Top

Three-Quarters of All New Cars to be Connected in Five Years

  • Half of all cars shipped in 2020 will be connected.
  • US and China together accounted for two-thirds of all connected car shipments in Q2 2020.

 San Diego, Buenos Aires, London, New Delhi, Hong Kong, Beijing, Seoul – November 11, 2020

The global connected car market is expected to double in the next five years with more than 270 million of such cars to be shipped during 2020-2025, according to the latest research from Counterpoint’s Smart Automotive service. The data only represents the global passenger car shipments with embedded connectivity and does not include connectivity via smartphone.

Commenting on the findings, Senior Analyst Aman Madhok said, “The market declined by 18% YoY in Q2 2020 with connected car shipments reaching close to seven million units during the period. The penetration of connectivity in cars continues to increase, and 2020 will see half of all cars sold worldwide having embedded connectivity in them.

Discussing the impact of COVID-19 on the market, Madhok added, “The shipments declined by 5% when compared to Q1 2020 due to the subdued passenger car sales following the COVID-19 pandemic, even though rebounding car sales in China helped in market recovery to some extent.”

Commenting on the findings from the connectivity perspective, Research Associate Fahad Siddique said, “Automakers continue to adopt the latest technology, with 4G LTE-based connected cars accounting for almost 88% of all shipments in Q2 2020. 5G connected cars will enter mass production next year. By 2025, one out of every five connected cars will have 5G embedded connectivity. China and the US will together account for the majority of 5G connected cars sold in the next five years.”

Counterpoint: Connected car market share by country 2020

Discussing the key trends, Research Director Peter Richardson said, “While the E-call regulation has been driving connected car shipments in Europe, increasing cockpit digitization coupled with customer preference for connected services is driving the growth in the US and China. Both the countries together accounted for close to two-thirds of connected car shipments in Q2 2020. Automakers too are promoting connected services to attract buyers and earn additional revenue through subscriptions.”

Counterpoint: connected car market share by automaker company 2020

Talking about how mainstream brands are now adopting connectivity, Peter added, “A few years back, luxury cars like Mercedes Benz and BMW accounted for most of the embedded-connectivity cars sold, along with some mainstream brands like GM. But now more mainstream brands, like Volkswagen and Toyota, have started to take connectivity seriously, giving a huge push to connected car shipments.”

The comprehensive and in-depth ‘Global Connected Car Tracker 2020’ is now available for purchase at report.counterpointresearch.com. Feel free to reach out to us at press(at)counterpointresearch.com for further questions regarding our latest research and insights, or for press enquiries.

BONUS! Podcast: Over 50% of Cars Sold Globally in 2020 will be Connected

Peter Richardson

Aman Madhok

Fahad Siddique

Counterpoint Research
press(at)counterpointresearch.com

Counterpoint research is a young and fast growing research firm covering analysis of the tech industry. Coverage areas are connected devices, digital consumer goods, software & applications and other adjacent topics. We provide syndicated research reports as well as tailored. Our seminars and workshops for companies and institutions are popular and available on demand. Consulting and customized work on the above topics is provided for high precision projects.

Term of Use and Privacy Policy

Counterpoint Technology Market Research Limited

Registration

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.