April 12, 2024
Next Generation In-Vehicle Networking Market

Next Generation In-vehicle Networking Market is Estimated to Witness High Growth Owing to Enhanced Connectivity Features

The Next Generation In-vehicle Networking (IVN) allows drivers to safely and efficiently utilize infotainment, advanced driver assistance systems, and smartphone mirroring features. Modern vehicles now support faster wireless delivery of rich media content and precise navigation between various electronic control units. The Next Generation IVN enables quick diagnostic checks, software updates, and enhances data throughput across thousands of sensors in autonomous vehicles.

The Global Next Generation In-vehicle Networking Market is estimated to be valued at US$ 1789.54 Mn in 2024 and is expected to exhibit a CAGR of 5.7% over the forecast period from 2024 to 2031.

Key Takeaways

Key players operating in the Next Generation In-vehicle Networking market are Pfizer Inc., Teva Pharmaceuticals, Mylan N.V., Dr. Reddy’s Laboratories, Zydus Cadila, Sun Pharmaceutical Industries, Aspen Pharmacare, Apotex Inc., Sandoz (a division of Novartis), Lupin Limited. The increasing demand for connected vehicles and semi-autonomous driving features is expected to drive market growth during the forecast period. Major automotive OEMs are focusing on expanding their presence in emerging economies to leverage the high growth potential.

Some of the key opportunities in the Next Generation IVN market include growing demand for advanced driver-assistance systems, standardized protocols for wireless in-car communication, and consolidation of multiple networks into domain-based architectures. Geographically, Asia Pacific is expected to witness the fastest growth owing to increasing automobile production and rising disposable incomes in countries such as China and India. Europe and North America are established markets and will continue dominating the global IVN marketplace.

Market drivers

The growing sales of luxury and premium vehicles with high-end features is a major market driver. Luxury brands are focusing on customizing in-car connectivity and infotainment offerings. There is also a growing demand for vehicle diagnostic and fleet management telematics systems for reducing downtime and maintenance costs. The evolution of electric and autonomous vehicles will further boost the need for high-bandwidth networking solutions to support critical safety-related applications. This is expected to significantly drive the Next Generation In-Vehicle Networking Market Size over the forecast period.

PEST Analysis

Political: Next Generation IVN markets are significantly impacted by regulations imposed by regional governments and international bodies like the United Nations and European Commission. Strict safety and security laws ensure safe adoption of advanced connectivity solutions in vehicles.

Economic: Growing disposable incomes and preference for luxury and premium vehicles that offer advanced features contribute to increasing demand for high-speed in-vehicle networks. Affordability of advanced driver-assistance systems boosts adoption of 5G-ready networking infrastructure.

Social: Rising millennial population accustomed to connected lifestyles drives demand for features like integrated infotainment, over-the-air updates and telematics. Safety concerns accelerate deployment of assisted and autonomous driving technologies that rely on high-speed vehicle networks.

Technological: Developments in cellular networking, cloud computing and automation are enabling vehicular integration of technologies like vehicle-to-everything (V2X) communication. Edge computing and software-defined networking (SDN) are primed to reshape next-gen in-vehicle architectures.

The North American region dominates the next generation IVN market currently in terms of value due to high vehicle production and presence of leading automotive technology companies. However, the Asia Pacific region is projected to witness the fastest growth during the forecast period led by China, India and Japan. Factors such as increasing disposable incomes, focus on vehicle electrification and connected services are driving heavy investments in automotive technologies across developing Asian economies.

The European region currently accounts for a significant share of the global next generation IVN market value led by countries like Germany, UK, France and Italy known for their automotive manufacturing prowess. Strict regulations regarding vehicle safety and emissions are accelerating the adoption of technologies like advanced driver assistance systems which rely on high-speed in-vehicle networks for functioning.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it