In-vehicle infotainment (IVI) systems provide connectivity, navigation, entertainment, and information services to drivers and passengers. IVI systems consist of hardware installed in vehicles such as display screens, control panels, and speech recognition systems as well as associated software. Common features include satellite radio, Bluetooth connectivity, USB and auxiliary inputs, voice command technology, navigation with real-time traffic updates, and compatibility with smartphones.
The global in-vehicle infotainment market is estimated to be valued at US$ 24.85 Bn in 2023 and is expected to exhibit a CAGR of 10.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
The global in-vehicle infotainment market is expected to be flourished by growing connectivity features. Connected vehicle technology is advancing rapidly, enabling integration of the internet and mobile services. Leading automakers are adding more connectivity features such as wireless streaming of content, over-the-air software updates, Wi-Fi hotspots, and options for passengers to control content on their own screens. Growing advancements in connectivity are increasing the demand for IVI systems with upgraded capabilities.
Market Dynamics
Growth in vehicle production and rising vehicle parc are poised to drive the IVI market. Expanding middle-class population in developing regions is increasing the demand for passenger vehicles. Asia Pacific emerged as the largest passenger car producer globally in recent years attributed to sizeable vehicle production in China and India. Rising vehicle production supplements the installation of new IVI systems. Growing consumer preference for connected and autonomous driving experience is propelling the adoption of advanced IVI solutions in new vehicles. Automakers are adopting innovative technologies such as 5G, artificial intelligence, and cloud services to enable interactive and personalized infotainment. Such rising technological integrations are anticipated to stimulate the IVI industry during the forecast period.
Segment Analysis
The In-Vehicle Infotainment market can be segmented into hardware and software. The hardware segment dominates the market and accounts for over 55% share. This is because the hardware components such as displays, control panels, and head-up displays are integral parts of infotainment systems. Further, the hardware segment is divided into the connectivity system, control panel, head-up display, and others. The connectivity system sub-segment has the highest share as it allows connectivity through Bluetooth, Wi-Fi, and other wireless technologies.
PEST Analysis
Political: Governments across countries are focusing on connected infrastructure and intelligent transport systems. There are also regulations regarding driver safety and distraction.
Economic: The growing disposable incomes are increasing the demand for luxury and high-end vehicles with advanced infotainment systems. Moreover, technology improvements are reducing costs.
Social: Younger consumers prefer connected experiences and expect seamless integration of their digital lives into vehicles. Advancements enable social media integration, content streaming, and communication.
Technological: Developments in areas such as wireless connectivity, artificial intelligence, and cloud computing are enhancing infotainment systems. Technologies like 5G will enable higher bandwidth applications.
Key Takeaways
The Global IN-VEHICLE INFOTAINMENT Market Growth is expected to witness high over the forecast period. Asia Pacific region dominates currently due to the high vehicle production in countries such as China, India, and Japan. The region is anticipated to continue its lead in the upcoming years on the back of increasing demand from growing middle-class population and evolving consumer trends.
Regional analysis
The Asia Pacific region accounts for over 35% market share currently. China dominates the Asia Pacific as well as the global market due to the presence of leading automotive OEMs as well as high vehicle production in the country. India is expected to be the fastest growing market in the region owing to the “Make in India” initiative and automotive component manufacturing programs.
Key players operating in the IN-VEHICLE INFOTAINMENT market are Straumann Group, Zimmer Biomet Holding, Inc., Danaher Corporation, Dentsply Sinora Inc., BioHorizons IPH, Inc., Henry Schein, Inc., Osstem Implant Co. Ltd., Avinent Implant System, A-Dec Inc., Nobel Biocare, Sonoma Pharmaceuticals, Inc, and Nexa3D.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
