Report ID: SQMIG25A2137
Automotive Infotainment Market Size, Share, Growth Analysis, By Fit Type(OEM Fitted, Aftermarket), By Vehicle Type(Light Commercial Vehicles, Heavy Commercial Vehicles), By Technology Type(Navigation Systems, Terrestrial Digital Audio Broadcasting (T-DAB) Digital Radio, Satellite Digital Audio Broadcasting (S-DAB) Satellite Radio, Multimedia Player), By Region - Industry Forecast 2024-2031
Report ID:
SQMIG25A2137 |
Region:
Global |
Published Date: August, 2024
Pages:
223
|
Tables:
90 |
Figures:
76
Automotive Infotainment Market Insights
Global Automotive Infotainment Market size was valued at around USD 7.42 billion in 2022 and is expected to rise from USD 8.14 billion in 2023 to reach a value of USD 17.7 Billion by 2031, at a CAGR of 9.7% over the forecast period (2024–2031).
A combination of two factors is driving the demand for tech-laden cars in developing countries: rising disposable incomes and easier financing options. This newfound buying power allows people to consider purchasing cars, and with that comes a desire for the latest features. Major carmakers are looking beyond just entertainment systems. They're working on integrating advanced technologies like driver assistance systems, augmented reality displays with real-time data, and all of this is fueled by the growth of the Internet of Things (IoT). By incorporating these features, car manufacturers are aiming to improve both safety and the overall driving experience. This focus on driver well-being is expected to further increase the demand for advanced infotainment systems, leading to a growing market.
Despite promising signs for growth, the recent pandemic threw a wrench into the automotive market. Supply chains were disrupted due to COVID-19, forcing manufacturers to halt production. This led to a shortage of vehicles once lockdowns were lifted, as demand came roaring back. The situation was further complicated by a lack of essential semiconductor components, like chips, causing additional production stoppages.
Chipsets are essential for modern vehicles, playing a critical role in navigation, communication, and overall control. This heavy reliance on chips has made the recent shortage a major hurdle for the auto industry. To navigate the chip shortage, carmakers like BMW have resorted to producing vehicles with scaled-back features. In some countries, including the US, UK, Spain, Italy, and France, BMW temporarily removed features like CarPlay, Android Auto, and built-in Wi-Fi from their infotainment systems in May 2022. This strategy allowed them to keep production lines running despite the lack of essential components.
The focus on driver safety is driving a wave of technological advancements. Automakers are equipping cars with advanced driver-assistance systems (ADAS) and digital monitoring systems (DMS), making driving not just safer but also more informative and convenient. These systems offer several benefits like, Regulation and monitoring services, Traffic updates, Parking assistance. This emphasis on safety through technology is expected to create new opportunities for the car infotainment market. As drivers experience the benefits of these integrated systems, the demand for tech-laden vehicles is likely to rise.
Additionally, the infotainment system collects data about the car in real-time. It returns it to the maker because data is a crucial component of the digital proof that auto insurers and law enforcement officials use to solve accident cases.
Automotive Infotainment Market Report Snapshots
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