According to a new market report published by Transparency Market Research — Connected Car Market — Global Industry Analysis, Size, Share, Growth, Trends and Forecast — 2013-2019, the global connected car market is expected to reach $131.9 billion U.S. by 2019, growing at a compound annual growth rate (CAGR) of 34.7 per cent between 2013 and 2019.
Fourth generation (4G) long-term evolution (LTE) technology is in a commanding position due to its lower operating costs associated with high data transmission volumes compared with other technologies.
Growth in the global connected car market is primarily being driven by factors such as growing awareness about safety and security and need for connectivity. Safety and security services such as emergency call (eCall) and stolen vehicle tracking (SVT) are becoming more popular among consumers. Demand for other services such as gaming, entertainment, traffic information, and weather and location information is also growing.
Among major connectivity technologies, 4G held more than 30 per cent of the entire connected car market in 2012 due to its high speed and simplified network architecture. In terms of connectivity solutions, integrated solutions dominated the global connected car market in 2012, largely because they eliminate the requirement of costly hardware in vehicles, unlike tethered solutions. Currently, demand for integrated solutions is being driven by government mandates in developed regions, namely the U.S. and Europe.
China is expected to be the largest consumer for this solution in coming years owing to the growing usage of web-based applications. Due to the growing demand for traffic information services among consumers, navigation applications are popular among masses. Among all the application segments, navigation dominated the global connected car market with more than a 40 per cent share in 2012.
North America was the biggest consumer of connected cars and held more than 50 per cent share of the entire connected vehicle market in 2012, due to high levels of Internet usage and online mobility. The Asia Pacific region is expected to be the fastest growing region in coming years, fueled by increasing demand from China, India, and Australia.
Vehicle manufacturers such as General Motors, Hyundai Motor Co., Ford Motor Company, Mercedes-Benz, and Audi are among those who have signed agreements with other category players to develop connected vehicle solutions. These include application providers, wireless module developers, platform providers, and connectivity network providers. Example firms involved with OEM partnerships include Microsoft Corporation, Verizon Communications, AT&T, Intel, Sierra Wireless, Broadcom Corporation, Gemalto, T-Systems, T-Mobile, and Delphi Automotive LLP.
To read the full report, click on the link: http://www.transparencymarketresearch.com/connected-car.html
