The constant flux of technology companies and software developers in the global connected car market is what makes the landscape increasingly competitive, finds Transparency Market Research (TMR). A growing number of automotive manufacturers are forging partnerships and entering into collaborations with technology firms to bring innovations in the market. TMR notes that this has enabled them to gain substantial strategic gains and also consolidate their positions. This has enabled players to bring game-changing mobility concepts in the automotive industry, creating lucrative avenues.

The connected car market is driven primarily by the growing deployment of automotive electronics and advanced technologies in vehicular systems. The drive for these technologies stems from the substantial role these play in providing increased road safety, greater comfort, and wide entertainment options, for passengers. The growing adoption of automotive digital technologies in enhancing the in-car experience for users is a notable factor accentuating the market growth.

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The growing demand for infotainment services is occupying a crucial role in the rapid expansion of the connected car market. Coupled with this, the growing demand for services that enable vehicles to connect and continuously enrich with the outer surrounding is a key trend expanding in-vehicle infotainment. The demand for immersive information user experiences has gathered steam among passengers of high-end cars and luxury vehicles.

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Various government mandates in emerging and developed nations on promoting the safety of passengers has imparted a robust fillip to the growth of the market. The stringent implementation of vehicular safety among automakers and original equipment manufacturers is also bolstering the demand for better connectivity options in the automotive industry.