Start-ups ‘steering growth and innovation in global automotive and mobility industry’

From devising driver monitoring systems to mapping services and driver safety data on the go, start-ups are rapidly emerging in every technological vertical in the automotive space, say Frost & Sullivan researchers. Over 1,700 start-ups are focusing on developing technologies that enable electrification, autonomous cars and mobility solutions to reduce the cost of ownership and enhance user experience. Meanwhile, original equipment manufacturer (OEM) start-up initiatives such as BMW Start-up Garage, the JLR
May 24, 2017 Read time: 2 mins
From devising driver monitoring systems to mapping services and driver safety data on the go, start-ups are rapidly emerging in every technological vertical in the automotive space, say 2097 Frost & Sullivan researchers. Over 1,700 start-ups are focusing on developing technologies that enable electrification, autonomous cars and mobility solutions to reduce the cost of ownership and enhance user experience.


Meanwhile, original equipment manufacturer (OEM) start-up initiatives such as 1731 BMW Start-up Garage, the JLR Incubator Program, 278 Ford Mobility and 1959 GM Ventures, are fuelling start-up investment and the race to bring autonomous electric mobility to market.

The analysis, Start-ups Disrupting the Global Automotive and Mobility Industry, 2016-2017, finds the total start-up funding across various technological verticals garnered US$1.55 billion in 2016, with major investment focused on mobility, electrification and connected car technologies.

“By 2025, mobility solution revenue is expected to reach €1.89 trillion, and OEMs will look to capitalise on this by acquiring or investing in mobility start-ups across the globe,” said Frost & Sullivan Mobility Industry Analyst Ramnath Eswaravadivoo. “Tier 1 suppliers are also engaging in acquisitions and investments in start-ups in order to enhance their existing portfolio, gain a competitive edge, and become one-stop solution providers as evinced by Delphi’s acquisition of Movimento, Microsoft’s acquisition of Maluuba, and 6328 Harman’s investment in aftermarket head-up display provider Navdy.”

“In the future, all OEMs will look toward digitalisation of their ecosystem; Increasing digital retail and adoption of blockchain technologies will be critical success factors,” noted Eswaravadivoo.

For more information on companies in this article

Related Content

  • Four predictions for the automotive and transportation industry
    May 30, 2012
    Frost & Sullivan has released the results from its customer survey with several hundred companies conducted in December 2011, executed to find out the top predictions for 2012 for the global automotive and transportation market. Market growth in all regions except Europe, accelerated introduction of plug in hybrid and battery electric vehicles due to increasing fuel prices, mobility and integrated transportation as well as the integration of the smart phone with dedicated application stores and innovative H
    Read More
  • New IBM study details the future of automotive industry
    January 19, 2015
    IBM has revealed results of its new Automotive 2025 Global Study, outlining an industry ripe for disruptive changes that are breaking down borders of the automotive network. The study forecasts that while the automotive industry will offer a greater personalised driving experience by 2025, fully autonomous vehicles or fully automated driving will not be as commonplace as some think. The report also indicates that consumers not only want to drive cars; they want the opportunity to innovate and co-create t
    Read More
  • Making connections without compromising security
    November 10, 2017
    We listen in as global experts discuss connected vehicles and cybersecurity. By 2019 there will be almost 44 million connected cars globally and by 2022 that figure will be nearer 70 million; some 40% will be electric powered, according to market analyst Frost & Sullivan. But its report said the issue of end-to-end security for the new technology is still under debate, as vehicle OEMs engage with vendors to test specific security application areas for both over-the-air and vehicle-to-exterior services.
    Read More
  • Transdev and Delphi team up to develop on-demand autonomous transportation
    June 12, 2017
    Mobility services provider Transdev is partnering with Delphi Automotive to develop a global, fully automated, mobility-on-demand (AMoD) transport system. The system will utilise Transdev’s universal routing engine (URE) and Delphi’s automated driving platform, the Centralised Sensing, Planning and Localisation (CSLP) platform which Delphi is developing in partnership with Mobileye.
    Read More

Highlighted Content