Reports: India Connected Car Market - Forecast to 2025 Autonomous / Self-Driving Cars Market - Global Forecast to 2030 Automotive LiDAR Market - Global Forecast to 2030 Sensor Market for Automated Vehicles - Global Forecast to 2030 Get access to the latest updates on Connected Car Companies and Connected Car Industry Growth About MarketsandMarkets™: MarketsandMarkets™ has been recognized as one of America's best management consulting firms by Forbes, as per their recent report. MarketsandMarkets™ is a blue ocean alternative in growth consulting and program management, leveraging a man-machine offering to drive supernormal growth for progressive organizations in the B2B space. We have the widest lens on emerging technologies, making us proficient in co-creating supernormal growth for clients. Earlier this year, we made a formal transformation into one of America's best management consulting firms as per a survey conducted by Forbes. The B2B economy is witnessing the emergence of $25 trillion of new revenue streams that are substituting existing revenue streams in this decade alone. We work with clients on growth programs, helping them monetize this $25 trillion opportunity through our service lines - TAM Expansion, Go-to-Market (GTM) Strategy to Execution, Market Share Gain, Account Enablement, and Thought Leadership Marketing. Built on the 'GIVE Growth' principle, we work with several Forbes Global 2000 B2B companies - helping them stay relevant in a disruptive ecosystem. Our insights and strategies are molded by our industry experts, cutting-edge AI-powered Market Intelligence Cloud, and years of research. The KnowledgeStore™ (our Market Intelligence Cloud) integrates our research, facilitates an analysis of interconnections through a set of applications, helping clients look at the entire ecosystem and understand the revenue shifts happening in their industry. To find out more, visit www.MarketsandMarkets™.com or follow us on Twitter, LinkedIn and Facebook. Contact: Logo: https://mma.prnewswire.com/media/1951202/4609423/MarketsandMarkets.jpg
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