Vehicle Networking Market Size & Share, by Vehicle Type (Passenger Vehicles, Light Commercial Vehicles, Heavy Commercial Vehicles, Automated Guided Vehicles); Connectivity Standards (Controller Area Network, Local Interconnect Network, Radio Frequency, FlexRay, Ethernet, Media Oriented Systems Transport); Application (Powertrain, Safety, Body Electronics, Chassis, Infotainment) - Global Supply & Demand Analysis, Growth Forecasts, Statistics Report 2024-2036

Growth Drivers

• Surge in automobile production - The vehicle networking market is anticipated to grow as a result of the rise in auto production. The process of creating automobiles, including cars, buses, trucks, and other motor vehicles, is known as automobile manufacture. The more cars that are produced, the more opportunities there are to add cutting-edge connection features to cars. Vehicle networking encompasses a variety of technologies, including infotainment systems, telematics, and vehicle-to-vehicle (V2V) communication. For instance, 79.1 million motor cars were produced globally in 2021, a rise of 1.3%, according to the European Automobile Manufacturers Association, the primary standards-setting and lobbying organization for the automotive industry, which is headquartered in Belgium. Furthermore, from April 2021 to March 2022, the Indian automobile industry produced a total of 22.93 million vehicles, including passenger cars, commercial vehicles, three-wheelers, two-wheelers, and quadricycles, according to Invest India, a national agency for the promotion and facilitation of investment in India.
• Increase in demand for autonomous vehicles - The vehicle networking market is expanding due to the rising need for autonomous vehicles. Self-driving cars, or autonomous cars, are automobiles that can navigate and function without the need for human help. In the market, autonomous cars are becoming more and more popular since they may increase efficiency, convenience, and safety for both drivers and passengers.
• Developments in vehicle networking technology - One major trend that is becoming more and more popular in the market is technological developments. Large market players usually concentrate on technology developments in order to stay competitive by implementing new technologies. Autonomous driving is made possible by the new Ethernet device, which also introduces the next generation of automotive architectures and standardizes in-car video distribution across a range of domains. This includes an inventive portfolio of data infrastructure semiconductor solutions that cover computing, networking, security, and storage.

Challenges

• Absence of infrastructure for autonomous mobility to hamper industry expansion - Autonomous and connected vehicles make extensive use of vehicle networking components. Upgrading the current infrastructure consistently is necessary for the introduction of autonomous vehicles. Particularly in emerging and impoverished nations, the absence of infrastructure for autonomous mobility may impede the growth of the vehicle networking market. Additionally, the integration of car networking technologies may be delayed by problems with inadequate government financing and bad road infrastructure.
• Growth in the market may be hampered by electric vehicles' rising semiconductor usage.
• The high initial cost of vehicle networking systems is the main factor reducing the revenue of the market.