BOULDER, Colo.--(BUSINESS WIRE)--A new report from Navigant Research analyzes the market for connected vehicles, with a focus on the key components of vehicle-to-external communications (V2X) technology, providing global forecasts of original equipment manufacturer (OEM) and aftermarket sales of V2X equipment for light duty vehicles, through 2025.
As wireless communications become increasingly capable and ubiquitous around the world, connecting vehicles to each other, to other road users, and to the surrounding infrastructure will become increasingly important. V2X using dedicated short-range communications (DSRC) as well as 4G and 5G cellular data communications are expected to expand rapidly in the next decade, driven by the desire to reduce societal costs while improving safety, reducing energy consumption, and decreasing traffic congestion. Click to tweet: According to a new report from @NavigantRSRCH, annual sales of light duty vehicles with factory-installed V2X are expected to reach nearly 70 million by 2025, worth more than $25 billion.
“With US regulators on the verge of mandating vehicle-to-vehicle (V2V) communications technology beginning in about 2020, the market for connected vehicles is set to take off,” says Sam Abuelsamid, senior research analyst with Navigant Research. “Toyota launched a V2V system based on DSRC in Japan in late 2015, General Motors is launching the first system in the US market in early 2017, and Audi has a 4G LTE-based vehicle to infrastructure system on select model year 2017 vehicles.”
In addition to embedded OEM systems on new vehicles, aftermarket retrofit systems and smartphones with DSRC capability are expected to be adopted, according to the report. Ultimately, V2X is expected to be a key technology for reducing vehicle crashes and fatalities in the next decade, as well as enabling a robust automated driving ecosystem.
The report, Connected Vehicles, examines the market for connected vehicles, with a focus on the key components of V2X communications technology. The study provides an analysis of how these factors, including the cost of hardware, regulations, potential societal benefits, and security and privacy concerns, are projected to affect OEMs, hardware and software suppliers, regulators, and intelligent transportation infrastructure operators. Global market forecasts of OEM and aftermarket sales of V2X equipment for light duty vehicles extend through 2025. The report also provides a review of major market drivers and barriers related to connected vehicles and the key industry players. An Executive Summary of the report is available for free download on the Navigant Research website.
About Navigant Research
Navigant Research, the dedicated research arm of Navigant, provides market research and benchmarking services for rapidly changing and often highly regulated industries. In the energy sector, Navigant Research focuses on in-depth analysis and reporting about global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Energy Technologies, Utility Transformations, Transportation Efficiencies, and Buildings Innovations sectors. Additional information about Navigant Research can be found at www.navigantresearch.com.
Navigant Consulting, Inc. is a specialized, global professional services firm that helps clients take control of their future. Navigant’s professionals apply deep industry knowledge, substantive technical expertise, and an enterprising approach to help clients build, manage and/or protect their business interests. With a focus on markets and clients facing transformational change and significant regulatory or legal pressures, the Firm primarily serves clients in the healthcare, energy and financial services industries. Across a range of advisory, consulting, outsourcing, and technology/analytics services, Navigant’s practitioners bring sharp insight that pinpoints opportunities and delivers powerful results. More information about Navigant can be found at navigant.com.
* The information contained in this press release concerning the report, Connected Vehicles, is a summary and reflects Navigant Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Navigant Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.