This research evaluates software and app platforms including OS, middleware, HMI, smartphone app integration, and OEM SDKs. The report compares the strategic advantages between driver-centric and vehicle-centric infotainment systems. The report also evaluates key initiatives of auto OEMs, third-party app providers, and monetization strategies for automakers in the emerging in-vehicle infotainment ecosystem.
The connected car ecosystem is rapidly evolving as a result of the dominant industry trend to leverage software-defined cars to provide cloud-based services that are indirectly related to driving itself and more concerned with the overall vehicle occupant experience. This trend includes auto OEMs developing their own application platforms that integrate with third-party app development for in-vehicle infotainment systems.
Infotainment systems are emerging as diverse services including navigation system, premium audio and video systems, in-vehicle advertising, commerce, and smart mobility services such as travel, hotel, flight and train, robo-taxi, ride sharing/rental, health and education services, and content including video, music, and movies. Mind Commerce sees various suppliers within the automotive value chain, such as telematics providers and aftermarket service providers, contributing to develop the SDC ecosystem. This ecosystem is the foundation for in-vehicle entertainment.
The in-vehicle infotainment system market is going to become a $78.9 billion opportunity by 2025. Building driver-centric infotainment systems instead of vehicle-centric ecosystems will be one of the key success factors through 2030. Infotainment services enable new revenue streams that are less dependent on automotive production cycles and provide consistent revenue with up to five times higher margins than the current post-sale services. Many automotive manufacturers have installed third-party infotainment systems, which is a trend that is anticipated to accelerate as vehicle sales decline, placing greater reliance on post-sale services.
- Automobile manufacturers
- Wireless device manufacturers
- Automobile OEMs and aftermarket
- Smartphone application developers
- IoT infrastructure and solution providers
Select Report Findings:
- Aftermarket is the largest segment with 44% of the total market in 2019
- North America is the largest region with 31.9% of the total market in 2019
- The USA aftermarket will reach $7.12B by 2025, while OEMs will reach $3.94B
- USA is the largest country in the North America, while Germany, France, UK, and Russia are major countries in Europe
- Asia Pacific is expected to have the highest growth with a CAGR of 23.7% during 2019 to 2025, led by
- China, Japan, Korea, and India
Companies in Report:
- Apple CarPlay
- Ford Motor Company
- IBM Corporation