Automotive Cloud Market to be US$ 66.73 Billion by 2028

Global Automotive Cloud Market, by Vehicle Type (Passenger Vehicles and Commercial Vehicles), by Propulsion System (IC Engine Vehicle and Electric Vehicles), by Deployment Type, (Private Cloud and Public Cloud), by Application Type, (Infotainment Systems, Telematics, Fleet Management, OTA (Over the air) systems, ADAS (Advanced driver-assistance systems), and Others), and by Region (North America, Europe, Asia Pacific, Latin America, and Middle East and Africa), Global Forecast to 2028, is expected to be valued at US$ 66.73 billion by 2028, exhibiting a CAGR of 18.45% during the forecast period (2021 - 2028), as highlighted in a report published by Coherent Market Insights.

Overview

One of the most highly complicated IT environments is found in the automotive industry. The entire cloud infrastructure deals everything from business operations to assisting engineering simulation through the use of technology. Among them, cloud computing plays a significant role in meeting several demands such as applications about road safety, congestion roads, and others that necessitate adaptable, reliable computing power to manage properly. The integration of cloud in the automobiles makes the vehicles smarter and safer. For instance, VOLVO, a Sweden-based luxury car manufacturer that sells SUVs, station wagons, hatchbacks, sedans, and compact executive sedans. VOLVO is a proponent of self-driving technology. Using cloud-based 3D digital maps, the car receives all of the information it needs to drive itself, optimizing fuel consumption based on road conditions.

Global Automotive Cloud Market - Impact of Coronavirus (Covid-19) Pandemic

With so many other industries reliant on the automotive industry such as steel and logistics, the slowdown in auto sales caused by COVID-19 is having a significant major impact. Even after businesses reopen, social distancing will persist, enabling the auto industry's adaptation to new ways of working. The main objective is to enable a remote workforce wherever possible, improve operational efficiency, and investing in digital technologies that engage consumers, while also providing financial relief. Automakers understand that they require to invest in CASE (Connected, Autonomous, Shared, and Electric) innovations, in order to lead with other competitors.

Market Dynamics

With the increased demand for computing and data in the automotive industry, there is technological advancements’ in terms of data pipelines, data capacity, computing capacity, analytics-based algorithms, and AI. When the connected vehicles have storage-intensive workloads and compute-intensive workloads, automotive companies have new computing requirements that can only be met by cloud and hybrid computing models that provide on-demand access to increased capacity of connected vehicles. Cloud providers are investing heavily in research & development in the automotive market and automakers are collaborating with these providers to improve the automotive market For instance, Tesla, Inc., a California-based electric vehicle and clean energy company designs and manufactures electric vehicles, battery energy storage systems ranging from home to grid-scale, solar cells and solar roofs, as well as other products and services. Due to the integration with the Tesla Cloud, Tesla Model S is the superior example of a modern-era car. The cloud allows the driver to resolve minor issues such as steering and suspension system related issues without requiring physical effort from the driver.

Key Trends and Analysis:

Connectivity: Vehicles now have a tamper-proof unique digital identity that distinguishes the connected vehicles from traditional vehicles. This tamper-proof unique digital identity allows for the easy tracking of vehicular data for a variety of applications such as insurance, driving safety, predictive maintenance, and fleet management. For instance, V2X Network, a U.K.-based startup, offer a vehicle-to-everything (V2X) platform for autonomous transaction data that integrates geo-networking and configuring to allow low latency real-time communication. The platform is built on distributed ledger technologies (DLTs) and is highly scalable. Moreover, NoTraffic, an Israel-based startup, developed an AI-powered traffic signal framework that automates road infrastructure management and connects drivers to city roadways to manage various traffic-related issues. Furthermore, to enable smart mobility, data from all road users is broadcasted and processed in real-time. The system also serves as the foundation for other services such as micropayments and micro mobility.

Internet of Things (IoT):

IoT allows secure communication between vehicles, as well as vehicles and infrastructure elements in the automotive industry. With improved fleet management, the technology improves road safety, mitigates traffic congestion, and energy consumption. For instance, EcoG, a startup based in Germany and the U.S. provides an IoT-based operating system and framework for electric vehicle charging. The startup offer companies, IoT based frameworks, applications that make the construction and deployment of electric vehicle charging infrastructure simple, quick, and scalable. By using IoT, it enables drivers to integrate services and micro services into chargers, in order to make charging sustainable. Moreover, KonnectShift, a Canada-based startup, offer IoT solutions to enhance fleet and asset management. The company have developed Konnect – GS01, an automatic electronic logging device (ELD) that continuously monitors vehicle health, navigation and optimization for real-time dispatch, advanced analytics to facilitate alerts about driving, vehicles, and fuel, predictive maintenance alerts to reduce downtime, and development of driver management apps are all part of the solution.

To know the latest trends and insights prevalent in the Global Automotive Cloud Market, click the link below:

https://www.coherentmarketinsights.com/market-insight/automotive-cloud-market-4746

Major Market Players/Competitors

Key players operating in the global automotive cloud market include Airbiquity, Amazon, Bosch, CloudMade, Connexion, Continental, Denso, Ericsson AB, Harman, Intellias, LG Electronics, Microsoft, Sierra Wireless, Telenav, and Verizon.

Segmentation

By Vehicle Type: