Published: June 9, 2016 | London, UK
According to the latest research study released by Technavio, the connected car M2M connections and services market in SEA is projected to record an impressive CAGR of over 34% until 2020. The research report titled Connected Car M2M Connections and Services Market in SEA 2016-2020, provides an analysis of market growth in terms of revenue and emerging market trends.
To calculate the market size, the report considers the following:
- Service revenue generated from OEMs and aftermarket equipment
- Revenue from safety and driver assistance, infotainment, vehicle management, insurance-based telematics, and others
- Data analytic services and automotive application
Rakesh Panda, one of Technavio’s lead analysts for M2M and connected devices research, said:
The integrated telematics penetration is increasing year on year in many parts of the world, and especially in Asia. Its penetration is growing due to regulations related to many aspects of driver and vehicle safety. Basic delivery of safety features in the growing technology era does not fetch any competitive edge. A premium level of telematics solutions that include navigation, infotainment, and vehicle-to-vehicle communication is profoundly needed to satisfy growing customer needs.
The connected car M2M connections and services market in SEA by safety and driver assistance application was valued at USD 335.5 million in 2015. A major proportion of the connected car services revenue is triggered from driver assistance application. Safety remains a critical concern for both consumers and automakers. Safety features include the ability to contact emergency services, vehicle diagnostics and directions, and track stolen vehicles.
The connected car M2M connections and services market in SEA by vehicle management application was valued at USD 220 million in 2015. Revenue in this segment will grow steadily during the forecast period due to the rising demand for monitoring and controlling devices. Vehicle management systems offer complete and detailed information about a car’s performance to automatically send the data to insurance companies and fleet owners. Technologies that use anti-fatigue devices reduce accidents and systems that monitor driver’s vital functions caution them about critical problems.