Automotive Communication Technology Market Size By Bus Module (LIN, CAN, FlexRay, MOST, Ethernet), By Vehicle Class (Economy, Mid-sized, Luxury), By Distribution Channel (OEMs, Distributor), Application & Forecast 2023 – 2032

Automotive Communication Technology Market Size

Automotive Communication Technology Market was worth USD 18 billion in 2022 and is projected to expand at over 15% CAGR from 2023 to 2032.
 

The industry growth is driven by the increasing demand for connected vehicles with advanced features and emphasis on vehicle safety & ADAS, which are augmenting the need for robust communication technologies. The rising focus on electric & autonomous vehicles also necessitates efficient communication for power management and coordinated operations. Additionally, advancements in connected infrastructure and smart cities require communication technologies to enable efficient traffic flow and incorporate intelligent transportation systems (ITS). All these factors will drive the automotive communication technology industry development.
 

Automotive cybersecurity risks pose a significant challenge as connected vehicles become increasingly vulnerable to hacking, which can compromise safety & privacy. The emergence of data privacy concerns also arises during the collection and transmission of personal & sensitive information. It is essential to address these risks with the help of robust cybersecurity measures and responsible data handling to maintain consumer trust and product adoption in the automotive communication technology market.
 

COVID-19 Impact

The COVID-19 pandemic impacted the automotive communication technology industry. The global health crisis disrupted automotive production and supply chains, leading to delays in the implementation of communication technologies. The reduced consumer demand for new vehicles also affected the acceptance of connected vehicle features. However, the pandemic highlighted the importance of contactless & connected technologies, thereby increasing focus on integrating communication systems into vehicles to enhance safety, connectivity, and digital experiences in the post-pandemic automotive landscape.
 

Automotive Communication Technology Market Trends

One prominent trend in the automotive communication technology market is the adoption of vehicle-to-everything (V2X) communication. V2X technology enables vehicles to communicate with other vehicles (V2V), infrastructure (V2I), pedestrians (V2P), and networks (V2N). This trend facilitates advanced safety features, such as collision warnings and cooperative adaptive cruise control, which helps in improving road safety and reducing accidents. Furthermore, V2X communication enables efficient traffic management, optimized routing, and enhanced connectivity, thereby contributing to smoother traffic flow & improved overall driving experience. The rising integration of V2X communication is transforming the automotive industry, propelling the adoption of smarter, safer, and more connected vehicles.
 

Automotive Communication Technology Market Analysis

The ethernet segment is expected to witness 18.8% growth rate during 2023-2032. Ethernet provides high-speed & scalable communication capabilities, thereby facilitating the transmission of large volumes of data in connected vehicles. The growing complexity of vehicle systems and the demand for advanced features are driving the increased use of ethernet in automotive communication technology, enhancing vehicle performance, connectivity & functionality.
 

The safety & ADAS segment captured over 15.5% of the automotive communication technology market share in 2022. These technologies enable real-time communication between vehicle components, sensors, and control units to enhance road safety. Automotive communication technology facilitates features such as collision detection & avoidance, lane departure warnings, and adaptive cruise control. The growing demand for improved safety and ADAS functionalities in vehicles is fueling the espousal of robust communication systems, thus contributing to the overall business development.
 

Asia Pacific automotive communication technology industry is poised to attain around 17.5% gain between 2023 and 2032. led by the factors including the booming automotive industry, rapid urbanization, and the increasing consumer demand for connected vehicles. Countries including China, Japan, and South Korea are at the forefront of automotive innovation and are heavily investing in advanced communication technologies. The region is focusing on electric & autonomous vehicles, which is also propelling the implementation of automotive communication systems. Supportive government initiatives as well as partnerships with technology companies are contributing to the rapid regional growth.
 

Automotive Communication Technology Market Share

Major companies operating in the automotive communication technology market are:

• Robert Bosch
• Broadcom Inc
• Continental AG
• Intel Corporation
•  NXP Semiconductor
• Toshiba Corporation
•  STMicroelectronics
•  Denso Corporation
•  Aptiv PLC
• Harman International Industries
•  Valeo SA
•  ZF Friedrichshafen
•  Lear Corporation
•  Autoliv Inc
•  Magna International Inc
•  Yazaki Corporation
• Mitsubishi Electric Corporation
   

Automotive Communication Technology Industry News:

• In March 2023, Toshiba developed a new communication driver/receiver IC for the CXPI standard. It’s typical uses include steering switches, instrument cluster switches, light switches, door locks, outside mirrors, and more. The latest advancement provides the physical layer interface for CXPI-compliant vehicle communication protocols. Also, it offers variety of fault detection features available, such as overheating and low voltage detection.
   

This automotive communication technology market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Million) from 2018 to 2032, for the following segments:

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Market, By Bus Module

• Local Interconnect Network (LIN)
• Controller Area Network (CAN)
• FlexRay
• Media Oriented Systems Transport (MOST)
• Ethernet

Market, By Vehicle Class

• Economy
• Mid-sized
• Luxury

Market, By Distribution Channel

• OEMs
• Distributors

Market, By Application

• Powertrain
• Body & comfort electronics
• Infotainment & communication
• Safety & ADAS
• Others (chassis, wireless, and telematics)

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Netherlands
  • Poland
• Asia Pacific
  • China
  • Japan
  • India
  • Australia & New Zealand
  • South Korea
  • Singapore
• Latin America
  • Brazil
  • Mexico
  • Argentina
• MEA
  • South Africa
  • UAE
  • Saudi Arabia
  • Qatar