Press Release

V2X in Automotive Market to Grow with a CAGR of 36.48% through 2031F

The rapid deployment of 5G networks and Cellular V2X technologies accelerates real time communication integration within the automotive sector. 

According to TechSci Research reportGlobal V2X in Automotive Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, 2021-2031F, The Global V2X in Automotive Market is projected to grow from USD 1.92 Billion in 2025 to USD 12.41 Billion by 2031 at a 36.48% CAGR. It is a vehicular communication approach that supports the transmission of information from a vehicle to moving parts of the traffic system that can affect the movement of the vehicle. The aim behind installing a Vehicle-to-Everything technology in a vehicle is to improve road safety, energy reduction, and to increase traffic efficiency on the roads. By coupling a vehicle to its surroundings, Vehicle-to-Everything (V2X) technology can transform mobility. With increased awareness of every nearby vehicle, including those that lie out of sight, the V2X enabled vehicles can actively reduce the chances of accidents and enhance traffic flow. According to an article published by the US Department of Transportation in October 2019, a total of 36,560 lives were lost on U.S. roads in 2018. ITS America in an article claims that Vehicle-to-vehicle (V2V), vehicle-to-infrastructure (V2I) and vehicle-to-pedestrian (V2P) communications can reduce 80% road crashes, can increase road capacity by 40% and can reduce fuel emissions by 10%. Due to the above-mentioned factors, growing number of automakers are increasingly adopting the Vehicle-to-Everything (V2X) technology in their manufactured vehicle, growing the demand for connected car services. Moreover, outpouring in demand for connectivity solutions, rise in demand for an enhanced driving experience, and introduction of Internet of Things (IoT) in the automotive industry are the key factors that contribute towards the adoption of the connected cars. 

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Global V2X in automotive market is segmented based on communication type, connectivity type, offering type, technology type, propulsion type, company and region. V2C stands for Vehicle-to-Cloud, V2G for Vehicle-to-Grid, V2P for Vehicle-to-Pedestrian, V2I for Vehicle-to-Infrastructure, V2V for Vehicle-to-Vehicle, V2D for Vehicle-to-Device. Based on communication type, the global V2X in automotive market is dominated by Vehicle-to-Vehicle (V2V) technology. The high market share of V2V technology can be attributed to the reason that V2V technology majorly decides the road safety.

Based on connectivity type, the global V2X in automotive market is segmented into DSRC Connectivity and Cellular Connectivity. Traditional Dedicated Short-Range Communication (DSRC) based V2X technology was used in majority of vehicles, but after cooperation of 5G cellular connectivity, cellular vehicle-to-everything (C-V2X) technologies are being increasingly adopted for connected car mobility. As a result, cellular vehicle-to-everything (C-V2X) is leading the global V2X in automotive market in the year 2020. Due to the growing acceptance of 5G cellular connectivity, cellular vehicle-to-everything (C-V2X) is anticipated to maintain their dominance over the next five years as well.

The lockdown imposed to contain the spread of virus has disrupted the supply chain for the automotive industry, negatively influencing the V2X market. As different vehicle parts are manufactured and assembled in different regions, the lockdown and international trade restrictions due to closed borders, increased the shortage of required vehicle parts and limited the supply. Moreover, companies adopted just-in-time production strategy due to tight budget which further makes the supply chain vulnerable to disruptions. China is the largest producer of automobiles among all other countries and therefore lockdown in China has resulted in supply shortages for assembly of all OEMs in North America, Europe, and Asia. Nevertheless, the market is showing positive signs of recovery, because of which the global V2X in automotive market is expected to recover from the COVID-19 impact in around three years.

Some of the major players operating in the global V2X in automotive market are Robert Bosch GmbH, Continental AG, NXP Semiconductors N.V., Infineon Technologies AG, DENSO Corporation. Apart from these companies, other companies like Qualcomm Technologies, Inc., HARMAN International (Samsung Electronics Co. Ltd.), etc. are also increasing their marketing activities and enriching their product portfolios to increase their customer outreach.

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“In 2020, Asia Pacific accounted for the largest share, i.e., 42.52% in the global V2X in automotive market. The region is expected to maintain its dominance over the next five years as well. Asia Pacific is one of the leading V2X technology manufacturing regions in the world. Increasing adoption of connected cars and growing sales of passenger cars is boosting demand for V2X enabled vehicles in the world.”, said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.

Global V2X in Automotive Market By Communication Type (V2C, V2G, V2P, V2I, V2V, V2D), By Connectivity Type (DSRC Connectivity and Cellular Connectivity), By Offering Type (Hardware and Software), By Technology Type (Emergency Vehicle Notification, Automated Driver Assistance, Passenger Information System, Line of Sight and Others), By Propulsion Type (ICE Vehicles and Electric Vehicles), By Region, Competition Forecast & Opportunities, 2021-2031F” , has evaluated the future growth potential of the global V2X in automotive market and provides statistics and information on market size, structure, and future market growth. The report intends to provide cutting-edge market intelligence and help decision makers take sound investment decisions. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in the global V2X in automotive Market.

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