Automotive Ethernet Market Size

Automotive Ethernet Market size was valued at USD 3.08 billion in 2024 and is expected to reach USD 37.1 billion by 2037, expanding at around 21.1% CAGR during the forecast period i.e., between 2025-2037. In the year 2025, the industry size of automotive ethernet is assessed at USD 3.6 billion.

The increased investment by many major automakers across the globe has made multiple investments in smart vehicle integration. According to World Internet Conference and CSIS report, through February 2020, 30 of the biggest AV businesses had spent USD 16 billion on creating entirely autonomous technology. Volkswagen Group of Germany and Japanese carmaker Toyota Motor have significantly invested in this field. The American automaker Ford Motor Company recently said it will spend more than USD 4 billion on research, development, and applications for autonomous vehicles by 2023.

The growing demand for communication technology in smart cars drives the market growth. Ethernet currently offers 100 Mbps and is expected to increase to 150 Mbps compared to media-oriented systems transport. This network has been used mostly for infotainment and media systems. Modern cars use high-tech components that serve as a foundation for in-vehicle communication. Also, through ethernet technology, customers can benefit from better bandwidth, scalability, speed, and reduced latency. To ensure a seamless operation of the vehicle system and infotainment, ethernet technology offers a variety of functions and functionalities.