Connected Vehicles to Surpass 367 Million by 2027
The number of connected vehicles in service will reach 367 million globally in 2027, from 192 million in 2023, according to Juniper Research. This growth of 91% will be driven by the advancement of both ADAS (Advanced Driver Assistance Systems) and increasing the capabilities of in-vehicle infotainment systems.
The research identified 5G’s high-speed and low-latency capabilities as transformative to these goals, requiring effective collaborations between automotive OEMs and operators to realize. The research found that operators are critical to unlocking new use cases, such as autonomous driving and data-heavy infotainment via 5G; representing a $3.6 billion opportunity for providing 5G connectivity enablement in 2027 globally.
“5G can allow automotive OEMs to upgrade the in-vehicle experience. In a vehicle market transitioning to electric vehicles, improving the user experience is key. Operators hold the critical role in enabling this in a reliable way, making them the partners of choice as their 5G networks rapidly expand,” explained research co-author Nick Maynard.
The research predicts that by 2027, commercial vehicles will only account for 20% of connected vehicles worldwide, representing a small increase from 16% by the end of 2023. The research found that commercial vehicle design is not leveraging connectivity beyond simple emergency call features and basic connected infotainment systems, although this is changing, as businesses prioritize tracking and logistics capabilities. Accordingly, the research recommended that automotive OEMs prioritize integrations with common fleet tracking systems out of the factory to maximize the benefits of connectivity, and to enable commercial fleet owners to maximize efficiency in their processes.