What is the Historic and Current Scenario of the Vehicle Networking Market?
The vehicle networking market has seen considerable growth due to a variety of factors.
• The market size for vehicle networking has been accelerating rapidly over the past few years. The market which was worth $1.16 billion in 2024, is expected to increase to $1.25 billion in 2025, reflecting a compound annual growth rate (CAGR) of 8.0%. This growth during the historic period is due to several factors such as escalated complex vehicle systems, the advent of intelligent transportation systems (its), heightened consumer demand for connectivity, the roll-out of 5G connectivity, as well as the introduction of electric and hybrid vehicles.
What Can Be Expected from the Vehicle Networking Template Market?
The Vehicle Networking market is expected to maintain its strong growth trajectory in upcoming years.
• It is projected that the size of the vehicle networking market will experience significant expansion in the forthcoming years. By 2029, it is estimated to reach a valuation of $1.76 billion, with a compound annual growth rate (CAGR) of 8.9%.
Various factors can be credited for this growth projection within the forecast period such as the establishment of 5G connectivity, advancement in autonomous vehicles, concerns over cybersecurity, the incorporation into smart cities, and initiatives toward environmental sustainability. In terms of trending advances for the stated period, the broadening of over-the-air (ota) upgrades, the expansion of interconnected services, a shift toward electrification and self-directed vehicles, the focus on standardization and interoperability and the integration of edge computing are expected to be prominent.
What Are the Critical Driver Fuelling The Vehicle Networking Market's Growth?
The burgeoning demand for self-driving cars is anticipated to catalyze the expansion of the vehicle networking market in the future. These cars, popularly known as autonomous vehicles, are designed to navigate and function without human intervention. Their rising popularity in the vehicle networking market can be attributed to their potential to enhance the safety, efficiency, and comfort of drivers and passengers. For instance, Nissan Motor Co. Ltd, an automotive company based in Japan, noted in September 2022 that 55% of small businesses anticipate having a completely autonomous fleet within the next twenty years. Consequently, this growing demand for autonomous vehicles is acting as a significant driver for the vehicle networking market.
How Is The Vehicle Networking Market segmented?
The vehicle networking market covered in this report is segmented –
1) By Connectivity Standard: Controller Area Network [CAN], Local Interconnect Network [LIN], Radio Frequency [RF], FlexRay, Ethernet, Media Oriented Systems Transport [MOST]
2) By Vehicle: Passenger Vehicles [PV], Light Commercial Vehicles [LCV], Heavy Commercial Vehicles [HCV], Automated Guided Vehicles [AGV]
3) By Application: Powertrain Safety, Body Electronics, Chassis, Infotainment, Other Applications
Subsegments:
1) By Controller Area Network (CAN): CAN 2.0, CAN FD (Flexible Data-Rate)
2) By Local Interconnect Network (LIN): LIN 1.3, LIN 2.0, LIN 2.1
3) By Radio Frequency (RF): RF-Based Vehicle Communication, RFID Applications In Vehicles
4) By FlexRay: FlexRay Communications Protocol, Time-Triggered And Event-Triggered Communication
5) By Ethernet: Automotive Ethernet (BroadR-Reach), IEEE 802.1 And 802.3 Standards
6) By Media Oriented Systems Transport (MOST): MOST150, MOST25, MOST50
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What New Trends Are Influencing The Vehicle Networking Market?
The surge in technological innovations is a pivotal trend being observed in the vehicle networking industry. Prime firms in this sector are incessantly emphasizing on technological progressions to maintain a competitive edge by embracing emerging technologies. Take for instance, Chevrolet, an American auto manufacturer, which introduced Equinox EV, a $30,000 electric vehicle in 2023, with the objective of expanding its reach to a broader market. This model, designed on GM's Ultium platform, provides a projected range of a remarkable 300 miles. It harmoniously blends state-of-the-art tech aspects with an affordable pricing model, appealing to cost-aware customers searching for eco-friendly transportation options.
Who Are the Key Players In The Vehicle Networking Market?
Major companies operating in the vehicle networking market include:
• NXP Semiconductors NV
• Texas Instruments Incorporated
• Robert Bosch GmbH
• Microchip Technology Inc.
• Xilinx Inc.
• Infineon Technologies AG
• Melexis N.V.
• STMicroelectronics N.V.
• Spirent Communications plc
• Toshiba Corporation
• Renesas Electronics Corporation
• Broadcom Inc.
• Continental AG
• Sierra Wireless Inc.
• NVIDIA Corporation
• Vector Informatik GmbH
• Aptiv plc
• Intel Corporation
• BlackBerry Limited
• Harman International Industries Incorporated
• Marvell Technology Group Ltd.
• Cypress Semiconductor Corporation
• Analog Devices Inc.
• Maxim Integrated Products Inc.
• ON Semiconductor Corporation
• Qualcomm Technologies Inc.
• Samsung Electronics Co. Ltd.
• LG Electronics Inc.
• Huawei Technologies Co. Ltd.
• ZTE Corporation
• Telefonaktiebolaget LM Ericsson
• Nokia Corporation
What Is The Most Dominant Region In The Vehicle Networking Market?
North America was the largest region in the vehicle networking market in 2024. The regions covered in the vehicle networking market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
