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The Connected cars: worldwide trends, forecasts and strategies 2014–2024

  • June 2014
  • 50 pages
  • Analysys Mason
Report ID: 2162629


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In line with developments in the Internet of Things space, the next step for embedded systems (in all sectors) is to add a connectivity and networking component. Connectivity in the automotive market will transform the in-vehicle experience for consumers. In this report, Analysys Mason forecasts and analyses the market for various types of connectivity in vehicles.

About this report

This report provides:
-a 10-year forecast of the percentage of new passenger-carrying road vehicles (cars) sold that include a connectivity solution, as well as the proportion of vehicles in use that have a connectivity solution
-key implications and recommendations for mobile network operators (MNOs)
-an in-depth analysis of trends in the automotive sector that will affect the growth of the connected car solution market
-an overview of key trends in the connected car sector.
-This report is based on several sources.
-Analysys Mason's internal research, including our forecasts of M2M device connections, revenue and average revenue per connection (ARPC), and interviews with stakeholders in the connected car market.
-We have also validated our assumptions by comparing them with operator insights and discussions with key stakeholders in the automotive sector.

New car sales regional insight: forecasts for new vehicle sales and vehicles in use
- The economic climate has not been favourable for new car sales since around 2007. Consumers lacked confidence in the economy and postponed purchases. Pent-up demand for new vehicles will boost car sales worldwide in the next half decade, because sales in developed markets should return to normal levels. Sales will be strongest in the short term as dealers push sales to clear their stock backlog.
- However, new forms of car rental, leasing and sharing in developed markets will put some downward pressure on new sales. Companies such as DriveNow, Hailo, Liftshare,
Sidecar and Uber enable easy and affordable rental and sharing of vehicles by using technologies such as smartphones, GPS, social networks, remote unlock, mobile
payments, among others. The emergence of these „dynamic carpooling? businesses could affect sales in urban areas in particular – where owning a car outright is less necessary than in rural and suburban areas, and where mobile network coverage is consistent. However, regulatory uncertainty is having an impact on these businesses.
- In the emerging Asia–Pacific market, large populations, rapid economic growth, and a growing middle class will boost sales dramatically, from 26 million in 2014 to 82 million in 2024.

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