Skip to main content

Revenue growth of 30 per cent forecast for connected car market in 2016

According to research company Statista’s Digital Market Outlook (DMO), 2016 will see approximately 11 million connected cars in America, with almost 32 million intelligent cars on America’s streets by 2020. Worldwide the number of connected cars is forecast to rise to 160 million intelligent vehicles. Statista claims the main impact of the enormous growth of the market comes from the rapid development of new features and possibilities. The biggest segment however, according to the DMO, is not infotainmen
March 16, 2016 Read time: 2 mins
According to research company Statista’s Digital Market Outlook (DMO), 2016 will see approximately 11 million connected cars in America, with almost 32 million intelligent cars on America’s streets by 2020. Worldwide the number of connected cars is forecast to rise to 160 million intelligent vehicles.

Statista claims the main impact of the enormous growth of the market comes from the rapid development of new features and possibilities. The biggest segment however, according to the DMO, is not infotainment but security and driving assistance, which it says is being dominated by China. The revenue of the safety and supporting upgrades of connected cars in China will reach US$4.7 billion this year.

Google and Apple have already announced their cooperation with 994 Volkswagen to roll out services including the ability to remotely lock and unlock using the smartphone for 2016 model year vehicles.

However, the most rapid growing segment of connected cars is the intelligence maintenance and diagnosis of the cars and even of the drivers. This segment has seen a growth of over 200 per cent in revenue in 2015.

Now that Microsoft has announced it will join the connected car market, Statista forecasts huge potential for the software provider, which is focusing on business features as well as entertainment. The company has already announced partnerships with 609 Volvo to integrate Microsoft Band 2 with a Windows 10 smartphone and the Volvo on Call Universal App and with car accessories specialist 6328 Harman to integrate key elements of Microsoft Office 365 productivity suite capabilities into Harman infotainment systems.
 
The global market leader is America, according to Statists, which forecasts a market volume of around US$8.3 billion in 2016, followed by China with around US$8.1 billion. Japan is predicted to reach a cumulative revenue of US$3.8 billion and Germany US$ 3.1 billion.

For more information on companies in this article

Related Content

  • China-Sweden research centre for traffic safety opens
    December 24, 2012
    The China-Sweden Research Centre for Traffic Safety has been officially inaugurated in Beijing, attended by representatives of Volvo Cars and other research partners in the project, including Chalmers University of Technology in Gothenburg, Volvo Group, the Chinese Ministry of Transport's Research Institute of Highway and Tongji University in Shanghai. The governments of Sweden and China will contribute to fund the research centre.
  • Campaign calls for full funding for metropolitan transport
    February 9, 2015
    A US pressure group is pushing for full funding for metropolitan transport, with a campaign that could have implications for other public transport systems. The Move NY team campaign aims to bring a faster, safer, fairer transportation system to the greater New York metropolitan region. The Metropolitan Transportation Authority (MTA) is responsible for public transportation in the US state of New York, serving 12 counties in south-eastern New York, along with two counties in south-western Connecticut und
  • Data helps Ohio DoT get grant money
    January 25, 2022
    Ohio Department of Transportation turned to StreetLight Data when it needed to finalise grant money for a key infrastructure link. David Crawford sees how metrics brought in the cash…
  • Smart cars, smart roads seen as boosting safety
    August 29, 2014
    A new America THINKS survey from national infrastructure solutions firm HNTB Corporation, finds Americans craving more technology to keep them safe and informed when they hit the road. And many Americans would be willing to part with more cash to implement a connected vehicle system, which would allow drivers to be notified about road conditions and potential dangers electronically in real-time. In fact, nearly two-thirds of Americans think using transportation technology that keeps drivers informed is m