The global automotive V2X market size was valued at USD 628.9 million in 2021. The market is projected to grow from USD 813.9 million in 2022 to USD 11,088.1 million by 2030, exhibiting a CAGR of 45.2% during the forecast period

Automotive V2X Market Overview:

The global COVID-19 pandemic has been unprecedented and shocking. Demand is lower than expected in all regions compared to what it was before the pandemic. Based on our research, the world market was 10.8% smaller in 2020 than it was in 2019.

Vehicle-to-everything makes it possible for the car and its surroundings to talk to each other in real time. It has many use cases, such as vehicle-to-vehicle, vehicle-to-pedestrian, and vehicle-to-infrastructure. This technology makes it easier for cars to drive themselves, improves traffic flow, and makes roads safer by letting vehicles talk to each other and the infrastructure around them. This makes it possible to come up with more connected and smart solutions.

Market Dynamics:

Latest Trends:

Cellular vehicle-to-everything is supported by many automakers, including Daimler, SAIC, Ford, Tesla, Audi, PSA, Nissan, BMW, and Lexus. It is also supported by leading mobile equipment makers and telecommunications companies. For example, Ford has promised to put C-V2X in all new U.S. car models starting in 2022, depending on how the Federal Communications Commission decides to divide up the radio waves. The company also planned to put this technology in all Ford cars in China by 2021. So, the rate of growth of this market will be boosted by the growing use of C-V2X.

Driving Factors:

According to a 2018 WHO report on road safety, more than 1.3 million people die every year in traffic-related accidents. According to research done by the U.S. Department of Transportation (DOT), vehicle-to-everything can cut traffic accidents by 80%. It could help cut down on traffic deaths by finding and letting the driver know about things that can't be seen.

For example, an automotive V2X application like Emergency Brake Light could warn the driver of the car behind it ahead of time if the car in front of it suddenly slowed down while making a blind turn. This could prevent a crash. The U.S. Department of Transportation says that vehicle-to-everything would save more than 1,000 lives per year and prevent 2.3 million non-fatal injuries. Because of this, these things will help the market grow.

Europe spends about USD 109 billion every year on roads that are too crowded. With a safer and more efficient transportation system, we could save a lot of money. With the help of V2X, the U.S. DOT says that about USD 871 billion can be saved every year in the U.S.

Blocked roads slow down the supply chain, make it harder and more expensive to do business, and lower productivity. With this technology, factors that cause traffic jams can be found ahead of time, and vehicles can act in response. When simulation models and real-time data are used together, the best routes can be found to make rides faster and more efficient. Because of these things, the demand for vehicles that can do everything is growing in the automotive industry.

Restraining Factors:

Automobile V2X testing is hard because it costs a lot to set up test tracks, real vehicles, and the infrastructure needed for testing. Setting up high-density traffic with millions of possible scenarios is also difficult and expensive. Also, some traffic situations are too dangerous to test with people. For instance, applications like Abnormal Vehicle Warning (AVW), Control Loss Warning (CLW), and Hazardous Location Warning (HLW) need to be tested (HLN). Another problem with testing is that the specific spectrum isn't always available, which makes it hard to test on real roads. It's also hard to recreate test scenarios in the real world. So, these things will slow the growth of the automotive V2X market.

Segmentation Analysis:

By Connectivity Type Analysis:

The market is split into two groups based on the type of connection: DSRC and cellular. In 2021, the DSRC segment had the largest share of the market because it was easy to set up, the technology was already designed, and data security standards had been tested.

In the market, the cellular segment is expected to have a higher CAGR over the next few years. Cellular vehicle-to-everything is a flexible and cost-effective way to connect short- and long-range devices securely over a large area. It has better safety features, a bigger capacity, and less chance of service interruptions. This part of the market will grow because of these things.

By Communication Type Analysis:

The market is divided into vehicle-to-vehicle (V2V), vehicle-to-infrastructure (V2I), vehicle-to-pedestrian (V2P), and other types of communication. Most of the market was made up of the V2V segment. V2V can tell drivers about other vehicles' speed, direction, and location, as well as their speed, direction, and speed. It can also warn them of possible dangers in situations like blind spots, heavy traffic, intersections, and terrain problems, among others. This segment will grow because of these things.

Over the same time period, the V2I segment is also expected to grow a lot. V2I can help with the development of driver assistance systems like self-driving cars and smart parking, which can improve the planning of parking lots, traffic lanes, and other things in the future to make sure that traffic flows smoothly. This is what will push the use of V2I technology.

By Vehicle Type Analysis:

The market is split into two groups based on the type of vehicle: passenger cars and commercial vehicles. The largest part of the market was made up of passenger cars. V2X is already being used by major automakers. For example, Toyota has helped make progress in vehicle-to-everything by putting DSRC technology in more than 100,000 Lexus and Toyota cars and trucks. In Europe, Volkswagen's new Golf models are also equipped with DSRC-based vehicle-to-everything. This segment is the most important because of these things.

The market is also expected to grow by a lot in the area of commercial vehicles. This segment will grow because of things like the potential to reduce collisions, lower emissions, and improve platooning. All of these things can make transporting goods more efficient.

By Unit Type Analysis:

The market is divided into the onboard unit (OBU) and the roadside unit based on the type of unit (RBU). The OBU segment had the biggest share of the market because it is the most important part for sharing data in real time with other OBUs in other vehicles and roadside networks. Its software platform also makes it easy to add new applications. The RSU segment is also expected to grow well in the market because, among other things, deployment costs are going down, they help manage traffic flow, and they improve pedestrian and driver safety.

Regional Insights:

In 2021, Asia Pacific had the largest share of the automotive V2X market, which was worth USD 259.0 million. In this region, the main people working on "vehicle-to-everything" development are companies that make technology for telecommunications and companies that make cars. Japan and China are expected to have the most advanced technologies in the Asia-Pacific region. For example, in Chongqing, a 20-square-kilometer area of the Yongchuan district is being used as a "vehicle-to-everything pilot zone" to test level 4 autonomous vehicles, which can drive almost all the time without a person in charge.

On the market, people expect Europe to do well. There were a lot of research projects, industrial groups, and joint tests for vehicle-to-everything communication in the area. For example, the CAR 2 CAR Communication Consortium is made up of several technology companies and automakers. Its main goal is to create intelligent transportation systems and put them into use on European roads.

The market is expected to grow a lot in North America because major automakers in this area are using vehicle-to-everything technology more and more. With the U.S. State Route 33 Smart Mobility Corridor, Honda is working with the Ohio Department of Transportation to set up the most dense V2X environment of its kind. In a similar way, Audi and the Virginia Department of Transportation (DOT) announced a pilot programme for cellular vehicle-to-everything deployments that will start in the third quarter of 2020 (Q3).

The Alliance for Automotive Innovation (AAI) says that in 2019, over 60% of the U.S. automotive market will be made up of companies that have already deployed or announced deployments. Because of this, these things will help the market in this area grow.

Scope Analysis

Recent Development:

• October 2021 – Brandmotion LLC, an automotive safety technology company, announces a collaboration with DENSO Products and Services Americas to provide a one-stop service for cities looking to equip their cars with advanced V2X technology.
• October 2021 – Infineon Technologies announced the release of the SLS37 V2X Hardware Security Module (HSM) and plug-and-play security solution for V2X communications. The SLS37 V2X HSM is based on a highly secure, tamper-evident microcontroller tailored to the security requirements of V2X applications within telematics control units.

Market Segmentation

By Connectivity Type:

• DSRC
• Cellular
• Others

By Communication Type:

• Vehicle-to-Vehicle (V2V)
• Vehicle-to-Infrastructure (V2I)
• Vehicle-to-Pedestrian (V2P)
• Other

By Vehicle Type:

• Passenger Cars
• Commercial Vehicles
• Other

By Unit Type:

• Onboard Unit
• Roadside Unit
• Other

By Companies:

• Denso Corporation (Japan)
• Aptiv (Ireland)
• Infineon Technologies AG (Germany)
• Continental AG (Germany)
• Qualcomm Technologies, Inc. (U.S.)
• Autotalks Ltd. (Israel)
• Cohda Wireless (Australia)
• Kapsch TrafficCom (Austria)
• Savari Inc. (U.S.)
• Lear Corporation (U.S.)
• LG Electronics (South Korea)
• Ford Motor Company (U.S.)
• Robert Bosch GmbH (Germany)
• NXP Semiconductors (Netherlands)
• Harman International (U.S.)
• Others