Around 420 million connected cars expected on the road in 2018

According to French think tank IDATE, there will be 420 million connected cars on the road by 2018, compared to 45 million in 2013, an annual growth of 57 per cent. IDATE attributes the development of the market to European safety regulations and manufacturers looking to identify new sources of revenue.
May 9, 2014 Read time: 2 mins
RSSAccording to French think tank 7768 IDATE, there will be 420 million connected cars on the road by 2018, compared to 45 million in 2013, an annual growth of 57 per cent. IDATE attributes the development of the market to European safety regulations and manufacturers looking to identify new sources of revenue.

Connected cars are equipped with internet access, allowing external communication and access to applications or terminals both inside and outside of the vehicle.

Three technical solutions currently exist: smartphones used to manage connectivity, on-board integrated technology dedicated to connected services and offering the most technical possibilities, or a combination of the two, with the smartphone used for entertainment purposes and the integrated system for Telematics services. The integrated system solution is set to lead the market with more than 222 million units expected to be sold in 2018. At present, the main business model for operators is B2B2C, with these operators looking to charge manufacturers for traffic generated. As for internet actors, 1691 Google is focusing on on-board technology and data collection to better target advertisements, while 493 Apple is offering new technology to allow an interface with its products.

Revenue from vehicle connectivity is expected to reach US$11.10 billion in 2018.
Location Based Systems

For more information on companies in this article

Related Content

  • Debating road user charging systems
    January 26, 2012
    Are pre-launch trials of charging systems the way to improve public acceptance? Or is the real key a more robust political attitude? Here, leading system suppliers discuss the issue. The use of distance-based Road User Charging (RUC) is now well established, at least for heavy goods vehicles on strategic roads. However demand management for all vehicles, whether a distance-based charge or some form of cordon scheme, has yet to make significant progress. This is in spite of the logic and equity of RUC being
    Read More
  • EV charging infrastructure market predicted to grow by almost 50 per cent by 2025
    May 19, 2017
    The global electric vehicle charging infrastructure market is expected to reach US$45.59 billion by 2025, growing at a CAGR of 46.8 per cent from 2017 to 2025, according to a new report by Grand View Research. Governments around the world are encouraging the adoption of electric vehicles and incentive programs, such as tax rebates, grants, and subsidies, have been launched to promote the same. The increasing adoption of electric vehicles is expected to be more in the passenger cars segment, in comparison wi
    Read More
  • Valeo and Mobileye sign technology agreement
    March 12, 2015
    Camera-based driving assistance systems supplier Mobileye and Valeo have joined forces to combine Mobileye's EyeQ family of microprocessors and computer vision algorithms with Valeo's driving assistance sensor portfolio. Under the cooperation agreement, Valeo, which develops driving assistance systems, will design and industrialise a range of front-facing camera solutions and sensor fusion products using Mobileye's EyeQ family of microprocessors and computer vision algorithms. The product portfolio will inc
    Read More
  • US drivers turning to alternative fuel vehicles says research
    December 19, 2012
    Increasing numbers of US customers are turning to alternative fuel vehicles, according to the latest research from Mintel, which shows that sales are up 73%, with nearly 440,000 hybrid, plug-in hybrid, and electrics sold thus far this year. The rapid sales growth in hybrid and electric vehicles makes the segment the fastest growing in the US for 2012, supplanting the still fast growing, compact car vehicle segment. The number of plug-in and electric models available to the public has nearly quadrupled over
    Read More

Highlighted Content