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

  • Electric mobility partnership announced
    June 25, 2012
    Volvo Car Corporation and Siemens have announced that they intend to jointly advance the technical development of electric cars through extensive strategic cooperation. The focus is on the joint development of electrical drive technology, power electronics and charging technology as well as the integration of those systems into Volvo C30 electric vehicles.
  • The move towards shared telematics platforms
    February 27, 2013
    Is the end for dedicated, in-vehicle telematics systems now in sight? Some seemed to think so at the recent Telematics Munich 2012 conference… Geoff Hadwick reports. Forget smartphone apps – leave that sort of thing to Apple and Google,” Roger Lanctot, associate director of the global automotive practice at consultancy Strategy Analytics told more than 700 delegates in Munich last month at the Telematics Munich 2012 conference. They are a waste of time and money, he said. Forget putting too much data on das
  • Motorcycle manufacturers partner on C-ITS
    October 9, 2015
    BMW Motorrad, Honda Motor Company and Yamaha Motor Company have joined forces to enhance Cooperative-Intelligent Transportation Systems (C-ITS) applications in powered two-wheelers (PTWs) and are working together to establish a consortium named Connected Motorcycle Consortium. According to the Memorandum of Understanding (MoU), which was signed by all European Association of Motorcycle Manufacturers (ACEM) manufacturing members in 2014, C-ITS features will be introduced from 2020 onwards. In order to acc
  • Innoviz and Harman combine to offer LiDAR to car makers
    January 17, 2019
    Innoviz Technologies and Samsung Electronics subsidiary Harman International have teamed up to offer LiDAR solutions to car manufacturers. The companies – Innoviz the manufacturer and Harman the supplier – say their partnership will support the “unstoppable move towards semi- to fully-autonomous vehicles (AVs)”. Last year, Innoviz signed a serial production agreement with BMW. InnovizOne is a solid-state LiDAR sensor designed specifically for automotive deployments, with an emphasis on what the com