Connected vehicle is a technology for communicating and interacting with other vehicles and environment through the internet. The connected vehicle reduces some major risks such as blind-spots, collisions, crashes and lane-changes by providing various communications types such as vehicle to vehicle (V2V), vehicle to infrastructure (V2I), vehicle to pedestrian (V2P), and vehicle to cloud (V2C) and others. The connected vehicle provides services of safety & security, connected services and autonomous driving services.
Based on vehicles the connected vehicle market is classified into connected car market, connected truck market, connected bus market and connected train market. The key components used for connecting the vehicle include processors, wireless & cellular modules, fleet manager, sensors, original equipment manufacturer (OEM) services and aftermarket services.
According to study, “Europe Connected Vehicle Market (2018-2023)” some of the major companies that are currently working in the Europe connected vehicle market are Airbiquity Inc, Continental AG, Robert Bosch GmbH, Wireless Car, Aptiv PLC, Denso, Autoliv, TomTom, ZF Friedrichshafen, NXP Semiconductors.
On the basis of technology, the market is segmented into Wi-Fi and cellular network technologies. Cellular technologies include 2G, 3G and 4G or LTE. The connected vehicles technologies and systems are able communicate with drivers and passengers with infotainment & in-vehicle internet, autonomous driving and active security systems. On the basis of application the demand for the connected vehicle includes entertainment, vehicle management, safety, driver assistance and mobility management etc.
Apart from the advantages connected vehicles face some of the major challenges & possible solutions such as lack of standards & convergence of multiple technologies, big data & analytics, business models and human machine interface design etc. Big data & analytics define privacy, affordable services and optimized vehicle experience. The discussed business models include customer centric, product centric and revenue oriented. Moreover human machine interface design includes artificial intelligence & individualization, and creates a huge impact on usability, non-intuitive systems and natural interfaces etc.
Some of the restraints factors are extended supply chains, increasing costs, increasing customer demands, more complex vehicles and the need for an unprecedented degree of manufacturing flexibility.
Cooperative Intelligent Transport Systems (C-ITS) Platform and 5G Action Plan are some key concern programs developed by government of different countries. These program assist in developing the connected vehicle market in European region. These initiatives led to many benefits of saving fuel, offering new transport services, reducing road fatalities, improving traffic management and creating a new area for jobs & competitiveness in the region. In the near future, LTE-V2X technology is expected to offer a unique path for 5G technology and the technology will enable more consistent communication between vehicles, without using mobile network coverage. There are some associations working in development of the market. One of the major association is Connected Vehicle Trade Association (CVTA) it is a non-profit production group, which provides the interaction between organization, companies and government bodies of vehicle communications.
In 2018, an eCall technology is associated with new vehicles helped vehicles to connect during the emergency period. Under this technology, it automatically calls the 112 emergency numbers in the case of a severe accident. During 2018-2023, it is expected that the connected passenger car market andthe connected truck market will be reached at CAGR of 3.0% and 12.0 % respectively. It is estimated that the Europe connected vehicle market is expected to reach at USD 30.4 billion, at a CAGR of 7.0%, by 2023.
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Ankur Gupta, Head Marketing & Communications