Split Billing: Crucial for Connectivity Management Platforms in Automotive Sector

Over the last few years, the demand for seamless connectivity has grown exponentially in the automotive sector. With the rise of connected cars and the integration of various IoT devices, the automotive sector faces the challenge of managing and monetizing connectivity effectively. This is where connectivity management platforms (CMPs) play a crucial role, and among the key components that contribute to their success, split billing stands out as a pivotal feature.

What is a Connectivity Management Platform (CMP)?

Before delving into split billing, let’s understand what CMPs are and how they have evolved. CMPs are centralized systems that facilitate the management, control and monetization of data connectivity services in connected vehicles. These platforms empower automotive manufacturers and service providers to offer innovative connected services to drivers and passengers while efficiently managing data consumption.

As seen in the chart below, CMP is a component of wider IoT platforms that include a Device Management Platform (DMP), Analytics Platform and Applications Enablement Platform (AEP). Together, these platforms power large-scale IoT applications.Iot platforms - Split billing

Many connectivity management platforms integrate split billing functionality to cater to the diverse billing requirements of multiple stakeholders in the IoT ecosystem and the automotive industry in particular. Currently, there are many CMPs, such as Cisco, Aeris, Cubic Telecom and Wireless Logic, which have the capability to provide split billing.

Challenges in Connectivity Management for Automotive:

In the past, vehicle connectivity was predominantly limited to basic telematics services and hence the split billing was not so much of a concern. However, the rapid advancement of technology has transformed the automotive landscape. Today, connected cars are equipped with sophisticated infotainment systems, navigation tools, real-time diagnostics, and a multitude of sensors that enhance safety, convenience, and the overall driving experience. In the future, the need for connectivity in cars would be very different with autonomous vehicles and V2X communication.

2022 was a pivotal year for connected cars. According to Counterpoint Research analysis, connected cars surpassed 50% of car sales for the first time with the US, Europe and China as the key markets.

Global connected car penetration by key regions

As vehicles become more connected, the complexity of managing connectivity increases. This gives rise to various difficulties for the automotive, including:

  • Data Consumption: Connected vehicles generate a vast amount of data, which can quickly lead to exorbitant costs if not managed efficiently.
  • Billing and Monetization: With multiple stakeholders involved, such as vehicle manufacturers, network operators, and content providers, it becomes challenging to accurately bill and monetize data usage.
  • Personalized Services: Consumers expect personalized services tailored to their preferences, but delivering such services without incurring excessive data charges can be tricky.
  • Data Security and Privacy: As vehicles become data hubs, ensuring robust security and privacy measures becomes paramount.

The Role of Split Billing:

In the context of Internet of Things (IoT) connectivity for automobiles, split billing refers to a billing mechanism that allows for the separation and allocation of data usage costs between different entities involved in the IoT ecosystem. This concept is particularly relevant when multiple parties share the data consumption and connectivity expenses of an IoT-enabled vehicle.

In an automobile scenario, various components may require internet connectivity for different purposes:

  • Vehicle Manufacturer: The automobile manufacturer may require connectivity for software updates, diagnostics, and data collection to improve its products and services.
  • Car Owner/Driver: The car owner or driver may need connectivity for infotainment, navigation, and other personalized services.
  • Third-party Service Providers: External service providers, such as insurance companies or fleet management firms, might offer specific services that rely on the vehicle’s connectivity.

Split billing allows the data usage and associated costs to be divided among these parties based on their usage patterns and requirements. For example:

  • The car manufacturer might cover the data costs for vehicle diagnostics and software updates, as it benefits the development and maintenance of its product.
  • The car owner would be responsible for the data costs associated with personal usage, such as infotainment and navigation.
  • Third-party service providers may bear the expenses related to the specific services they offer through the vehicle’s connectivity.

This approach helps create a fair and transparent billing structure, where each stakeholder pays only for the services they consume, rather than a single entity covering all data costs.

What does split billing mean for CMPs?

For CMPs, split billing refers to a specific functionality or feature that allows the platform to support the allocation and management of data usage costs among multiple parties or stakeholders in the IoT ecosystem. This functionality enables CMPs to handle billing and cost-sharing for IoT connectivity services efficiently. The chart below summaries the key aspects and functionalities related to split billing in CMPs.Split billing features in connectivity management platformsOverall, split billing functionality in a CMP streamlines the financial aspects of IoT deployments, encourages collaboration between different entities, and ensures that each party pays only for the specific services they utilize, making IoT implementations more transparent and cost-effective.

In conclusion, the evolution of CMPs for split billing has been driven by the increasing complexity of connected services, advancements in data analytics and technology, and the growing demands for personalized billing and improved customer experiences. As the IoT landscape continues to evolve, CMPs will play an increasingly vital role in managing data connectivity and enabling fair and accurate billing for the multitude of services offered in the connected world.

Related Posts

Global Cellular IoT Connections to Cross 6 Billion in 2030

  • Global cellular IoT connections grew 29% YoY to reach 2.7 billion in 2022 with 4G continuing to grow its majority share.
  • China held more than two-thirds of total cellular IoT connections in 2022, followed by Europe and North America.
  • NB-IoT dominates in China, while LTE-M is preferred in Australia, Japan and North America; Europe supports both.
  • 4G and NB-IoT are the most preferred technologies for cellular IoT applications.
  • 5G is nascent as module prices and breadth of applications reflect early-stage dynamics.
  • IoT growth drivers are shifting, with the enterprise and transformation initiatives key in propelling IoT connections forward.

San Diego, Buenos Aires, London, New Delhi, Hong Kong, Beijing, Seoul – June 12, 2023

Global cellular IoT connections grew strongly at 29% YoY to reach 2.7 billion in 2022, according to Counterpoint’s latest Global Cellular IoT Connections Tracker report. They are expected to grow at a CAGR of 10.8% to reach an installed base of over 6 billion by 2030. China held more than two-thirds of total cellular IoT connections in 2022, followed by Europe and North America.

Amid the challenges faced by various industries, such as inflation, macroeconomic headwinds and supply chain constraints, the cellular IoT market has experienced remarkable growth fuelled by the digital transformation initiatives undertaken by various industry applications like smart meters, automobiles and asset tracking in particular. Cellular IoT connectivity has played a significant role in enhancing productivity, streamlining operations, minimizing downtime, automating processes and generating cost savings for industries. The COVID-19 outbreak unexpectedly proved beneficial for enterprise IoT players, accelerating their digital transformation efforts.

Commenting on the cellular IoT connectivity technology dynamics, Senior Research Analyst Soumen Mandal said, “At the end of 2022, 4G and NB-IoT together accounted for nearly 90% of the installed base of cellular IoT connections. 4G emerged as the most preferred technology for cellular IoT connections after surpassing 2G and 3G-based IoT connections in 2016. NB-IoT has gained significant popularity in China, while Japan, Australia and North America prefer LTE-M technology for lower-end applications. Europe has adopted a combination of NB-IoT and LTE-M, supported by roaming services offered by most operators.

In recent times, 4G Cat 1 bis technology has gained significant popularity over NB-IoT due to its superior performance. Applications such as POS, telematics and smart meters are increasingly adopting this technology on a larger scale. The rising shipments of devices based on 4G Cat 1 and 4G Cat 1 bis technologies are contributing to the stagnant market growth of NB-IoT.

5G is still nascent but we expect 5G-based applications to pick up as the module ASP (average selling price) drops to sub-$100 and more 5G RedCap-based solutions become available in the market. The introduction of 5G RedCap and 5G eRedCap will play a crucial role in driving mass adoption of 5G, particularly in developing and underdeveloped countries.”

Global Cellular IoT Connections Installed Base-Counterpoint Researcht

Commenting on the market outlook, Research Vice President Neil Shah said, “The global cellular IoT connections installed base is expected to surpass 6 billion by 2030 with a CAGR of 10.8%. The growth will be mainly driven by cellular connectivity adoption across various sectors such as utilities, automotive, industrial, retail and healthcare. Unlike the previous decade, where consumer devices like smartphones and PCs played a significant role in driving cellular connections, this decade will see a shift towards cellular connections being propelled by the digital transformation initiatives undertaken by enterprise IoT payers. The widespread adoption of cellular connectivity will also contribute to a further reduction in prices for cellular-connected devices, making them more competitive against alternative non-cellular connectivity technologies like LoRa, Sigfox and Wi-SUN. Over the past year, the cellular IoT industry has witnessed many consolidations, including Telit’s acquisition of Thales’ cellular IoT business, Semtech’s acquisition of Sierra Wireless, and Aeris Communications’ acquisition of Ericsson’s IoT accelerator and connected vehicle cloud business. As the cellular IoT module market continues to mature, we can expect more consolidations aimed at providing improved solutions and maintaining competitiveness against other non-cellular connectivity technologies.” 

The comprehensive and in-depth ‘Global Cellular IoT Connections Tracker, 2022’ report is now available for purchase at

Feel free to reach us at for questions regarding our latest research and insights.


Counterpoint Technology Market Research is a global research firm specializing in products in the technology, media and telecom (TMT) industry. It services major technology and financial firms with a mix of monthly reports, customized projects and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

Analyst Contacts

Soumen Mandal

The Branding Source: New logo: Twitter

Neil Shah

The Branding Source: New logo: Twitter

Mohit Agrawal

The Branding Source: New logo: Twitter

Counterpoint Research

The Branding Source: New logo: Twitter

Related Posts

Qualcomm Gears up to Drive Automotive Industry Transformation

Qualcomm held a first-of-its-kind ‘Automotive Investor Day’ in New York recently. The event was organized to highlight the new ventures that Qualcomm is embarking upon in the automotive technology space. The company is building on its presence in 250 million vehicles using its connectivity and telematics technologies. Its automotive revenues traced to telematics and connectivity are projected to total $1.3 billion in 2022, up from $975 million in 2021. With this exclusive road map, the revenues are forecasted to reach $9 billion in 2031, which, based on the total addressable market (TAM) size, are conservative in our opinion. Licensing business is also part of the automotive push with the QTL (Qualcomm Technology Licensing) program to collect $5 per connected vehicle with 5G adoption expected to scale in 2024.

Qualcomm’s automotive efforts begin with its expertise in telematics and connectivity, the first branch of its Digital Chassis suite. Telematics and connectivity here include modems, GPS, Car2Cloud and more. The second biggest unit in terms of projected revenue generation is the digital cockpit, which has infotainment systems and where interaction with the driver/passenger takes place. This section comprises GPUs, CPUs, OS support and the like. Lastly, we have the top revenue generating unit, ADAS/AD systems, dubbed the Snapdragon Ride platform which is related to autonomous driving components, computer vision, ML and efficient computing processors.

Leader in Auto Connectivity

Cars Already on the Road

Qualcomm’s automotive presence precedes the revamped approach underlying the Automotive Investor Day. At the first event of the sort, Qualcomm highlighted its dominance in wireless technology in hardware and software and how such a reputation brings value in terms of applications in the automotive industry. Under its tie-ups with OEMs such as Stellantis and General Motors, Qualcomm is providing solutions pertaining to connectivity/car-to-cloud, digital cockpit and ADAS/AD systems. Some of these technologies are already on the road with Cadillac’s Lyriq EV and Opel’s Mokka-E. A new Mercedes-Benz model, reportedly the EQE SUV, is expected to be launched next The vehicle is set to be unveiled mid-October.

One Technology Platform

Qualcomm seeks to drive the automotive industry transformation by using at-the-edge technology and unlocking the potential for passengers and OEMs. The automotive pivot to EVs is key to redefining the automotive language of design and in-car experiences. One feature that proves valuable is linking the vehicle owner directly with the OEM. The vehicle itself will perform other duties such as data collection and analysis of driving modes, and AI refinement in terms of safety, map guidance and software errors. Having the vehicle connected to a centralized system adds value to both ends of the car. The “One Technology Platform” eases the scalability while maintaining uniformity given Qualcomm’s lead in wireless connectivity and established car technology suite.

Platform of Automotive Future

The Digital Chassis suite offers a combined platform within the vehicle, from connectivity to ADAS. The enablement of at-the-edge applications for vehicles expands the potential of automotive designs and advancements. Qualcomm has opted to design and produce systems-on-chips (SoCs) that can be for OEMs and their intended passenger vehicle concepts. A key notion is to reduce costs and increase uses of the SoCs which can be used in any type of vehicle and at any price point.

Qualcomm will offer flexibility and customization based on the OEM’s needs and work alongside the Tier 1 suppliers. The company noted that OEMs aim for region-specific features and options, which affect pricing and useability. Hence, the One Technology concept is still applied but with interchangeable features catering to the intended market such as traffic patterns, surrounding environment, and regulatory obligations.

Snapdragon Digital Chassis Integrations

Vehicle Lifecycle and Software as Differentiator

In contrast to the smartphone industry, cars have a longer life cycle which changes the perspective of technology implementation. To ensure vehicle longevity on the road, Qualcomm’s designs have future-oriented applications embedded, such as L3 and L4 AD systems. With its recent acquisition Arriver, Qualcomm aims to invest further into the technology for faster implementation and safer driving. Longevity also requires software updates and upkeep which Qualcomm does address by highlighting the importance of the One Technology concept and OEMs’ role in the cycle.

OTA updates of firmware and enabling new features can play a crucial role in keeping the car relevant to the latest technology. With such an approach, the passengers can perhaps experience a customized ride using OEM-specific applications or software add-ons. In addition, sensor algorithms and mapping of vehicle performance will always be refined. Thus, vehicle connectivity is becoming crucial as in-car experiences demand being almost constantly online.

Snapdragon Cockpit Software Ecosystem

Snapdragon Ride, ADAS/AD in Scope

Given the importance of ADAS/AD development in Qualcomm’s automotive strategy, Snapdragon Ride was showcased in detail. The road map showed SoC designs, vision system development through Arriver and the automated riding stack in collaboration with BMW.

The Snapdragon Ride Flex SoC is to be the first automotive super-compute SoC to integrate various operations including vision, ADAS/AD, and networking. The SoC will continue to be developed to reach Level 4 and even Level 5 autonomy while housing other applications for the passenger in terms of infotainment and the digital cockpit. AI accelerators would be in addition to the SoC to ensure fast computing and allow for data collection to scale solutions adequately while using a centralized cloud system. The Snapdragon Ride platform is the Digital Chassis branch pertaining to the ride experience and its refinement through interconnected functions.

Snapdragon Ride Flex SoC

C-V2X is another application Qualcomm is setting its sights on. With the enablement of such technology, the cars would be much safer and constantly connected with their surroundings, from pedestrian detection to parking spaces available in the vicinity. Having the vision SoC, C-V2X and sensors/LiDAR working together under one ecosystem is what Qualcomm offers for OEMs in addition to the other SoC applications and wireless technologies.


Snapdragon Ride SoC requires a vast compilation of compute power and precision for it to run smoothly. With that in mind, Qualcomm showcased the prowess needed to enable the technology. From multi-SoCs to computer vision, utilizing AI and ML algorithms for system enhancements and constant improvements, all allow OEMs to immediately tether the update through to all other vehicles.

Snapdragon Ride SoC

Design-win Pipeline: From $19 bn to $30 bn in Two Months

Qualcomm’s automotive push shows strong performance with an increase of $11 billion in two months towards its portfolio of vehicular technologies. The tech firm utilized its Digital Chassis to increase OEM partnerships and engage in automotive innovations with an estimated TAM of $100 billion by 2030. The pipeline additions include both software and hardware with the TAM addressing vehicle connectivity, cockpit digitization and driver assistance systems.

Automotive estimated TAM

The estimated revenue for 2031 was increased from the November 2021 forecast of $8 billion to more than $9 billion with a CAGR of 18%. The CAGR from 2022 to 2026 is estimated to be 32% with possible revenues of more than $4 billion, up from $3.5 billion from a previous estimate. The revisions indicate the operating scale of expanding OEM partnerships adopting Digital Chassis technologies, adding to the design-win pipeline and revenues associated with scaling and licensing. The content per vehicle is in the $200-$3,000 range depending on the desired features to be embedded.

Design-win Pipeline

The forecasted revenues do not include other opportunities cited at the event, which included two-wheelers and e-bikes, domain controllers and last-mile autonomy. However, these applications are to be explored by Qualcomm in the long term. Such opportunities can catapult the use of C-V2X technology and further expand Qualcomm’s TAM and technology adoptions through the various offerings, be it automotive or wireless oriented. The One Technology concept also adds value to OEMs’ efforts to expand their direct customer reach through other technologies and offerings, providing truly personalized yet uniform use cases for customers.



Related Posts

In Automotive Connectivity, Rolling Wireless Tops Module Market, Qualcomm Dominates Chipset Market in H1 2022

  • Qualcomm dominates automotive connectivity chipset market with more than 80% share
  • Rolling Wireless leads the automotive connectivity module market, followed by LG and Quectel
  • One in two connected cars will have 5G connectivity by 2027

San Diego, Buenos Aires, London, New Delhi, Hong Kong, Beijing, Seoul – September 22, 2022

Global automotive connectivity module and chipset shipments grew by just 3% YoY in H1 2022, according to the latest research from Counterpoint’s Global Automotive NAD Module and Chipset Tracker.

China is the largest region as electric vehicle players, including new start-ups such as NIO, Xpeng Motor and Seres, are offering infotainment systems with large displays and smart cockpit solutions that have a wide array of features, and ADAS that requires embedded connectivity. But during H1 2022, automotive connectivity module shipments in China declined by almost 7% YoY due to slow car production caused by supply chain disruption and COVID-19 restrictions.

Automakers across Europe are trying to generate significant revenues from in-car software services via subscriptions. For this, they are now offering embedded connectivity, even in lower vehicle trims. The Ukraine crisis derailed the European automotive market’s post-COVID recovery. Automotive connectivity module shipments in Europe declined by more than 10% YoY as car production in Germany, France, UK, and other European nations suffered due to the lack of components caused by the Ukraine crisis.

While the two biggest markets could not avoid the effects of the geopolitical crisis and fresh COVID restrictions, North America remained more resilient with automotive connectivity module shipments increasing by 27% YoY during H1 2022.

Commenting on the market dynamics, Senior Research Analyst Soumen Mandal said, “With the increasing adoption of digital features and ADAS, the requirement for embedded connectivity in passenger vehicles will increase. The sales penetration of connected cars surpassed those of non-connected cars for the first time H1 2022. Previously, embedded connectivity was prevalent in luxury models, but now mainstream players like Volkswagen, Toyota and Stellantis are offering connectivity for their mass-market cars.

Qualcomm has a dominant position in the chipset market with more than 80% market share. The strong product portfolio and partnerships with major tier-1 suppliers and automakers are all helping Qualcomm. And now, Qualcomm is offering complete solutions for automotive digital transformation starting with hardware and extending to cloud services with the Snapdragon Digital Chassis. This one-stop solution is helping ecosystem players reduce time to market and be more competitive.

MediaTek and Samsung launched 5G solutions last year. As the automotive sector is gradually adopting 5G connectivity, we expect MediaTek and Samsung to increase their market share in 5G automotive connectivity. However, they will likely require a more concerted effort to substantially grow their share and benefit from greater economies of scale.”

Automotive connectivity chipset market Counterpoint
Source: Counterpoint Global Automotive NAD Module and Chipset Tracker, Q2 2022

Automotive specialists lead, but IoT giants aiming for slice of module market

Commenting on the automotive connectivity module player dynamics, Research Vice President Neil Shah said, “Automotive connectivity modules must pass various quality and compliance tests and certifications, hence special expertise is an advantage. Consequently specialist automotive connectivity module players such as Rolling Wireless and LG are leading the market. Quectel, the largest IoT module player, has broken into the top three rankings due to strong performance in its domestic China market. We have seen Quectel gain certification for automotive-grade modules with North American and European telecom operators. This will give strong competition to traditional specialist players like Rolling Wireless, LG, Continental and Harman.

The entry barriers are relatively high for IoT module players but the revenue opportunity afforded by the automotive transformation is attractive. Nevertheless, geopolitical trade tensions and data security concerns will likely be a barrier to Chinese IoT module players penetrating international markets.

Automakers will aim to multisource modules to offset supply-chain risks while supporting the growing demand for connectivity. In addition, we expect some emerging countries like India, Indonesia, Thailand and Brazil will try to build their own manufacturing ecosystem to have better control over the supply chain.”

Automotive connectivity module market Counterpoint
Source: Counterpoint Global Automotive NAD Module and Chipset Tracker, Q2 2022

Discussing the market outlook, Research Vice President Peter Richardson commented, “Automotive connectivity module shipments are expected to grow annually by around 11% on average to reach 97 million units by 2030. The demand for 5G modules is increasing and we expect around a half of connected cars sold in 2027 will have 5G connectivity. The evolution of centralised architecture with digital cockpit, autonomous capability (ADAS L3+) and electrification will drive growth for 5G technology.

In terms of revenue, the automotive connectivity module market is projected to reach $5 billion by 2030. The multi-billion segment opportunity will ensure the segment remains vibrant and highly competitive.”

For detailed research, refer to the following reports available for subscribing clients and individual subscription:

Counterpoint tracks and forecasts on a quarterly basis 25+ NAD module vendors’ shipments, revenues and ASP performance across 10+ chipset players, and major geographies.


Counterpoint Technology Market Research is a global research firm specializing in products in the TMT (technology, media and telecom) industry. It services major technology and financial firms with a mix of monthly reports, customized projects and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

Analyst Contacts:

Soumen Mandal

The Branding Source: New logo: Twitter

Neil Shah

The Branding Source: New logo: Twitter  

Peter Richardson

The Branding Source: New logo: Twitter

Counterpoint Research

The Branding Source: New logo: Twitter

Related Reports:


Term of Use and Privacy Policy

Counterpoint Technology Market Research Limited


In order to access Counterpoint Technology Market Research Limited (Company or We hereafter) Web sites, you may be asked to complete a registration form. You are required to provide contact information which is used to enhance the user experience and determine whether you are a paid subscriber or not.
Personal Information When you register on we ask you for personal information. We use this information to provide you with the best advice and highest-quality service as well as with offers that we think are relevant to you. We may also contact you regarding a Web site problem or other customer service-related issues. We do not sell, share or rent personal information about you collected on Company Web sites.

How to unsubscribe and Termination

You may request to terminate your account or unsubscribe to any email subscriptions or mailing lists at any time. In accessing and using this Website, User agrees to comply with all applicable laws and agrees not to take any action that would compromise the security or viability of this Website. The Company may terminate User’s access to this Website at any time for any reason. The terms hereunder regarding Accuracy of Information and Third Party Rights shall survive termination.

Website Content and Copyright

This Website is the property of Counterpoint and is protected by international copyright law and conventions. We grant users the right to access and use the Website, so long as such use is for internal information purposes, and User does not alter, copy, disseminate, redistribute or republish any content or feature of this Website. User acknowledges that access to and use of this Website is subject to these TERMS OF USE and any expanded access or use must be approved in writing by the Company.
– Passwords are for user’s individual use
– Passwords may not be shared with others
– Users may not store documents in shared folders.
– Users may not redistribute documents to non-users unless otherwise stated in their contract terms.

Changes or Updates to the Website

The Company reserves the right to change, update or discontinue any aspect of this Website at any time without notice. Your continued use of the Website after any such change constitutes your agreement to these TERMS OF USE, as modified.
Accuracy of Information: While the information contained on this Website has been obtained from sources believed to be reliable, We disclaims all warranties as to the accuracy, completeness or adequacy of such information. User assumes sole responsibility for the use it makes of this Website to achieve his/her intended results.

Third Party Links: This Website may contain links to other third party websites, which are provided as additional resources for the convenience of Users. We do not endorse, sponsor or accept any responsibility for these third party websites, User agrees to direct any concerns relating to these third party websites to the relevant website administrator.

Cookies and Tracking

We may monitor how you use our Web sites. It is used solely for purposes of enabling us to provide you with a personalized Web site experience.
This data may also be used in the aggregate, to identify appropriate product offerings and subscription plans.
Cookies may be set in order to identify you and determine your access privileges. Cookies are simply identifiers. You have the ability to delete cookie files from your hard disk drive.