With the advent of IoT and vehicle-to-vehicle (V2V) connectivity solutions, the US connected car market is witnessing impressive growth in recent years according to a recent report by P&S Market Research.
The U.S. connected car market generated revenue of nearly USD 12,355 million in 2017 and is expected to triple to USD 37,350 million by 2023; a CAGR of 20.8% during the forecast period.
Connected cars feature connectivity equipment that allows them to share content with a range of devices within and outside their environment.
V2V connectivity allows wireless transmission of data between motor vehicles using IoT technology. It facilitates the exchange of data, such as vehicle speed and the distance from another vehicle, between connected vehicles on a real-time basis. According to a recent report by PS Market Research, the demand for enhanced vehicle connectivity solutions, which is alleged to provide an increased focus on safety and security, continues to drive US connected car market growth.
As the demand for V2V connectivity solutions to meet US consumer safety requirements grows, several manufacturers are competing to capture market share in the US Connected Car Market. Major players who are investing significantly in research and development of advanced V2V infrastructure include Accenture Plc, Robert Bosch GmbH, and Autoliv Inc., all of which claim technologies that provides enhanced V2V connectivity with adequate security support.
The National Highway Traffic Safety Administration (NHTSA) of the US Department of Transportation is promoting technologies such as dynamic brake support, crash imminent braking, and pedestrian automatic energy braking, to help improve road safety.
According to the report, this has also compelled US connected car market players to take strategic measures, such as partnerships and acquisitions, to improve their existing connected car portfolios and introduce enhanced technologies with better safety and security protocols.
The reports cites an example, in 2017, of Japan’s DENSO Corporation entering into a partnership with FotoNation, an image recognition technology developer, with the objective of using FotoNation’s technology to improve the performance of its Driver Status Monitor for enhanced driver safety in connected cars. A year later, DENSO acquired a stake in the U.S. start-up, Metawave Corporation, to deploy Metawave’s radar-sensing technology in its automated radar system for connected cars to help detect pedestrians and vehicles in the vehicle’s path.
Although connected cars offer enhanced driving experience, they are vulnerable to security threats. Connected cars solely depend on the internet, and their crucial components are interconnected via a network, which opens doors to a serious threat of hacking. However, original automotive equipment manufacturers are striving to find the solution to counter such threats and improve vehicle safety and security. Continuous research and development in the field is predicted to drive growth in the coming years.
To access a sample of the report, click here