Vehicle to Infrastructure Communication Market

The Global Vehicle-to-Infrastructure (V2I) Communication Market is on the brink of acquiring new heights in terms of profits and traction on account of the increasing government efforts in the development of effective road safety measures. V2 I systems, which enable exchanges of data between vehicles and any infrastructure sitting near the roadway, also known as roadside infrastructure, are now in demand as the trend of autonomous and connected vehicles becomes more rampant.

Some of the factors propelling the V2I market are the increasing need for better traffic control, a reduction in traffic congestion, and increase in the safety of motorists and pedestrians. These are all aspects of the V2I market that are fully envisioned but not yet being availed; more development in V2I technologies, particularly in regard to complex applications like autonomous vehicles, remote maintenance, and intelligent transportation systems, will emerge.

This is because it is likely that their effectiveness will be enhanced through the infusion of artificial intelligence and machine learning, which is anticipated to unlock opportunities and enhance innovation in the market.

The Global Vehicle to Infrastructure Communication Market Industry is projected to experience substantial growth over the next decade. With a market value of 12.5 USD Billion in 2024 and an expected increase to 45 USD Billion by 2035, the industry is on a robust upward trajectory. This growth is driven by various factors, including government initiatives, advancements in communication technologies, and the rising focus on road safety. The compound annual growth rate of 12.35% from 2025 to 2035 indicates a strong demand for innovative solutions that enhance transportation efficiency and safety. As the market evolves, stakeholders are likely to explore new opportunities for investment and development.

The rising focus on road safety significantly influences the Global Vehicle to Infrastructure Communication Market Industry. With increasing traffic accidents and fatalities, there is a pressing need for solutions that enhance safety measures on the roads. Vehicle-to-infrastructure communication systems can provide critical information to drivers, such as real-time alerts about road conditions and potential hazards. This proactive approach to safety is gaining traction among policymakers and transportation agencies, leading to increased investments in related technologies. As the market evolves, the integration of safety features into vehicle communication systems is expected to become a priority, driving further growth in this sector.

Government initiatives play a pivotal role in the expansion of the Global Vehicle to Infrastructure Communication Market Industry. Various countries are implementing policies and providing funding to support the development of connected vehicle technologies. For instance, the United States Department of Transportation has launched programs aimed at enhancing vehicle-to-everything communication. Such initiatives not only promote research and development but also encourage public-private partnerships to accelerate the deployment of these technologies. As a result, the market is expected to grow significantly, with projections indicating a value of 45 USD Billion by 2035, driven by sustained government support and investment.

The integration of autonomous vehicles into the transportation ecosystem is a transformative factor for the Global Vehicle to Infrastructure Communication Market Industry. As manufacturers develop self-driving technologies, the need for seamless communication between vehicles and infrastructure becomes paramount. This integration ensures that autonomous vehicles can navigate safely and efficiently in complex environments. The anticipated growth in this market, alongside the rise of autonomous vehicles, suggests a symbiotic relationship where advancements in vehicle communication will enhance the capabilities of self-driving technology. Consequently, the market is poised for substantial growth as these technologies converge.

Advancements in communication technologies are a key driver of the Global Vehicle to Infrastructure Communication Market Industry. The emergence of 5G networks is expected to revolutionize vehicle-to-infrastructure communication by providing faster and more reliable data transmission. This technological evolution enables vehicles to communicate with traffic management systems, enhancing safety and efficiency on the roads. The anticipated growth in the market, with a compound annual growth rate of 12.35% from 2025 to 2035, underscores the importance of these advancements. As more vehicles become equipped with connected technologies, the demand for robust communication infrastructure will likely increase, further propelling market growth.

The Global Vehicle to Infrastructure Communication Market Industry experiences a surge in demand for smart transportation solutions. As urbanization accelerates, cities are increasingly adopting intelligent transportation systems to enhance traffic management and safety. This trend is evidenced by the projected market value of 12.5 USD Billion in 2024, reflecting the urgent need for efficient mobility solutions. Governments worldwide are investing in infrastructure upgrades to support these systems, which facilitate real-time communication between vehicles and traffic signals, thereby reducing congestion and improving road safety. The integration of advanced technologies in transportation systems is likely to drive further growth in this sector.

The  Vehicle to Infrastructure Communication Market segmentation by region includes North America, Europe, APAC, South America, and MEA. North America is expected to hold the largest market share due to the presence of major automotive manufacturers and the early adoption of advanced technologies. Europe is expected to follow North America in terms of market size due to government initiatives and supportive regulatory frameworks.

APAC is expected to witness significant growth due to the increasing demand for connected vehicles and government support for smart city initiatives.South America and MEA are expected to experience steady growth due to increasing urbanization and the need for improved traffic management systems.

Figure3: Vehicle to Infrastructure Communication Market, By Regional, 2023 & 2032 (USD billion)

Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review

Major players in the Vehicle to Infrastructure Communication Market industry are continuously innovating and developing new technologies to gain a competitive advantage. Leading Vehicle to Infrastructure Communication Market players are focusing on developing advanced solutions that offer improved performance, reliability, and security. Partnerships and collaborations are also becoming increasingly common in the Vehicle to Infrastructure Communication Market development landscape as companies seek to combine their expertise and resources to create innovative solutions.

The Vehicle to Infrastructure Communication Market Competitive Landscape is expected to remain highly competitive in the coming years, with new entrants and established players vying for market share.Qualcomm Technologies, Inc. is a leading provider of wireless communication solutions, including Vehicle to Infrastructure Communication technology. The company offers a wide range of chipsets, modules, and software solutions for V2I applications. Qualcomm Technologies, Inc. has a strong presence in the automotive industry and collaborates with major automakers to develop and deploy V2I solutions.

The company is also a member of the 5G Automotive Association (5GAA), which is working to develop and promote 5G-based V2I solutions.Robert Bosch GmbH is another major player in the Vehicle to Infrastructure Communication Market. The company offers a range of V2I solutions, including roadside units, on-board units, and software solutions. Robert Bosch GmbH has a strong focus on safety applications and is working on developing V2I solutions that can help to prevent accidents. The company is also a member of the 5GAA and is actively involved in the development of 5G-based V2I solutions.