Automotive Internet of Things Market, by Offering (Hardware, Software, and Services), by Connectivity Form Factor (Embedded, Tethered, and Integrated), by Communication Type (In-Vehicle Communication, Vehicle-To-Vehicle Communication, and Vehicle-To-Infrastructure Communication), by Application (Navigation, Telematics, and Infotainment) and by Geography – Global Forecast to 2025

Global Automotive Internet of Things Market- Insights

IoT aids in converting large volume of data into meaningful and actionable knowledge and aids in increasing transportation efficiency, automotive safety etc. Rising demand for improving driver’s comfort, safety of passenger, and others has led to increasing adoption of IoT in the automotive sector. Various application of IoT in automotive include intelligent transportation systems, self-driving (autonomous) cars, smart fleet management etc. and increasing demand for these has led to growth of the market.

Increasing deaths due to automotive collisions is a factor for rising adoption of IoT in the automotive industry

One of the major factors for automotive collisions is human errors. According to Coherent Market insights, around 90% of automotive crashes in the U.S. are caused due to human errors. In order to reduce collisions due to human error, manufacturers are focusing on developing self-driving vehicles. For instance, Alphabet Inc. — the parent company of Google, Inc. —invested US$ 1.1 billion for the development of self-driving cars in the period of 2009–2015.   These vehicle sense its environment and navigates without human input, thus reducing the chances of crashes.  According to Coherent Market Insights analysis, 10% of self-driving vehicles of the total vehicles could decrease deaths by 1,100 in the U.S. caused due to collision and save US$ 38 billion per year. Moreover, according to World Health Organization, over 37,000 people dies in road crashes per year. In addition to this, self-driving vehicle and intelligent transportation systems aid in reducing fuel consumption and also autonomously plot alternate routes in order to avoid traffic bottlenecks. This has also led to rising demand for IoT in the automotive industry. According to Coherent Market Insights, In the U.S., a commuter spends 38 hours every year stuck in traffic, leading to additional consumption of 2.9 billion gallons of fuels.

Figure. Global Automotive Internet of Things Market, By Connectivity Form Factor (2016-2025)      

Automotive IOT Market

Source: Coherent Market Insights Analysis

North America held the dominant position in the market in 2016

North America held a dominant position in the market in 2016 and is projected to retain its dominance throughout the forecast period. The U.S. and Canada are the major growth engines in the region. Increasing deployment of driverless cars is one of the major factors for growth in this region. For example in 2017, Volvo have announced that they will supply 24,000 self-driving cars to Uber. Moreover, presence of leading companies in this region is another driving factor for growth of the automotive IoT market in this region for example Apple, Inc., AT&T Inc, Cisco Systems, Inc etc.

Asia Pacific is projected to be fastest growing market for IoT automation over the forecast period, with India, China, and Japan positioned as the major growth engines in the region. This is mainly attributed to increasing consumer spending power and the region emerging as one of the largest manufacturing hubs for automotive.

Key Companies- Global Automotive Internet of Things Market

Some of the major companies in the global automotive IoT market are Apple, Inc., AT&T Inc., Audi AG, Cisco Systems, Inc., Ford Motor Company, General Motors, Google Inc., Intel Corporation., International Business Machines Corporation, Microsoft Corporation, NXP Semiconductors N.V., Robert Bosch GmbH, Texas Instruments Inc., Thales Sa, and Tomtom N.V.

Automotive IoT, as the name suggests, is the integration of IoT invehicle vehicles, allowing for in-vehicle, vehicle-to-vehicle, and vehicle-to-infrastructure communication. Increasing consumer inclination towards autonomous driving vehicles is one of the major factors for growth of the automotive IoT market over the forecast period. Driverless cars require large volume of data for analysis and are connected with cloud based traffic and navigation services, which aids them in navigating on roads. This has led to increasing demand for internet connectivity in automotive vehicles. 

Market Dynamics

Rising demand for Internet in automotive vehicles, owing to increasing application in infotainment system, navigation system, and telematics systems is one of the major factors for growth of the IoT in the automotive industry. According to Coherent Market Insights, it is projected that by 2020 around 250 million cars would be Internet connected, globally. In addition to this, high investment in autonomous cars by various market leaders is also expected to be another factor for growth of the market. For instance, in 2017, SoftBank Group Corp.—a Japan-based telecommunication company—General Motors, and BMW invested US$ 159 million in Nauto— a U.S.-based driverless car startup.

Key features of the study:

  • This report provides an in-depth analysis of the automotive IoT market and provides market size (US$ Million) and Cumulative Annual Growth Rate (CAGR %) for the forecast period (2017– 2025), considering 2016 as the base year
  • It elucidates potential revenue opportunities across different segments and explains attractive investment proposition matrix for this market
  • This study also provides key insights about market drivers, restraints, opportunities, new product launches or approval, regional outlook, and competitive strategy adopted by the leading players
  • It profiles leading players in the global automotive IoT market based on the following parameters – regulatory landscape, company overview, financial performance, product portfolio, geographical presence, distribution strategies, key developments and strategies, and future plans
  • Key companies covered as a part of this study include Apple, Inc., AT&T Inc., Audi AG, Cisco Systems, Inc., Ford Motor Company, General Motors, Google Inc., Intel Corporation., International Business Machines Corporation, Microsoft Corporation, NXP Semiconductors N.V., Robert Bosch GmbH, Texas Instruments Inc., Thales Sa, and Tomtom N.V.
  • Insights from this report would allow marketers and the management authorities of the companies to make informed decision regarding their future product launches, technology up-gradation, market expansion, and marketing tactics
  • The global automotive IoT market report caters to various stakeholders in this industry, including investors, suppliers, distributors, new entrants, and financial analysts
  • Stakeholders would have ease in decision-making through various strategy matrices used in analyzing the automotive IoT market.

Detail Automotive Internet of Things Market Segmentation:

  • Global Automotive Internet of Things Market, By Offerings:
    • Hardware
    • Software
    • Services
  • Global Automotive Internet of Things Market, By Connectivity Form Factors:
  • Embedded
  • Tethered
  • Integrated
  • Global Automotive Internet of Things Market, By Communication Type:
  • In-Vehicle Communication
  • Vehicle-To-Vehicle Communication
  • Vehicle-To-Infrastructure Communication
  • Global Automotive Internet of Things Market, By Application:
    • Navigation
    • Telematics
    • Infotainment
  • Global Automotive Internet of Things Market, By Region:
    • North America
      • By Offering
        • Hardware
        • Software
        • Services
      • By Connectivity Form Factor
        • Embedded
        • Tethered
        • Integrated
      • By Communication Type
        • In-Vehicle Communication
        • Vehicle-To-Vehicle Communication
        • Vehicle-To-Infrastructure Communication
      • By Application
        • Navigation
        • Telematics
        • Infotainment
      • By Country
        • U.S.
        • Canada
    • Europe
      • By Offering
        • Hardware
        • Software
        • Services
      • By Connectivity Form Factor
        • Embedded
        • Tethered
        • Integrated
      • By Communication Type
        • In-Vehicle Communication
        • Vehicle-To-Vehicle Communication
        • Vehicle-To-Infrastructure Communication
      • By Application
        • Navigation
        • Telematics
        • Infotainment
      • By Country
        • Germany
        • U.K.
        • France
        • Italy
        • Spain
        • Russia
        • Rest of Europe
    • Asia Pacific
      • By Offering
        • Hardware
        • Software
        • Services
      • By Connectivity Form Factor
        • Embedded
        • Tethered
        • Integrated
      • By Communication Type
        • In-Vehicle Communication
        • Vehicle-To-Vehicle Communication
        • Vehicle-To-Infrastructure Communication
      • By Application
        • Navigation
        • Telematics
        • Infotainment
      • By Region
        • China
        • India
        • Japan
        • Australia
        • South Korea
        • ASEAN
        • Rest of Asia Pacific
    • Latin America
      • By Offering
        • Hardware
        • Software
        • Services
      • By Connectivity Form Factor
        • Embedded
        • Tethered
        • Integrated
      • By Communication Type
        • In-Vehicle Communication
        • Vehicle-To-Vehicle Communication
        • Vehicle-To-Infrastructure Communication
      • By Application
        • Navigation
        • Telematics
        • Infotainment
      • By Country
        • Brazil
        • Mexico
        • Rest of Latin America
    • Africa
      • By Offering
        • Hardware
        • Software
        • Services
      • By Connectivity Form Factor
        • Embedded
        • Tethered
        • Integrated
      • By Communication Type
        • In-Vehicle Communication
        • Vehicle-To-Vehicle Communication
        • Vehicle-To-Infrastructure Communication
      • By Application
        • Navigation
        • Telematics
        • Infotainment
      • By Country
        • North Africa
        • Central Africa
        • South Africa
    • Middle East
      • By Offering
        • Hardware
        • Software
        • Services
      • By Connectivity Form Factor
        • Embedded
        • Tethered
        • Integrated
      • By Communication Type
        • In-Vehicle Communication
        • Vehicle-To-Vehicle Communication
        • Vehicle-To-Infrastructure Communication
      • By Application
        • Navigation
        • Telematics
        • Infotainment
      • By Country
        • GCC
        • Israel
        • Rest of Middle East
  • Company Profiles
      • Apple, Inc.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • AT&T Inc.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Audi AG
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Cisco Systems, Inc.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Ford Motor Company
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • General Motors
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Google Inc.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Intel Corporation.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • International Business Machines Corporation
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Microsoft Corporation
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • NXP Semiconductors N.V.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Robert Bosch GmbH
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Texas Instruments Inc.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Thales Sa
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Tomtom N.V.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
  • Section
    • References
    • Research Methodology
    • About Us and Sales Contact

*Browse all the market data tables and figures on "Global Automotive Internet of Things Market - Global forecast to 2025”.

Table of Content

  1. Research Objective and assumption
    • Research Objectives
    • Assumptions
    • Abbreviations
  2. Market Purview
    • Report Description
      • Market Definition and Scope
    • Executive Summary
      • Top 3 Findings
      • Top 3 Opportunity
      • Top Companies
      • Market Snippet By Offering
      • Market Snippet By Connectivity Form Factor
      • Market Snippet By Communication Type
      • Market Snippet By Application
      • Market Snippet By Region
    • Coherent Opportunity Map (COM)
  3. Market Dynamics, Regulations, and Trends Analysis
    • Market Dynamics
      • Drivers
      • Restraints
      • Market Opportunities
      • Regulatory Scenario
      • Industry Trend
      • Merger and Acquisitions
      • New Product Approvals/Launch
      • PEST Analysis
      • PORTER’S Five Forces
  4. Global Automotive Internet of Things Market, By Offering, 2015 - 2025 (USD Million)
    • Introduction
    • Market Share Analysis, 2016 and 2025 (%)
    • Segment Trends
      • Hardware
        • Introduction
        • Market Size and Forecast, 2015 - 2025, (USD Million)
      • Software
        • Introduction
        • Market Size and Forecast, 2015 - 2025, (USD Million)
      • Services
        • Introduction
        • Market Size and Forecast, 2015 - 2025, (USD Million)
  5. Global Automotive Internet of Things Market, By Connectivity Form Factor, 2015 - 2025 (USD Million)
    • Introduction
    • Market Share Analysis, 2016 and 2025 (%)
    • Segment Trends
      • Embedded
        • Introduction
        • Market Size and Forecast, 2015 - 2025, (USD Million)
      • Tethered
        • Introduction
        • Market Size and Forecast, 2015 - 2025, (USD Million)
      • Integrated
        • Introduction
        • Market Size and Forecast, 2015 - 2025, (USD Million)
  6. Global Automotive Internet of Things Market, By Communication Type, 2015 - 2025 (USD Million)
    • Introduction
    • Market Share Analysis, 2016 and 2025 (%)
    • Segment Trends
      • In-Vehicle Communication
        • Introduction
        • Market Size and Forecast, 2015 - 2025, (USD Million)
      • Vehicle-To-Vehicle Communication
        • Introduction
        • Market Size and Forecast, 2015 - 2025, (USD Million)
      • Vehicle-To-Infrastructure Communication
        • Introduction
        • Market Size and Forecast, 2015 - 2025, (USD Million)
  7. Global Automotive Internet of Things Market, By Application, 2015 - 2025 (USD Million)
    • Introduction
    • Market Share Analysis, 2016 and 2025 (%)
    • Segment Trends
      • Navigation
        • Introduction
        • Market Size and Forecast, 2015 - 2025, (USD Million)
      • Telematics
        • Introduction
        • Market Size and Forecast, 2015 - 2025, (USD Million)
      • Infotainment
        • Introduction
        • Market Size and Forecast, 2015 - 2025, (USD Million)
  8. Global Automotive Internet of Things Market, By Regions, 2015 - 2025 (USD Million)
    • Introduction
      • Market Share Analysis, By Region, 2016 and 2025 (%)
    • North America
      • Introduction
      • Market size and Forecast,2015 - 2025 (USD Million)
      • By Segment
        • Market Size and Forecast, By Offerings, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Connectivity Form Factors, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Communication Type, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Applications, 2015 - 2025 (USD Million)
      • By Country
        • U.S.
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • Canada
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
    • Europe
      • Introduction
      • Market size and Forecast,2015 - 2025 (USD Million)
      • By Segment
        • Market Size and Forecast, By Offerings, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Connectivity Form Factors, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Communication Type, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Applications, 2015 - 2025 (USD Million)
      • By Country
        • Germany
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • UK
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • France
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • Italy
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • Spain
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • Russia
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • Rest of Europe
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
    • Asia Pacific
      • Introduction
      • Market size and Forecast,2015 - 2025 (USD Million)
      • By Segment
        • Market Size and Forecast, By Offerings, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Connectivity Form Factors, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Communication Type, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Applications, 2015 - 2025 (USD Million)
      • By Country
        • China
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • India
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • Japan
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • Australia
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • South Korea
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • ASEAN
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • Rest Of Asia Pacific
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
    • Latin America
      • Introduction
      • Market size and Forecast,2015 - 2025 (USD Million)
      • By Segment
        • Market Size and Forecast, By Offerings, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Connectivity Form Factors, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Communication Type, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Applications, 2015 - 2025 (USD Million)
      • By Country
        • Brazil
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • Mexico
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • Rest of Latin America
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
    • Africa
      • Introduction
      • Market size and Forecast,2015 - 2025 (USD Million)
      • By Segment
        • Market Size and Forecast, By Offerings, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Connectivity Form Factors, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Communication Type, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Applications, 2015 - 2025 (USD Million)
      • By Country
        • South Africa
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • Central Africa
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • North Africa
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
    • Middle East
      • Introduction
      • Market size and Forecast,2015 - 2025 (USD Million)
      • By Segment
        • Market Size and Forecast, By Offerings, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Connectivity Form Factors, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Communication Type, 2015 - 2025 (USD Million)
        • Market Size and Forecast, By Applications, 2015 - 2025 (USD Million)
      • By Country
        • GCC
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • Israel
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
        • Rest Of Middle East
          • Introduction
          • Market Size and Forecast, 2015 - 2025, (USD Million)
  9. Competitive Landscape
    • Company Profiles
      • Apple, Inc.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • AT&T Inc.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Audi AG
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Cisco Systems, Inc.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Ford Motor Company
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • General Motors
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Google Inc.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Intel Corporation.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • International Business Machines Corporation
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Microsoft Corporation
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • NXP Semiconductors N.V.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Robert Bosch GmbH
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Texas Instruments Inc.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Thales Sa
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
      • Tomtom N.V.
        • Company Overview
        • Product Portfolio
        • Financial Performance
        • Recent Developments/Updates
    • Analyst Views
  10. Section
    • References
    • Research Methodology
    • About us and Sales Contact

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Research Methodology

Coherent Market Insights followsa comprehensive research methodology focused on providing the most precise market analysis. The company leverages a data triangulation model which helps company to gauge the market dynamics and provide accurate estimates. Key components of the research methodologies followed for all our market reports include:

  • Primary Research (Trade Surveys and Experts Interviews)
  • Desk Research
  • Proprietor Data Analytics Model

In addition to this, Coherent Market Insights has access to a wide range of the regional and global reputed paid data bases, which helps the company to figure out the regional and global market trends and dynamics. The company analyses the industry from the 360 Degree Perspective i.e. from the Supply Side and Demand Side which enables us to provide granular details of the entire ecosystem for each study. Finally, a Top-Down approach and Bottom-Up approach is followed to arrive at ultimate research findings.


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Coherent Market Insights desk research is based on a principle set of research techniques:

  • National level desk research: It Includes research analysis of regional players, regional regulatory bodies, regional trade associations, and regional organization.
  • Multinational level desk research: The research team keeps a track of multinational players, global regulatory bodies, global trade associations, and global organization.

Coherent Market Insights has a large amount of in-house repository of industry database. This is leveraged as a burner for initiating a new research study. Key secondary sources include:

  • Governmental bodies, National and international social welfare institutions, and organizations creating economic policies among others.
  • Trade association, National and international media and trade press.
  • Company Annual reports, SEC filings, Corporate Presentations, press release, news, and specification sheet of manufacturers, system integrators, brick and mortar - distributors and retailers, and third party online commerce players.
  • Scientific journals, and other technical magazines and whitepapers.

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Preliminary Data Mining

The raw data is obtained through the secondary findings, in house repositories, and trade surveys. It is then filtered to ensure that the relevant information including industry dynamics, trends, and outlook is retained for further research process.

Data Standardization:

Holistic approach is used to ensure that the granular and uncommon parameters are taken into consideration to ensure accurate results. The information from the paid databases are further combined to the raw data in order to standardize it.

Coherent Statistical model

We arrive at our final research findings through simulation models. Coherent Data Analytics Model is a statistical tool that helps company to forecast market estimates. Few of the parameters considered as a part of the statistical model include:

  • Micro-economic indicators
  • Macro-economic indicators
  • Environmental indicators
  • Socio-political indicators
  • Technology indicators

Data Processing

Once the findings are derived from the statistical model, large volume of data is process to confirm accurate research results. Data analytics and processing tools are adopted to process large chunk of collected informative data. In case, a client customizes the study during the process, the research finding till then are benchmarked, and the process for new research requirement is initiated again.

Data Validation

This is the most crucial stage of the research process. Primary Interviews are conducted to validate the data and analysis. This helps in achieving the following purposes:

  • It provides first-hand information on the market dynamics, outlook, and growth parameters.
  • Industry experts validates the estimates which helps the company to cement the on-going research study.
  • Primary research includes online surveys, face-to face interviews, and telephonic interviews.

The primary research is conducted with the ecosystem players including, but not limited to:

  • Raw Material Suppliers
  • Manufacturers
  • System Integrators
  • Distributors
  • End-users

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