The automotive cloud market involves cloud-based software and services that enable connectivity within vehicles and between vehicles, infrastructure, and the cloud. It helps provide vehicle diagnostics, navigation, infotainment, telematics, and autonomous driving features through real-time analytics of car data. The growing deployment of connected vehicles and increasing demand for in-vehicle infotainment and entertainment options are driving the need for automotive cloud solutions. The global Automotive Cloud Market is estimated to be valued at US$ 24.16 Bn in 2023 and is expected to exhibit a CAGR of 16% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Increased Connected Vehicle Deployment: The increased deployment of connected vehicles that rely on advanced technologies like artificial intelligence, 5G connectivity, and cloud computing is a major trend boosting the automotive cloud market. Connected vehicles offer several benefits like improved safety, traffic management, autonomous driving and infotainment. Automotive manufacturers are focussed on developing cloud-based platforms and solutions to enable various connected features in vehicles. This growing emphasis on leveraging the cloud for connected mobility is expected to significantly drive the automotive cloud market during the forecast period.
SWOT Analysis
Strength: The automotive cloud market offers enhanced connectivity features and remote vehicle diagnostics, improving the overall customer experience. It provides over-the-air updates capability to automakers.
Weakness: Data privacy and security concerns persist regarding critical vehicle systems being connected through the cloud network. High initial investments are required for cloud infrastructure setup and management.
Opportunity: Growing demand for connected vehicles and autonomous driving functions will fuel the need for advanced automotive cloud platforms. Emerging 5G technology allows faster data transfer essential for real-time applications.
Threats: Dependency on internet connectivity poses risks if the network goes down. Traditional automakers face competition from tech companies entering the automotive sector with their cloud-first strategies.
Key Takeaways
The Global Automotive Cloud Market Size is expected to witness high growth in the forecast period of 2023 to 2030. The market size for 2023 is expected to reach US$ 24.16 Billion with a CAGR of 16%.
Regional analysis: The Asia Pacific region dominates the global automotive cloud market currently due to rapidly rising vehicle production and sales in major countries like China and India. Government initiatives to develop smart transportation infrastructure also support market growth.
Key players: Key players operating in the automotive cloud market are Integrated DNA Technologies, Inc., Thermo Fisher Scientific Inc., Eurofins Genomics, Biomers.net, GenScript. These companies are investing heavily in developing advanced cloud platforms, connectivity solutions, and digital services for safer and more efficient vehicles.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it