Skip to main content

Transition to keyless automotive access systems fuels growth opportunities

The rising popularity of mobility services such as car sharing, rental and leasing is stoking significant interest in keyless access systems, according to Frost & Sullivan research. Following the saturation of radio frequency technology, Bluetooth low energy (BLE), biometrics and near-field communication (NFC) are poised to emerge as the next wave of wireless technologies in the automotive industry. This evolution from legacy vehicle access system to advanced access systems opens the market to specialist co
December 20, 2016 Read time: 2 mins
The rising popularity of mobility services such as car sharing, rental and leasing is stoking significant interest in keyless access systems, according to 2097 Frost & Sullivan research. Following the saturation of radio frequency technology, Bluetooth low energy (BLE), biometrics and near-field communication (NFC) are poised to emerge as the next wave of wireless technologies in the automotive industry. This evolution from legacy vehicle access system to advanced access systems opens the market to specialist companies such as cyber-security enterprises, telematics providers and mobile application developers.

According to the study, Strategic Analysis of Automotive Keyless Access Systems, by 2025, the penetration rate of smart device and biometric-based access systems in the North American market is forecast to touch 8.1 per cent, while the penetration rate in EU is expected to be 9.0 per cent.

Automotive OEMs are cautious about incorporating new technologies and are working on resolving security-related challenges. For instance, they have been using standardized frequencies for communication as well as encryption and rotating codes for access. In the case of virtual keys, they are focusing on cyber-security for connected devices and placing restrictions on the number of features offered remotely.

“Advanced biometric technologies such as face, voice and iris recognition are highly accurate and frictionless, encouraging automotive OEMs to make them an integral authentication layer,” said Frost & Sullivan Mobility research analyst Meena Subramanian. “Traditional keys will exist along with smartphone based access becoming secondary option as smart devices face threats such as battery dependency, accuracy and security risks.

“OEMs that are keen to offer advanced access systems are increasingly partnering with technology companies, as this market transformation calls for industry consolidation,” noted Subramanian. “Overall, advanced passive start and entry system (PASE) structures that include personalisation features, such as steering wheel and tuner adjustments, smartphone-based access and frictionless access, will be the future of vehicle access systems.”

For more information on companies in this article

Related Content

  • Survey finds varied autonomy and safety technology preferences for new vehicles
    August 4, 2017
    New research on consumer preferences for full autonomy in new vehicles finds the technology is not yet popular among a broad audience, according to analysts at IHS Markit. Ironically, the same audience ranked it among the very features they would be willing to pay the most for in their next new vehicle purchase. Blind spot detection ranked highest as the most desired features among all audiences, young and old, and propensity to pay for it varied by region, with the US respondents reporting they would be wi
  • Positive growth opportunity predicted for motor manufacturers in automotive applications
    August 19, 2016
    The worldwide revenue for electric motors in automotive applications is expected to increase to over US$30 billion in 2019, up from US$26 billion in 2014, according to IHS Markit Technology. Likewise, technological innovations in the automotive industry have created momentum to drive the growth of the electric motor market, especially DC brushless motors, which is predicted to outperform market growth for all other motor types by double. The IHS Markit Technology report, Electric Motors in Automotive A
  • ITS market size ‘to reach US$38.68 billion by 2020’
    December 21, 2015
    The global ITS market is expected to reach US$38.68 billion by 2020, according to a new study by Grand View Research. Increasing demand for alleviating traffic congestion and growing need for enhancing existing transportation networks is expected to drive demand over the forecast period. Growing urban population and increased fund allotment by various governments across the globe is driving need for advanced transportation network. This is estimated to be fulfilled by proper use of wireless communication
  • 5.7 million fleet management systems in Europe by 2016
    August 6, 2012
    According to a new research report from the analyst firm Berg Insight, the number of active fleet management systems deployed in commercial vehicle fleets in Europe was 2.5 million in Q4-2011. Growing at a compound annual growth rate (CAGR) of 17.9 per cent, this number is expected to reach 5.7 million by 2016.