Automotive V2X Global Market Report 2024

The automotive v2x market size has grown exponentially in recent years. It will grow from $1.09 billion in 2023 to $1.56 billion in 2024 at a compound annual growth rate (CAGR) of 43.5%. The growth observed in the historical period can be linked to robust economic expansion in emerging markets, heightened investments in smart city infrastructure, a rise in vehicle theft incidents, and increased demand for autonomous mobility solutions.

The automotive v2x market size is expected to see exponential growth in the next few years. It will grow to $6.84 billion in 2028 at a compound annual growth rate (CAGR) of 44.7%. Forecasted growth is driven by rapid urbanization, increased safety features, expanding EV demand, and growth in the automotive industry. Key trends include advanced V2X connectivity solutions, C-V2X pilot projects, 5G integration, AI adoption, and cybersecurity implementations to fortify vehicle safety and market presence.

The surge in the demand for fully autonomous vehicles is anticipated to drive the growth of the automotive V2X market in the foreseeable future. Fully autonomous vehicles, characterized by minimal or no human intervention, stand to benefit significantly from Vehicle-to-Everything (V2X) communication. V2X technology provides crucial information that may be beyond the scope of other sensors, enhancing the capabilities of autonomous vehicles. Furthermore, it contributes to improved traffic efficiency by providing real-time data about traffic signals and conditions. A projection by Close Brothers Asset Finance in July 2021 indicated that approximately 73% of all cars in the UK would possess some level of autonomy (Levels 1-3) by 2025, with a notable 40% of individuals expressing willingness to use fully autonomous or semi-autonomous cars. Consequently, the growing demand for fully autonomous vehicles serves as a catalyst for the automotive V2X market's expansion.

The progression in next-generation communication technologies, particularly the advent of 5G, is poised to propel the automotive V2X market. 5G, the fifth generation of wireless network technology, brings forth advancements such as increased speeds and enhanced wireless service capacity. The superior data transfer capabilities of 5G compared to its predecessors, such as 4G and 3G, play a pivotal role in improving V2X communication systems. Gartner reported an estimated 39% growth in global 5G network infrastructure revenue, reaching $19.1 billion in 2021 from $13.7 billion in 2020. The coverage of 5G in tier-1 cities is expected to attain 60% by 2024, according to industry insights. The burgeoning adoption of 5G, especially in North America, where the 5G market is projected to surpass $180 billion by 2030 according to JPMorgan, will drive the demand for V2X technologies in automobiles, thereby fostering the growth of the automotive V2X market.

The automotive V2X market is experiencing a noteworthy trend with the proliferation of technological advancements, particularly the adoption of LTE-V2X technology. LTE-V2X, or Long-Term Evolution Vehicle-to-Everything, represents an innovative information and communication technology applied in road transportation systems. It facilitates the exchange of information between vehicles, humans, networks, and infrastructure. Key companies in the automotive V2X sector are actively engaged in the development of LTE-V2X technology to fortify their market positions. A notable example is Cohda Wireless, an Australia-based developer of safe and connected vehicle solutions, which introduced the MK6 Road-Side Unit (RSU) in September 2022. This RSU is a sophisticated and versatile vehicle-to-everything connectivity solution designed to enhance communication technology in connected vehicles. The MK6 RSU supports various communication capabilities, including DSRC, C-V2X, LTE/5G, and Wi-Fi/Bluetooth, offering reliability, flexibility, and interoperability for connected car deployments on smart roads and highways globally.

A prominent trend shaping the automotive V2X market is the integration of 5G technology. 5G, denoting the fifth generation of wireless mobile network technology, is designed to connect a myriad of objects, machines, and devices. In the context of automotive V2X, 5G technology is revolutionizing the driving experience by enabling cars to communicate with each other, share data regarding their current destination and speed based on previous road conditions, and connect to a city's smart network for accessing services and finding available parking. Tethered automotive V2X involves bringing in the modem and the UICC (SIM), while embedding intelligence/applications, and utilizing the vehicle HMI (human-machine interface). Automotive HMIs enhance interactions between drivers and vehicles in a more intuitive manner. Major players in the market are strategically focusing on the development of automotive V2X systems capable of 5G connectivity to advance connected technologies. A notable instance is General Motors, a USA-based automotive manufacturing company, which launched 5G connectivity vehicles for Chinese consumers in 2022.

In February 2021, Harman International acquired Savari, Inc., aiming to enhance its automotive telematics and ADAS capabilities in the V2X market, expanding expertise in 5G Edge and Multi-Access Edge Computing (MEC). Savari, known for innovations in V2X and 5G Edge, is a US-based automotive technology firm.

Major companies operating in the automotive v2x market report are Robert Bosch GmbH, NXP Semiconductors N.V., Samsung Electronics Co. Ltd., Lear Corporation, Continental AG, Qualcomm Technologies, Inc., LG Electronics, Aptiv PLC, Autotalks Ltd., Infineon Technologies AG, STMicroelectronics, Renesas Electronics, Aisin Automotive, Jost India, Mando Automotive India Pvt. Ltd., Automotive Axles Ltd., Denso India Pvt Ltd., Volvo Cars, Audi AG, Fibocom, Mercedes, Cohda Wireless, BMW Group, Delphi Technologies, Avtovaz, Avtotor, Kamaz, Sreda Ltd., Fort Telecom, Savari Inc., Harman International, Ford Motor Company, Verizon Communications, AT&T, Goodyear Middle East.

North America was the largest region in the automotive V2X market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the automotive v2x market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the automotive v2x market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

Automotive V2X technologies encompass emergency vehicle notification, automated driver assistance, passenger information systems, line of sight, and others. Connectivity options include Dedicated Short-Range Communication (DSRC) and cellular networks. Emergency vehicle notification facilitates alerts about approaching emergency vehicles. Vehicle types involved primarily comprise passenger cars and commercial vehicles. Communications within V2X include Vehicle-to-Vehicle (V2V), Vehicle-to-Infrastructure (V2I), Vehicle-to-Pedestrian (V2P), Vehicle-to-Grid (V2G), Vehicle-to-Cloud (V2C), and Vehicle-to-Device (V2D).

The automotive V2X market research report is one of a series of new reports that provides automotive V2X market statistics, including automotive V2X industry global market size, regional shares, competitors with a automotive V2X market share, detailed automotive V2X market segments, market trends and opportunities, and any further data you may need to thrive in the automotive V2X industry. This automotive V2X market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The automotive V2X market includes revenues earned by entities by offering optimize traffic flow, reduce traffic congestion and lessen the environmental impact of transportation. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.