Shipments of connected vehicles — includes options for embedded and aftermarket cellular connectivity — will grow at 45.4 percent to 51.1 million units in 2019.
Connected vehicles shipments will reach 76.3 million units with a 5-year compound annual growth rate of 16.8 percent by 2023.
Growth factors for connected vehicles
# consumer demand for immersive vehicle experience
# ability of auto manufacturers to better utilize connected vehicles for cost avoidance and revenue generation
# evolving government regulations
# mobile network operator investments in new connections and services
IDC defines a connected vehicle as a light-duty vehicle or truck that contains a dedicated cellular network wireless wide area connection that interfaces with the vehicle data (e.g., gateways, software, or sensors), said Matt Arcaro, research manager, Next-Generation Automotive Research at IDC.
Nearly 70 percent of new light-duty vehicles and trucks will be shipped with embedded connectivity. Nearly 90 percent of new vehicles in the United States will be shipped with embedded connectivity by 2023.