The Global Connected Car Devices Market is set to grow at a CAGR of 10.5% from 2026 to 2033, according to a new report by Verified Market Reports®.
The market, valued at USD 40 Billion in 2024, is projected to hit USD 100 Billion by the end of the forecast period.
Report Snapshot
| Attribute | Details |
|---|---|
| Study Period | 2023–2033 |
| Base Year | 2024 |
| Forecast Period | 2026–2033 |
| Historical Period | 2023 |
| Estimated Period | 2025 |
| Unit | Value (USD Billion) |
| Key Companies Profiled | Harman, Continental, Panasonic, Visteon, DENSO, ZF, Delphi, Valeo |
| Segments Covered | Device Type, Communication Technology, Service Type, End User, Deployment Mode, Geography |
| Customization Scope | Free report customization (up to 4 analyst days) |
Key Growth Drivers
- Network Evolution (4G to 5G): Low latency and high bandwidth enable real-time telematics, V2X services, and OTA updates.
- Software-Defined Vehicles (SDVs): Unlock subscription revenue models for infotainment, ADAS, predictive maintenance, and cybersecurity.
- Regulatory Push: EU’s e-Call, ADAS reporting, and emissions tracking make connectivity a baseline requirement.
- Edge Compute + Cybersecurity: Devices are evolving into AI-driven edge hubs with hardware-level security.
- Regional Variations: North America leads in subscriptions, Europe in compliance, and Asia-Pacific in volume (especially China).
- Sustainability Focus: EV growth boosts demand for devices that monitor batteries, enable smart charging, and support renewable integration.
Market Segmentation
By Device Type
- On-Board Diagnostics (OBD) Devices
- Telematics Control Units (TCUs)
- Infotainment Systems
- Integrated Connectivity Solutions
- Advanced Driver Assistance Systems (ADAS)
By Communication Technology
- V2X (Vehicle-to-Everything)
- Cellular (3G, 4G, 5G)
- Satellite
- Wi-Fi
- Bluetooth
By Service Type
- Vehicle Tracking
- Fleet Management
- Emergency Services
- Remote Diagnosis
- Entertainment & Content
By End User
- Individual Consumers
- Automotive OEMs
- Commercial Fleets
- Insurance Companies (UBI)
- Public Transport Authorities
By Deployment Mode
- Cloud-Based
- On-Premise
- Edge Computing
- Hybrid
- Local Device Processing
Regional Insights
| Region | Market Highlights |
|---|---|
| North America | High penetration of telematics, strong OEM focus on subscriptions, and 5G rollout. |
| Europe | Regulatory-led growth with e-Call mandates, strict data privacy, and V2X pilots. |
| Asia-Pacific | China dominates with telco-OEM partnerships, Japan & South Korea invest in V2X corridors. |
| Latin America | Growth driven by aftermarket telematics; urban digitization projects underway. |
| Middle East & Africa | Early adoption linked to smart city projects in the Gulf and fleet telematics in South Africa. |
Challenges
- Fleet Segment: High hardware costs, ruggedization needs, cross-border compliance.
- Consumer Segment: Subscription fatigue, data privacy concerns, fragmented ecosystems.
Go-to-Market Approach:
- Fleets → ROI-focused messaging (fuel savings, compliance).
- Consumers → Safety, convenience, and everyday value.
Market Outlook to 2030
- By 2030, penetration of connected car devices will exceed 90% in North America, Europe, and China.
- Aftermarket retrofitting will remain strong in Latin America, Africa, and parts of Asia.
- Competition will shift from products to platforms, with data ownership and ecosystem integration as key differentiators.
- Integration with autonomous driving, EV ecosystems, and insurance telematics will unlock new revenue streams.
Key Players
Major companies shaping the market include:
- Harman
- Continental
- Panasonic
- Visteon
- DENSO
- ZF
- Delphi
- Valeo