Korea Institute for Industrial Economics & Trade has released a report on connected cars. The report has urged the automotive industry in the country to step up its efforts to develop connected car technology and its standardisation in order to not lag behind the global competition in the fast growing industry.
It predicts that market size of the connected cars will reach 112 trillion won (US$100 billion) by 2019 and about 55 percent of all vehicles will be connected to the Internet by 2020. And the expansion of connected cars will birth new services based on the global positioning system (GPS) and other traffic information.
It has called upon the government to deregulate for the expansion of the connected car industry and provide financial assistance. It says Connected cars will provide new business opportunities for the IT, content, insurance, finance and public service industries so the IT firms should establish cooperative networks with carmakers to actively develop related technologies and standardise them. This technology standardisation, the report says will lead to market domination in the connected car industry just like the case of smartphones.
The South Korean firms are already moving aggressively in order to dominate the connected car market. Naver Corp., country’s top Internet portal operator is to showcase AI-based self-driving technologies and an infotainment platform for connected cars soon. Naver, the country’s first IT firm with level-three autopilot technology, has recently unveiled a prototype of its In-Vehicle Infotainment platform, known as IVI, which operates on a voice assistant-based user interface.
Samsung Electronics too became a member of the board of directors for the 5G Automotive Association (5GAA) which will assist it in tapping deeper into the next-generation automobile industry. Samsung has also speeded up its process of cooperation with recently acquired Harman International to stimulate the development of the connected car technology based on international standards.