Connected Car Market Size, Share & Trends Analysis growing at a CAGR of 12.8% from 2025 to 2030
The global connected car market size was estimated at USD 12,843.0 million in 2024 and is projected to reach USD 26,470.7 million by 2030, growing at a CAGR of 12.8% from 2025 to 2030. The market is being driven by the rising integration of advanced driver assistance systems (ADAS), intelligent navigation capabilities, and immersive digital cockpit technologies aimed at enhancing vehicle performance and user experience.
Key Market Trends & Insights
- North America connected car industry held a significant market share of over 30% in 2024.
- The U.S. connected car industry dominated the market with a share of 66% in 2024.
- By connectivity solutions, the embedded segment held the largest market share of over 48% in 2024.
- By technology, the 5G segment is expected to witness the fastest CAGR from 2025 to 2030.
- By application, the driver assistance segment held the largest market share in 2024.
Market Size & Forecast
- 2024 Market Size: USD 12,843.0 Million
- 2030 Projected Market Size: USD 26,470.7 Million
- CAGR (2025-2030): 12.8%
- North America: Largest market in 2024
- Asia Pacific: Fastest growing market
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The growing adoption of electric and autonomous vehicles is further accelerating the demand for seamless connectivity and real-time data processing within vehicles. In addition, regulatory mandates, government incentives, and evolving safety and emission standards are catalyzing the rollout of connected infrastructure across developed and emerging markets. These advancements are collectively propelling the growth of the connected car industry.
The connected car industry is revolutionizing how drivers and passengers interact with their vehicles. With advanced infotainment systems, voice control, and personalized services, cars are becoming more integrated with everyday life. Enhanced connectivity features like seamless smartphone integration and smart assistant technologies are increasingly embedded into new vehicles. This shift provides users with a more intuitive and enjoyable driving experience, making connected cars an essential part of modern transportation.
Connected car technology is transforming vehicle maintenance by enabling real-time data collection and analysis. Manufacturers and service providers can now monitor vehicle health remotely and diagnose issues before they become critical. The ability to predict and preemptively address mechanical failures through data-driven insights minimizes downtime and enhances vehicle longevity. This technology is reshaping the way car owners interact with their vehicles, improving reliability and reducing costly repairs.
In the connected car industry, safety has become a paramount concern. Advanced safety features powered by real-time data transmission, such as automatic emergency braking and lane-keeping assistance, are significantly improving road safety. Connectivity allows for faster response times during critical moments, reducing the likelihood of accidents. These innovations in the connected car industry make vehicles not just smarter but safer for everyone on the road.
The growing demand for connected cars is paving the way for advancements in autonomous driving technologies. By leveraging sensors, machine learning, and data sharing, connected vehicles are becoming more adept at performing automated functions. Vehicle-to-cloud communication and over-the-air updates are ensuring that self-driving capabilities continue to evolve at a rapid pace. As these technologies progress, the demand for connected cars is expected to surge, bringing us closer to a future where cars can operate autonomously with minimal human intervention.
Connected Car Market Report Scope
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Report Attribute |
Details |
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Market size value in 2025 |
USD 14.49 billion |
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Revenue forecast in 2030 |
USD 26.47 billion |
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Growth rate |
CAGR of 12.8% from 2025 to 2030 |
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Base year for estimation |
2024 |
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Historical data |
2018 – 2023 |
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Forecast period |
2025 – 2030 |
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Quantitative units |
Revenue in USD million/billion, and CAGR from 2025 to 2030 |
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Report Product |
Revenue forecast, company ranking, competitive landscape, growth factors, and trends |
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Segments covered |
Connectivity solutions, technology, application, sales channel, region |
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Regional Scope |
North America; Europe; Asia Pacific; Latin America; Middle East & Africa |
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Country scope |
U.S.; Canada; Mexico; UK; Germany; France; China; Australia; Japan; India; South Korea; Brazil; South Africa; Saudi Arabia; U.A.E. |
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Key companies profiled |
ALE International, ALE USA Inc.; Apple Inc.; AT&T Intellectual Property; AUDI AG; BMW AG; Aptiv; Ford Motor Company; General Motors; Google LLC; NXP Semiconductors |
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Customization scope |
Free report customization (equivalent to up to 8 analyst’s working days) with purchase. Addition or alteration to country, regional & segment scope. |
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Pricing and purchase options |
Avail customized purchase options to meet you exact research needs. Explore purchase options |
