Gartner Says Connected Car Production to Grow Rapidly Over Next Five Years

Connected Cars to Introduce a New Era of Smart Mobility

 

Connected car production is growing rapidly in both mature and emerging automobile markets, according to the latest forecast by Gartner, Inc. The production of new automobiles equipped with data connectivity, either through a built-in communications module or by a tether to a mobile device, is forecast to reach 12.4 million in 2016 and increase to 61 million in 2020 (see Table 1).

Gartner defines the connected car as an automobile that is capable of bidirectional wireless communication with an external network for the purpose of delivering digital content and services, transmitting telemetry data from the vehicle, enabling remote monitoring and control, or managing in-vehicle systems.

"The connected vehicle is the foundation for fundamental opportunities and disruptions in the automotive industry and many other vertical industries," said James Hines, research director at Gartner. "Connected vehicles will continue to generate new product and service innovations, create new companies, enable new value propositions and business models, and introduce the new era of smart mobility, in which the focus of the automotive industry shifts from individual car ownership to a more service-centric view of personal mobility."

Table 1. Connected Car Production by Connectivity Mode, Worldwide (Thousands)

 

 

2015

2016

2017

2018

2019

2020

Embedded

2,174

4,914

11,097

21,394

33,928

42,949

Tethered

4,681

7,519

9,971

12,374

14,995

17,994

Total

6,855

12,433

21,068

33,768

48,923

60,943

 Source: Gartner (September 2016)

 

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