Predictive Vehicle Technology Market Forecasts to 2028 – Global Analysis By Hardware (ADAS, OBD and Telematics), Deployment (On-Premise and Cloud), Application (Driving Pattern Analysis, Maintenance Analysis, Predictive Smart Parking, Proactive Alerts, Sa

Predictive Vehicle Technology Market Forecasts to 2028 – Global Analysis By Hardware (ADAS, OBD and Telematics), Deployment (On-Premise and Cloud), Application (Driving Pattern Analysis, Maintenance Analysis, Predictive Smart Parking, Proactive Alerts, Safety and Security and Other Applications) and By Geography

According to Stratistics MRC, the Global Predictive Vehicle Technology Market is accounted for $37.86 billion in 2022 and is expected to reach $125.45 billion by 2028 growing at a CAGR of 22.1% during the forecast period. Artificial intelligence (AI) and machine learning (ML) are combined in predictive vehicle technology to understand the patterns and driving habits of the vehicle owner and improve vehicle safety. Data mining, neural networks, system modeling, and simulation are some of the available tools. By automating the process of changing vehicle settings, such as the infotainment system and application preferences, predictive vehicle technology enhances the driving experience for each individual driver. Since predictive technologies are becoming more common across all vehicle types to give the driver comfort and convenience, AI and ML are crucial components of future vehicles and the automobile industry.

According to the American Automotive Policy Council Report, in 2017, the U.S. automakers & suppliers spent more than USD 21 billion on the automotive R&D sector.

Market Dynamics

Driver:

Rising demand for connected vehicles

The vehicles have a number of technologies that can detect impediments or other vehicles on the road and take preventative action, like maintaining the vehicle's speed and distance from other vehicles. Also, the vehicles are currently connected to one another and communicate information as needed, which reduces travel time and effort. Also, these new technologies make vehicles safer and more secure, which raises the level of safety for both drivers and cars. The first fully integrated cloud-based platform for creating, running, and maintaining in-vehicle apps that offer good connection, device management, analytics, safety, and other features. Hence, it is anticipated that the market for predictive vehicle technology will increase in line with consumer desire for technologically advanced vehicles.

Restraint

Challenges in automotive industry

With the introduction of technologies like big data and analytics, cloud computing, sensors, and the internet of things (IoT) in industries like e-commerce, mobility, broadband access, and social media, the global economy is drastically changing into a digital marketplace. The World Economic Forum predicts that there will be more than 38.1 billion linked devices. As a result, the key challenge for the automotive industry is to adopt and maintain a connected device ecosystem that complements predictive vehicle technology.

Opportunity

Technological advancement

A crucial trend that is becoming more popular in the market for predictive vehicle technology is technological improvement. To enhance their position in the market, the major firms involved in the development of predictive vehicle technology are concentrating on offering new technological advancements. In order to forecast driving behavior and help the driver, predictive vehicle technology also makes use of hardware elements, including telematics, onboard diagnostics (OBD) ports, and ADAS (advanced driver assistance) components. The safety of automobiles is improved by these modern technologies, which are causing the market to expand.

Threat

Cyber-security and data privacy

Manufacturers, service providers, and the federal and state governments are all quite concerned with safeguarding a semi- or completely autonomous car from hackers. It was demonstrated by the skilled hacking of a traditional vehicle that such disruptions may occur. More than a dozen entry points, such as the airbag, the lighting system, and the tire pressure monitoring system, might be used by hackers to get access to even conventional vehicles' electrical systems. In addition to hackers, numerous public and commercial organizations, like those in the insurance industry, law enforcement, first responders, and suppliers of technology and sensors, would desire access to car data in the event of an accident. There are currently no rules that forbid manufacturers and software providers from selling the data on specific vehicles and drivers to other companies. Such elements limit market expansion.

Covid-19 Impact

The COVID-19 epidemic has caused a decline in the market for predictive vehicle technology. The shutdown affected the market for predictive vehicle technology, which is a constantly developing industry. The global pandemic caused an end to automobile production, which disrupted the supply of predictive vehicle technology. Also, the lack of labor owing to social conventions that discourage close relationships and other restrictions has an impact on the ability to produce the hardware necessary for predictive vehicle technology. Moreover, it is anticipated that the demand for vehicles will be impacted by the recession in the global economy and the decline in personal disposable income. Moreover, the market for predictive vehicle technology is being impacted by the decline in vehicle market growth.

The ADAS segment is expected to be the largest during the forecast period

The ADAS segment is estimated to register the largest share due to its variety of sensors, including cameras, radar, LiDAR, and ultrasonic sensors. The data is sensed by these sensors and sent for additional processing. Furthermore, in many ADAS applications, these sensors can be employed singly or in combination. To improve vehicle safety performance, top automakers from around the world are integrating cutting-edge technology in both passenger and commercial vehicles.

The commercial vehicles segment is expected to have the highest CAGR during the forecast period

The commercial vehicles segment is anticipated to witness lucrative growth during the forecast period because commercial vehicle telematics usage is expanding and improving fleet safety. It mainly offers infotainment options, GPS location monitoring, and satellite navigation. Moreover, the ability to track a vehicle's location in real time is helpful for alerting drivers of impending traffic, car accidents, weather problems, and congested routes. These elements have contributed to the commercial vehicle market's quickest expansion.

Region with highest share:

Asia Pacific is projected to hold the largest market share during the forecast period owing to the presence of several of the world's fastest-growing economies, including China and India. Also, the Asia Pacific region is the world's largest market for automobiles as a result of rising consumer spending power in the area. Also, the region's rising sales of passenger cars and commercial vehicles are fueling the market's expansion. The nations in this region are in favor of commercial telematics being included in new cars which benefits the global commercial telematics industry.

Region with highest CAGR

North America is projected to have the highest CAGR over the forecast period, owing to the measures undertaken by participants in the automotive industry and the governments in this region. For instance, the U.S. Department of Transportation has launched the ""Smart City Challenge,"" which invites businesses to work on issues related to smart mobility across the nation. In the United States, the automobile sector is making large investments in automotive technology.

Key players in the market

Some of the key players profiled in the Predictive Vehicle Technology Market include Aisin Corporation, Aptiv PLC, Bayerische Motoren Werke AG (BMW), Cohda Wireless, Continental AG, Garrett Motion Inc.,, General Electric Company, Harman International, Hella KGaA Hueck & Co., Honeywell International Inc., IBM Corporation, Inseego Corporation, Microsoft Corporation, Nxp Semiconductors N.V, Perceptive Automata, Inc., Qualcomm, Quantum Inventions Pte Ltd., Robert Bosch GmbH, SAP SE, Siemens AG, Sierra Wireless, Teletrac Navman, Thales Group, TIBCO Software Inc., TPL Trakker, Valeo, Visteon Corporation, Zensar Technologies Ltd. and ZF Friedrichshafen Aga.

Key Developments

In April 2023, AISIN will release the road maintenance and management service Michi-log 2.0, which is equipped with new functions that utilize AI. It will be introduced in Okazaki City and Kariya City, where demonstration tests have already been conducted, and full-scale operation will begin.

In December 2022, Aptiv PLC a global technology company focused on making mobility safer, greener and more connected, has completed the acquisition of Wind River®, a global leader in delivering software for the intelligent edge. Wind River software enables the secure development, deployment, operations and servicing of mission-critical intelligent systems. The company's technology is in over two billion edge devices across more than 1,700 customers in high-value industries, including aerospace and defense, telecommunications, industrial, medical and automotive.

In June 2022, Toyota Boshoku, Aisin and Shiroki have signed a production transfer contract that agreed to transfer Shiroki's Nagoya Plant, which is the main domestic production base for Aisin group’s automotive seat frame mechanism parts, to Toyota Boshoku and transfer its production.

Hardware's Covered:
• Advanced Driver Assistance Systems (ADAS)
• On-board diagnostics (OBD)
• Telematics

Deployments Covered:
• On-Premise
• Cloud

Vehicle Types Covered:
• Passenger Cars
• Commercial Vehicles

Applications Covered:
• Driving Pattern Analysis
• Maintenance Analysis
• Predictive Smart Parking
• Proactive Alerts
• Safety and Security
• Other Applications

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements