Europe Connected Vehicle Market

Europe Connected Vehicle Market Size (2024 to 2029)

The Europe-connected vehicle market is expected to reach USD 6.67 billion in 2024 and reach USD 14.38 billion by 2029, growing at a CAGR of 17.5% during the forecast period 2024 to 2029. 

MARKET OVERVIEW

Connected vehicle technology is equipment or an application that enables the general public to test and assess technology that will allow smartphones, other devices, roads, trains, buses, and other infrastructure to communicate with one another. 

MARKET DRIVERS

The growing demand for connectivity devices in vehicles and the increasing trend in connectivity solutions are the main factors driving the growth of the Europe connected vehicles market during the forecast period. The growing reliance on technology and an increase in the number of tech-savvy people in Europe further accelerate the growth of the Europe-connected vehicles market. Moreover, the ease of car diagnostics with mobile applications in Europe generates the demand for connected vehicles in the region. The government in various countries of Europe is focusing on the safety of the people to prevent death and injuries caused by vehicle accidents. To ensure safety and reduce vehicle accidents, the government is implementing mandatory Advanced Driver-Assistance Systems (ADAS) features and safety norms. The increasing rules imposed by governments and transportation authorities for the installation of technologically advanced devices in automobiles are further boosting the growth of the Europe-connected vehicles market.

MARKET RESTRAINTS

The lack of high-speed internet and the poor network connections in certain areas in Europe may restrict the growth of the Europe-connected vehicles market during the forecast period. Moreover, the high costs of maintenance and high cost of insurance associated with the connected devices may further restrain the growth of the Europe connected vehicles market. In addition to this, the increasing prevalence of cyber-attacks and data hacking may hamper the growth of the Europe-connected vehicles market to a certain extent. However, several initiatives taken by the government to reduce cyber attacks will boost the growth of the Europe-connected vehicles market.

REPORT COVERAGE

This research report on the Europe connected vehicle market is segmented and sub-segmented into the following categories.

Europe Connected Vehicle Market Analysis By Application

• Driver Assistance
• Telematics
• Infotainment
• Mobility management

Based on the application, the driver assistance segment is expected to dominate the Europe-connected vehicle market during the forecast period. With the use of driver assistance, autonomous taxis are anticipated to deliver passengers to their intended locations. This creates several avenues for growth for the leading companies in the connected car market.

Europe Connected Vehicle Market Analysis By Technology Type

• 5G
• 4G
• 3G
• 2G

The 5G segment is expected to grow at the highest CAGR during the forecast period. Various companies prefer advanced 5G networks for enhanced communication between various devices and vehicles. 5G Automotive Association was created to build end-to-end solutions for upcoming mobility and transportation services to connect the telecom sector with automobile manufacturers. According to the 5GAA, 60% of road accidents can be avoided with the help of connectivity in vehicles.

Europe Connected Vehicle Market Analysis By Connectivity

• Integrated
• Embedded
• Tethered 

Based on connectivity, the integrated segment is expected to dominate the Europe-connected vehicle market during the forecast period. Integrated connectivity is affordable and provides limitless sharing options when compared to embedded systems. Consumers prefer constant internet connection and connectivity solutions that can work and let them connect to networks using their mobile devices. The above-mentioned factors boost the integrated segment’s growth during the forecast period.

Europe Connected Vehicle Market Analysis By Vehicle Type

• Passenger Cars
• Commercial Vehicle

Based on vehicle type, the passenger cars segment is anticipated to dominate the Europe connected vehicle market during the forecast period. The increasing prevalence of luxury cars in Europe is boosting the growth of the passenger cars segment during the forecast period.

Europe Connected Vehicle Market Analysis By Communication Type

• Vehicle to Vehicle (V2V)
• Vehicle To Pedestrian (V2P)
• Vehicle to Infrastructure (V2I)

Based on communication type, the vehicle-to-vehicle segment is anticipated to dominate the Europe-connected vehicle market during the forecast period. 

COUNTRY ANALYSIS

• UK
• Russia
• Germany
• Italy
• France
• Spain
• Sweden 
• Denmark
• Poland
• Switzerland
• Netherlands
• Rest of Europe

Germany's connected vehicle market is anticipated to dominate the shares during the forecast period. The number of automobile connected vehicles is increasing in Germany as the government is imposing favorable policies and advancements in autonomous vehicle technology. The new German road transport regulation, which permits the use of partially driverless vehicles for transportation, has also been introduced in Germany. Italy's connected vehicle market is anticipated to reach the highest growth rate during the forecast period 2022-2027. Spain's connected vehicle market will have significant growth opportunities in the coming years. 

KEY PLAYERS IN THE EUROPE-CONNECTED VEHICLE MARKET

Robert Bosch GmbH, Continental AG, Denso Corporation, Visteon Corporation, Harman International, AT&T Inc., TomTom N.V., Airbiquity Inc., Qualcomm Technologies Inc., Sierra Wireless, Infineon Technologies, Magna International, ZF Friedrichshafen AG. These are the market players that are dominating the Europe connected vehicle market.

RECENT HAPPENINGS IN THE EUROPE-CONNECTED VEHICLE MARKET

• In January 2022, Visteon Corporation, a world-class technology company servicing the mobility industry, announced the AllGo App Store as one of the latest solutions in its increasing range of connected car technologies for the mobility sector at CES 2022. The AllGo App Store was created to satisfy the rising demand for secure, practical, and linked access to app-based content in a smart cockpit.
• In July 2021, Denso Corporation launched "The COREs," a new online media platform. Through the new media website "The COREs," DENSO seeks to engage with this rapidly developing society focused on mobility by sharing details about its technologies, software solutions, and the various engineers who support its operations.