The global connected vehicle market stood at a value of around USD 123.48 Billion in 2024. The market is further expected to grow at a CAGR of 17.00% in the forecast period of 2025-2034 to attain a value of around USD 593.55 Billion by 2034.
In this regard, the growing dependency on technology is also propelling the adoption of connected vehicle technology to provide connectivity solutions such as machine-to-machine connectivity systems. These factors are predicted to drive the market growth in the coming years.
The rising demand for improved vehicle safety in order to reduce road accidents is anticipated to aid the industry growth in the forecast period. According to the UN statistics, approximately 1.3 million people succumb to road accidents every year, with around 20-50 million non-fatal injuries. In this regard, the connected vehicle technology helps connect digital devices nearby with the vehicle to provide the driver with information such as the density of pedestrian population or two wheelers ahead in the route. Moreover, the increasing technological dependency is driving consumers to invest in vehicles that provide connectivity features, for instance, to engage with music streaming applications or audiobooks, or attend a call safely while on the go. Furthermore, this technology is estimated to help reduce traffic jams and road congestion by diverting oncoming vehicles from areas observing high traffic density. These factors are expected to aid the market growth in the coming years.
Rising Demand for Passenger Cars to Augment the Market Growth of the Global Connected Vehicle Industry
Based on vehicle type, the passenger car segment is expected to hold a significant share in the connected vehicle industry during the forecast period. This growth can be attributed to the rising population across the globe and the increased demand for vehicles. In addition, the increasing disposable incomes, improved living standards, and heightened accessibility to passenger vehicles are also expected to aid the market growth.In this regard, the growing dependency on technology is also propelling the adoption of connected vehicle technology to provide connectivity solutions such as machine-to-machine connectivity systems. These factors are predicted to drive the market growth in the coming years.
North America to Occupy a Significant Market Share in the Connected Vehicle Industry Globally
North America is predicted to hold a significant market share in the connected vehicle industry. The presence of advanced technology and the high consumer purchasing power in the region have been aiding the industry growth with the increased adoption of connected vehicles. Moreover, the growing research and development activities by the leading domestic players to innovate advanced vehicle technology are expected to further aid the market in the forecast period.Connected Vehicle: Market Segmentation
Connected vehicle technology is an emerging phenomenon wherein vehicles are able to connect with other nearby devices through wireless networks such as entertainment devices, smartphones, or other car systems. This concept is increasingly being utilised to formulate Intelligent Transportation Systems (ITS). In addition, this technology also provides parking and road safety assistance, infotainment, and global positioning system facilities, among others.By type, the market is distributed into:
- Embedded Solutions
- Integrated Solutions
- Tethered Solutions
On the basis of vehicle type, the industry can be categorised into:
- Passenger Car
- Truck
- Others
The regional markets for the product include:
- North America
- Europe
- Asia-Pacific
- Latin America
- Middle East and Africa
The rising demand for improved vehicle safety in order to reduce road accidents is anticipated to aid the industry growth in the forecast period. According to the UN statistics, approximately 1.3 million people succumb to road accidents every year, with around 20-50 million non-fatal injuries. In this regard, the connected vehicle technology helps connect digital devices nearby with the vehicle to provide the driver with information such as the density of pedestrian population or two wheelers ahead in the route. Moreover, the increasing technological dependency is driving consumers to invest in vehicles that provide connectivity features, for instance, to engage with music streaming applications or audiobooks, or attend a call safely while on the go. Furthermore, this technology is estimated to help reduce traffic jams and road congestion by diverting oncoming vehicles from areas observing high traffic density. These factors are expected to aid the market growth in the coming years.
Key Industry Players in the Global Connected Vehicle Market
The report gives a detailed analysis of the following key players in the global connected vehicle market, covering their competitive landscape, capacity, and latest developments like mergers, acquisitions, and investments, expansions of capacity, and plant turnarounds:- Airbiquity Inc.
- CloudMade Holdings Limited
- Robert Bosch GmbH
- Intellias Ltd.
- The Luxoft Holdings, Inc.
- Others
Table of Contents
1 Executive Summary
2 Market Overview and Stakeholder Insights
3 Economic Summary
4 Country Risk Profiles
5 Global Connected Vehicle Market Analysis
6 North America Connected Vehicle Market Analysis
7 Europe Connected Vehicle Market Analysis
8 Asia-Pacific Connected Vehicle Market Analysis
9 Latin America Connected Vehicle Market Analysis
10 Middle East and Africa Connected Vehicle Market Analysis
11 Market Dynamics
13 Competitive Landscape
Companies Mentioned
The key companies featured in this Connected Vehicle market report include:- Airbiquity Inc.
- CloudMade Holdings Limited
- Robert Bosch GmbH
- Intellias Ltd.
- The Luxoft Holdings, Inc.
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 155 |
| Published | August 2025 |
| Forecast Period | 2025 - 2034 |
| Estimated Market Value ( USD | $ 123.48 Billion |
| Forecasted Market Value ( USD | $ 593.55 Billion |
| Compound Annual Growth Rate | 17.0% |
| Regions Covered | Global |
| No. of Companies Mentioned | 6 |
