V2X Market Research Report - Global Forecast till 2030

V2X Market Research Report Information By Component (Hardware and Software), By Communication Type (V2C, V2D, V2G, V2P, V2V, and V2I), By Vehicle Type (Commercial and Passenger), And By Region (North America, Europe, Asia-Pacific, And Rest Of The World) – Market Forecast Till 2030

ID: MRFR/AM/4066-CR | 154 Pages | Author: Sejal Akre | December 2020         

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Global V2X Market Overview:

V2X Market Size was valued at USD 1.4 billion in 2021. The V2X market industry is projected to grow from USD 1.89 Billion in 2022 to USD 15.44 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 35% during the forecast period (2022 - 2030). Rising demand for safety features in cars and an improved traffic control system are the key market drivers enhancing the market growth.

Global V2X Market Overview

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

V2X Market Trends

Growing Adoption of C-V2X to boost market growth

Leading mobile equipment providers, telecommunications providers, and numerous automakers, including Daimler, SAIC, Ford, Tesla, Audi, PSA, Nissan, BMW, and Lexus, support cellular vehicle-to-everything technology. For instance, Ford pledged to use C-V2X in all new vehicle models sold in the United States starting in 2022, pending a spectrum allocation decision by the Federal Communications Commission. In 2021, the business also intended to integrate this technology into every Ford vehicle sold in China. As a result, the market's growth rate will be positively impacted by the growing use of C-V2X.

The annual cost of congested roadways in Europe is estimated at USD 109 billion. A safer and more intelligent transportation system has a huge potential for cost savings. The U.S. DOT estimates that vehicle V2X can help the U.S. save around USD 871 billion annually. Roadblocks slow down the supply chain, raise operating costs and complexity, and reduce productivity. This technology enables vehicles to respond appropriately by anticipating elements that could cause congestion. To make journeys quicker and more effective, optimum routes can be found by fusing simulation models with real-time data. These elements are linked to the automobile industry's rising demand for "vehicle-to-everything" systems. Therefore, such condition has enhanced the V2X market CAGR across the globe in the recent years.

However, macroeconomic reasons such as the expanding economy, rising income, and quick urbanization rate is another factor driving the growth of the V2X market revenue.

V2X Market Segment Insights:

V2X Component Insights

The V2X Market segmentation, based on Component, includes hardware, and software. The hardware segment held the majority share in 2021 contribution to around ~65-67% in respect to the V2X Market revenue. Cellular vehicle-to-everything is a cost-effective and versatile solution that can provide secure short-range and long-range connectivity over a wide area. It offers improved safety features, greater capacity and lowers the chance of interruptions in service. These factors will fuel the growth of this segment.

Figure 2: V2X Market, by Component, 2021 & 2030 (USD Million)

V2X Market, by Component, 2021 & 2030 (USD Million)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

V2X Communication Type Insights

The V2X Market segmentation, based on Communication Type  includes V2C, V2D, V2G, V2P, V2V, and V2I. The V2V segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. This is The wireless data transfer between moving objects and the supporting infrastructure of the road is known as vehicle-to-infrastructure (V2I) communication. This comprises the infrastructure's meters, lighting, lane signs, lamps, RFID readers, and cameras. V2I sensors, which interface with infrastructure components, can provide real-time alerts to drivers regarding the state of the roads, traffic congestion, accidents, construction zones, and parking availability. The increased mobility of vehicles and pedestrians as well as decreased emissions as a result of better traffic management are the key drivers pushing the implementation of vehicle-to-infrastructure (V2I) communication worldwide. Innovative city initiatives, rising urbanization, and globalization are all contributing to the growth of the vehicle-to-infrastructure (V2I) communication sector. Hence, rising applications of for V2X positively impacts the market growth.

V2X Vehicle Type Insights

The V2X Market data has been bifurcated by Vehicle Type into commercial and passenger. The commercial segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. Passenger cars are motor vehicles with at least four wheels used to transport people and have no more than eight-seat total, not including the driver's seat. Vehicle-to-vehicle and vehicle-to-infrastructure (V2X) autonomous communications improve traffic flow, ease traffic congestion, use less fuel and energy, and improve the passenger experience. The global increase in connected passenger car production is driving the automotive V2X market expansion. The expansion of the automotive V2X market in the passenger car segment is also fueled by the rising demand for semi-autonomous vehicles, the rising standard of living, and the increase in disposable income. Additionally, the increase in high-tech electric and hybrid vehicles on the road is encouraging innovation in V2X technologies, which is, in turn, boosting the automotive V2X market.

V2X Regional Insights

By Region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. Europe V2X market accounted for USD 0.59 billion in 2021 and is expected to exhibit a significant CAGR growth during the study period. Europe is expected to witness significant growth rates for the market during the projected period because to the increased need for advanced connection in surveillance and security features for the general public throughout the region. Over the projected period, the fleet management market in Europe is anticipated to grow significantly, especially in Germany and the UK. Further, the Germany V2X market held the largest market share, and the UK V2X market was the fastest growing market in the European region

Further, the major countries studied in the market report are: The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3: V2X Market Share By Region 2021 (%)

V2X Market Share By Region 2021 (%)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

North America V2X market accounts for the second-largest market share. The market is being driven by government efforts, the emergence of IoT and other information, communication, and technology, particularly in the automotive industry. The demand for intelligent transportation and user concern for the environment are the main drivers of the growth of the North American automotive V2X market. Investments in new smart city projects and fleet management innovation across all transportation modes are expected to have a substantial positive impact on the market. Further, the US V2X market held the largest market share, and the Canada V2X market was the fastest growing market in the European region

The Asia-Pacific V2X Market is expected to grow at the fastest CAGR from 2022 to 2030. Telecommunication technology providers and automotive OEMs are the key players working on vehicle-to-everything development in this region. Japan and China are expected to lead the Asia Pacific in terms of technology development. For instance, in Chongqing, a vehicle-to-everything pilot zone within 20 square kilometers of Yongchuan district is testing level 4 autonomous vehicles, which can drive almost all the time without human control. Moreover, China V2X market held the largest market share, and the India V2X market was the fastest growing market in the Asia-Pacific region

V2X Key Market Players & Competitive Insights

Major market players are spending a lot of money on R&D to increase their product lines, which will help the V2X market grow even more. Market participants are also taking a range of strategic initiatives to grow their worldwide footprint, with key market developments such as new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the V2X industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market environment.

One of the primary business strategies adopted by manufacturers in the global V2X industry to benefit clients and expand the market sector is to manufacture locally to reduce operating costs. In recent years, V2X industry has provided medicine with some of the most significant benefits. The V2X market major player such as Cohda Wireless, Abbott Laboratories (US), Stryker Corporation (US), and others are working to expand the market demand by investing in research and development activities.

Cohda Wireless has established itself as the leading supplier of innovative Connected Vehicle solutions that enable vehicles to connect with other vehicles and with Smart City & Mining infrastructure. These connections, collectively called V2X, span Vehicle-to-Vehicle (V2V), Vehicle-to-Infrastructure (V2I), and Vehicle-to-Pedestrian (V2P). They allow vehicles to ‘talk’ to each other, to Smart Cities, and to vulnerable road users in order to avoid accidents, reduce congestion and increase efficiency. In September 2022, The entire Cohda V2X software stack will run on the TEKTON3 chipset from Autotalks. The V2X solution's built-in software makes it simple for Tier1s and OEMs to implement, and it also guarantees high quality and optimization at reduced development and testing costs.

Also, Infineon Technologies AG is a German semiconductor manufacturer founded in 1999, when the semiconductor operations of the former parent company Siemens AG were spun off. Infineon has about 50,280 employees and is one of the ten largest semiconductor manufacturers worldwide.  In October 2022, At Infineon's OktoberTech Asia-Pacific 2022 Technology Forum in Singapore, VinFast, the first global manufacturer of smart electric vehicles in Vietnam, and Infineon Technologies AG, the industry leader in automotive semiconductor solutions, announced that they would be extending their partnership. In order to hasten VinFast development of solutions for the future of smart mobility, the two businesses will establish a joint application competence center in Hanoi with a focus on electromobility.

List of the Key Companies in the V2X Market includes

V2X Industry Developments

October 2021: Automotive safety technology provider Brandmotion LLC has established a partnership with DENSO Products and Services Americas to provide cities looking to outfit their cars with cutting-edge V2X technology with a one-stop shop.

October 2021: The SLS37 V2X hardware security module (HSM) and plug-and-play security solutions for V2X communication were announced by Infineon Technologies. The SLS37 V2X HSM is built using a tamper-proof, highly secure microcontroller designed specifically for V2X applications inside the telematics control unit.

V2X Market Segmentation:

V2X Communication Component Outlook

  • Hardware

  • Software

V2X Communication Type Outlook

  • V2C

  • V2D

  • V2G

  • V2P

  • V2V

  • V2I

V2X Vehicle Type Outlook

  • Commercial

  • Passenger Car

V2X Regional Outlook

  • North America

    • US

    • Canada

  • Europe

    • Germany

    • France

    • UK

    • Italy

    • Spain

    • Rest of Europe

  • Asia-Pacific

    • China

    • Japan

    • India

    • Australia

    • South Korea

    • Australia

    • Rest of Asia-Pacific

  • Rest of the World

    • Middle East

    • Africa

    • Latin America

Report Scope:

Report Attribute/Metric Details
Market Size 2021 USD 1.4 billion
Market Size 2022 USD 1.89 billion
Market Size 2030 USD 15.44 billion
Compound Annual Growth Rate (CAGR) 35% (2022-2030)
Base Year 2021
Market Forecast Period 2022-2030
Historical Data 2018 & 2020
Market Forecast Units Value (USD Billion)
Report Coverage Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends
Segments Covered Component, Communication Type, Vehicle Type Operating Platforms, and Region
Geographies Covered North America, Europe, Asia Pacific, and Rest of the World
Countries Covered The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil
Key Companies Profiled Tesla (US), Volkswagen AG (Germany), SAIC Motors (China), BYD (China), and Stellantis (Netherlands)
Key Market Opportunities Government initiatives about electric vehicle
Key Market Dynamics Increasing investment in electric vehicle Reducing the cost of electric vehicle batteries

Frequently Asked Questions (FAQ) :

The V2X Market size was valued at USD 1.4 Billion in 2021.

The global market is projected to grow at a CAGR of 4.7% during the forecast period, 2022-2030.

Europe had the largest share in the global market

The key players in the market are Tesla (US), Volkswagen AG (Germany), SAIC Motors (China), BYD (China), and Stellantis (Netherlands).

The Hardware category dominated the market in 2021.

The passenger car had the largest share in the global market.

Key Questions Answered

  • ✅ Global Market Outlook
  • ✅ In-depth analysis of global and regional trends
  • ✅ Analyze and identify the major players in the market, their market share, key developments, etc.
  • ✅ To understand the capability of the major players based on products offered, financials, and strategies.
  • ✅ Identify disrupting products, companies, and trends.
  • ✅ To identify opportunities in the market.
  • ✅ Analyze the key challenges in the market.
  • ✅ Analyze the regional penetration of players, products, and services in the market.
  • ✅ Comparison of major players’ financial performance.
  • ✅ Evaluate strategies adopted by major players.
  • ✅ Recommendations
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