Skip to main content

Advanced telematics and integration to revolutionise global connected car market

Advanced infotainment systems, over-the-air (OTA) updates, big data analytics, mobility services and in-car security are key technologies that will shape the global connected car market in 2015. Human machine interface (HMI) input and output solutions, as well as, heads up display (HUD) are set to take centre stage. However, car makers must create consumer-centric HMI solutions that will strike a balance between reducing driver distraction and meeting consumer need for connected services. New analysis f
May 22, 2015 Read time: 3 mins
Advanced infotainment systems, over-the-air (OTA) updates, big data analytics, mobility services and in-car security are key technologies that will shape the global connected car market in 2015. Human machine interface (HMI) input and output solutions, as well as, heads up display (HUD) are set to take centre stage. However, car makers must create consumer-centric HMI solutions that will strike a balance between reducing driver distraction and meeting consumer need for connected services.

New analysis from 2097 Frost & Sullivan, 2015 Outlook of the Global Connected Car Market, finds that with 90 per cent of original equipment manufacturers (OEMs) in North America having deployed connected telematics solutions, making it the leading market for associated innovations. With over 20 launches in the last two years, China is becoming the second interesting region from a deployment standpoint, while mandates around eCall, vehicle safety and driver distraction will act as catalysts for telematics use in Europe.

“While embedded connectivity is on the rise due to specific regulations related to telematics, shared data plans and smartphone-based connectivity will also gain prominence in the global mass market,” said Frost & Sullivan Automotive & Transportation research analyst Ramnath Eswaravadivoo. “OEMs wanting to compete with free smartphone-based navigation solutions are offering connected capabilities with dynamic re-routing, real-time traffic and point of interface services.”

Since 2G connections are likely to be discontinued in North America by 2017, the seamless running of networks with 3G and 4G coverage will prove to be a rigorous task. In addition, consumers are unwilling to pay extra for in-car long-term evolution (LTE) connections, and the penetration of LTE in mobile handsets remains slow. Nevertheless, 4G LTE networks are expected to cover over 60 percent of the world’s population by 2020, generating new revenue possibilities.

OTA updates are becoming critical to providing a smooth end-user experience, thus the security aspect gains extreme importance and poses yet another challenge. Security must evolve from offering feature-level safety to delivering in-vehicle and back-end protection, covering multiple areas such as OTA, connected services, user data protection and virtualization.

“Meanwhile, the large-scale acceptance of big data and predictive analytics will bring in new service and revenue opportunities,” added Frost & Sullivan Automotive & Transportation research manager Praveen Chandrasekar. “Harnessing vehicle data into the next generation of advanced diagnostics will enable OEMs to lengthen customer relationships to more than three years and tap into the longer-term maintenance and service business.”

For more information on companies in this article

Related Content

  • EU government joins forces with industry to transform road safety
    January 16, 2013
    The first V2X for Auto Safety & Mobility Conference, to be held in Frankfurt on 20-21 February, will bring together expert speakers from ITS UK, European Commission, BMW, Renault and Scania to devise a unified commercialisation and deployment strategy for vehicle and infrastructure technology to accelerate safety and mobility. Telematics Update, organisers of the conference, say that vehicle to vehicle communication will transform automotive safety, enabling deployment of effective active safety features fo
  • China Telecom selects Gemalto contactless payment
    March 24, 2015
    Amsterdam-based digital security provider Gemalto is to provide China Telecom with a mobile contactless payment solution using its UpTeq Multi-tenant NFC SIMs to deploy secure NFC transport services in China's two largest cities, Shanghai and Beijing. China Telecom is a leading operator in the country with more than 183 million subscribers. This deployment will enable up to 45 million daily commuters to travel on the metro and pay for everyday purchases with a simple tap of their smartphone. The NFC SIMs ar
  • TTTech joins SafeTrans transportation safety group
    March 7, 2013
    To strengthen its close cooperation with partners and experts in the transportation field, Austrian network solutions provider TTTech has become a member of the competence group Safety in Transportation Systems (SafeTrans). SafeTrans is a group of industry experts and decision makers from railway, aerospace, space, automotive, off-highway and industrial segments and academia. The goal of the group is to combine know-how regarding research and development in the sector of embedded systems for transportation
  • Smart sensor technology predicted to drive global smart communities market until 2020
    April 12, 2016
    According to the latest research study released by Technavio, the global smart communities market is expected to grow at a CAGR of over 18 per cent until 2020. The report, Global Smart Communities Market 2016-2020, provides an in-depth analysis of market growth in terms of revenue and emerging market trends. This market research report also includes up to date analysis and forecasts for various market segments, including smart grids, smart community buildings, smart community transportation, and smart c