Automotive V2X Market Statistics - 2027
The global automotive V2X market was valued at $2,565.6 million in 2019, and is projected to reach $11,718.7 million by 2027, registering a CAGR of 28.4%. Europe was the highest revenue contributor, accounting for $851.8 million in 2019, and is estimated to reach $3,030.5 million by 2027, with a CAGR of 24.4%.
Vehicle-to-everything (V2X) is a communication technology that allows a vehicle to communicate with other vehicles, road users, and infrastructure. The major purpose of V2X technology is to improve road safety, energy savings, and traffic efficiency on roads. The key components of V2X include vehicle-to-vehicle (V2V) & vehicle-to-infrastructure (V2I), vehicle-to-pedestrian (V2P), vehicle-to-grid (V2G), vehicle-to-cloud (V2C), and vehicle-to-device (V2D) communication systems. The automotive industry is evolving in the front of technology, enabling cars to interact with infrastructure such as traffic signals, pedestrian’s communication devices, other digital devices. These advancements in technology have challenged automotive makers to incorporate automotive V2X solutions that will offer enhanced safety, utility, and convenience to their customers.
The factors such as rise in adoption of connected cars and rapid increase in urbanization & industrialization are expected to drive the market growth. However, high cost of implementation and security concerns related to data communication hinder the automotive V2X market growth. On the contrary, future potential of 5G & AI technology coupled with the advancements in cellular-V2X (C-V2X) technology and developments in semi-autonomous & autonomous vehicles are expected to offer lucrative opportunities for the automotive V2X market growth during the forecast period.
By Communication
Vehicle-to-Infrastructure (V2I) Segment is projected as the most lucrative segment
The global V2X market is segmented into communication, connectivity, vehicle type, and region. Depending on communication, the market is bifurcated into vehicle-to-vehicle (V2V), vehicle-to-infrastructure (V2I), vehicle-to-pedestrian (V2P), vehicle-to-grid (V2G), vehicle-to-cloud (V2C), and vehicle-to-device (V2D). By connectivity, it is divided into dedicated short range (DSRC) communication and cellular-V2X (C-V2X) communication. On the basis of vehicle type, it is categorized into passenger cars and commercial vehicle. Region wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA.
The key players operating in the automotive V2X market are Altran, Autotalks Ltd., Continental AG, HARMAN International, Infineon Technologies AG, NXP Semiconductors, Qualcomm Technologies, Inc., Robert Bosch GmbH, Savari, Inc., and STMicroelectronics.
By Connectivity
Cellular-V2X (C-V2X) communication is projected as the most lucrative segments
Rise in adoption of connected cars
Connected vehicles enable cars to communicate via V2X platform with drivers, other vehicles, road infrastructure, and the cloud. These services allow automotive dealers, fleet operators, and drivers to optimize resource usage, improve safety, and automate certain driver functions, while generating valuable data, including vehicle performance and road conditions. Connected vehicles work by collecting information from their surroundings and communicating it to each other, as well as connect to the intelligent transportation infrastructure and provide transport authorities with real-time traffic data for better road management and improved infrastructure planning. Thus, the demand for connected car services has been witnessed to increase majorly attributed to rise in need for basic vehicle connectivity applications, such as real-time updates, navigation, and in-car infotainments. Moreover, surge in demand for connectivity solutions, rise in demand for an enhanced driving experience, and introduction of Internet of Things (IoT) in the automotive industry are the other key factors that contribute toward the adoption of the connected cars. Therefore, increase in V2X-based services provided in connected cars drives the growth of the automotive V2X market. For instance, in January 2017, Altran, a global design and engineering company, unveiled Strata V2X connectivity framework at the International Consumer Electronics Show (CES) in Las Vegas. This V2X connectivity framework is designed to enhance the vehicle experience in the areas of driver assistance, fuel & energy management, passenger road safety, and traffic management.
Rapid increase in urbanization & industrialization
Owing to the rapid development of economy in several developed countries across the globe, industrialization and urbanization have increased. In addition, in recent years, the V2X-based intelligent transport system (ITS) has been developed, which is considered as the key enabling technology to improve road safety, traffic efficiency, and driving experience. Moreover, macroeconomics factors such as increase in disposable income, rise in employment rates, and surge in overall GDP are inspiring the developments such smart cities with smart infrastructures facilities, which, in turn, are expected to propel the growth of the automotive V2X market. Furthermore, the growth of the global growth is propelled by the ongoing development & commercialization of cellular technologies and related infrastructure. These include systems such as 5G, LTE, and radio access technology (RAT), which reinforce smart transportation applications such as collision warning & avoidance, lane keeping assistance, and obstacle detection.
By Vehicle Type
Passanger Cars is projected as the most lucrative segments
Future potential of 5G & AI technology coupled with the advancement in cellular-V2X (C-V2X) technology
Artificial intelligence (AI) and 5G have an important role in the future of the automotive industry, as predictive capabilities are becoming more prevalent in cars, personalizing the driving experience. In addition, 5G and AI is better equipped with V2X to carry out critical communications for safer & secure driving. Moreover, cellular-V2X is a key contributor to the expansion of vehicle automation by establishing lines of communication between vehicles, roadside units, and pedestrians, making the vehicle more aware of its surroundings. The C-V2X technology is designed to be compatible with upcoming 5G network technologies, which will further enable mission-critical V2X and C-V2X to act as ultimate platforms to enable the cooperative intelligent transport systems (C-ITS) services and technology. Thus, the rapidly emerging use cases include autonomous driving, platooning, vehicle safety, and traffic efficiency has created requirement for operational efficient communication technology to attain the desired output level, which is expected to offer lucrative growth opportunities for automotive V2X market. 5G-enabled V2X communication operations are not compatible in the current stage with actual network traffic measurement. However, increase in interest has been witnessed among government agencies, automakers, and mobile operators to conduct extensive tests & trails of C-V2X along with 5G connectivity technology due to its connectivity efficiency, including the compatibility to support a range of advanced safety features and services such as precise location, co-operative automated driving, and sensor-related data management. This technology adoption of 5G-enabled V2X technology is expected to offer potential growth opportunities for market. For instance, in January 2018, Continental, Ericsson, Nissan, NTT DOCOMO, OKI, and Qualcomm Technologies announced plans to carry out cellular vehicle-to-everything (C-V2X) trials in Japan. In addition, in January 2019, a leading automaker, Ford announced to deploy 5G-enabled C-V2X in all their new vehicle models in the U.S. beginning in 2022.
COVID-19 impact analysis
The global impacts of the COVID-19 are already starting to be felt, and will significantly affect the automotive V2X market in 2020. There are apprehensions of extension to the lockdown period that could further hamper the production activity across all sectors, including the automotive industry. Thus, owing to the lockdown imposed, manufacturing units across the globe have halted their production, which is likely to affect the purchase of vehicles equipped with vehicle-to-everything (V2X) features. The COVID-19 crisis is creating uncertainty in the market, disruption of supply chain, decline in businesses, and increase in panic among customer segments. Governments of different regions have already announced total lockdown and temporarily shutdown of industries, which have affected the overall production and sales adversely. Therefore, the spread of the COVID-19 pandemic has negatively impacted the global automotive V2X market.
By Region
Asia Pacific would exhibit the highest CAGR of 32.4% during 2020-2027.
Key Benefits For Stakeholders
- This study presents the analytical depiction of the global automotive V2X market analysis along with the current trends and future estimations to depict imminent investment pockets.
- The overall automotive V2X market opportunity is determined by understanding profitable trends to gain a stronger foothold.
- The report presents information related to key drivers, restraints, and opportunities of the market with a detailed impact analysis.
- The current market is quantitatively analyzed from 2019 to 2027 to benchmark the financial competency.
- Porter’s five forces analysis illustrates the potency of the buyers and suppliers in the industry.
Automotive V2X Market Report Highlights
Aspects | Details |
By COMMUNICATION |
|
By CONNECTIVITY |
|
By VEHICLE TYPE |
|
By Region |
|
Key Market Players | Qualcomm Technologies, Inc, Savari, Inc, Autotalks Ltd, Robert Bosch GmbH, HARMAN International, Altran, Continental AG, NXP Semiconductors, STMicroelectronics, Infineon Technologies AG |
Analyst Review
Vehicle-to-everything (V2X) is the new era of connected technology in the automotive industry, and is penetrating with the significant rate. Automotive V2X enabled connected vehicle gain advantages in the area of safety, mobility and environmental benefits. The acceptance of the vehicle-to-vehicle or surrounding communication is increasing in the recent years, owing to acceptance in standards, initial commercialization, and string of successful trials. This changing need for communication results to operational as well as economic efficiency. Vehicle to infrastructure is expected to have significant potential in the upcoming years, owing to increase in penetration of connected technologies in the automotive sector, which creates requirement for infrastructural changes with smart high end technology to collect the data points from nearby infrastructure and process to operate safe, cost-effective operations.
The market players are focused to entering into the partnership to develop high-end technology-enabled V2X solutions to cater to the changing demands of end users. However, the outbreak of COVID-19 health crisis has negative impact on the overall market, owing to the weak financial performance of the original equipment manufacturers, as they are expected to focus on working capital management. Moreover, the recovery of the market is quite fast as digital technologies are evolving in the time of such health crisis. The expected time to recover the market will start from the third quarter of the 2021, and to gain momentum in 2022.
The global automotive V2X market was valued at $2.6 billion in 2019, and is projected to reach $11.7 billion by 2027, registering a CAGR of 28.4% from 2020 to 2027.
COVID-19 helath crisis has direct impact on the global automotive V2X market, however increasing health concern and growing adoption of digital technology in transportation front is expected to spur the demand for V2X technology
The report sample for global automotive V2X market report can be obtained on demand from the website.
5G & AI (Artificial intelligence) based V2X technolgies are gaining traction in the global market
Collabrations, Product development, Agreement are the key strategies adopted by the key players of global automotive V2X market
The company profiles of the top ten players of the market can be obtained from the company profile section mentioned in the report. This section includes analysis of top ten player’s operating in the industry along with their last three year revenue, segmental revenue, product offerings, key strategies adopted, and geographical revenue generated
Based on the automotive V2X market analysis, Europe accounts to be highest revenue contributor in 2019. However, Asia-pacific is expected to see a lucrative growth provides more business opportunities during the forecast period and expacted to surpass the Europe by the end of the forecast period
By Connectivity, Cellular-V2X (C-V2X) communication is expected to gain traction over the forecast period as well as domainate the market share in the global automotive V2X market by the end of the forecast period
US, UK, Germany has wirnessed as a key matured markets growing in the global automotive V2X market
The key players operating in the global automotive V2X market are Altran, Autotalks Ltd., Continental AG, HARMAN International, Infineon Technologies AG, NXP Semiconductors, Qualcomm Technologies, Inc., Robert Bosch GmbH, Savari, Inc. and STMicroelectronics.
Loading Table Of Content...