Automotive IoT
The automotive industry is already one of the fastest-growing IoT sectors, and over the next decade, this growth is expected to accelerate even further. Connected vehicle technology has already transformed transportation. In-car systems now provide driver assistance, real-time navigation, advanced infotainment, and enhanced road safety. Looking ahead, technology will evolve to enable autonomous driving, improved vehicle efficiency, remote operating system updates, better predictive maintenance, and more. As smart cities develop, cellular vehicle-to-everything (C-V2X) technology will allow vehicles to communicate with each other, road networks, pedestrians, and service locations.
$148.6bn
Connected car solutions market value in 2030
1.8bn
Connected vehicles on the road in 2030
94%
Crashes potentially avoided with autonomous vehicles
By the end of this decade, 96% of all new cars shipped worldwide will be connected. With up to 1.8 billion connected vehicles on the road in 2030, automotive IoT will deliver widespread societal benefits. Advanced driver systems will lessen driver fatigue, reduce CO2 emissions, and improve traffic management. Furthermore, autonomous vehicles are expected to revolutionize road safety. In fact, automotive IoT technology could eventually eliminate up to 94% of fatal crashes caused by human error in developed markets.
The commercial opportunity is highly promising. For example, forecasts predict the market for connected car solutions will nearly triple between 2024 and 2030, growing from $54.4 billion to $148.6 billion, representing a CAGR of 18.2%. At the same time, the automotive sensors market is expected to rise from $36.06 billion in 2025 to $59.05 billion in 2029, an annual CAGR of 13.1%. A broad service industry is also emerging around the IoT transport revolution, forecast to be worth $81 billion across Europe, China, and the USA by the end of the decade. Therefore, now is the time to plan for market entry or expansion.
By 2030, the connected car solutions market is projected to reach $148.6 billion, growing at a CAGR of 18.2%. Technology is rapidly evolving and in high demand.
The next decade in automotive will depend on how far and how fast vehicle autonomy advances. Currently, leading automakers are bringing Level 3 and Level 4 autonomous vehicles to market. Meanwhile, wider deployment of fully autonomous Level 5 systems could happen in the late 2020s. In fact, projections indicate that by 2030 the global autonomous vehicle market will reach $214.32 billion, with North America currently the largest market and Asia Pacific the fastest growing market. However, progress depends on the rollout of 5G, the development of AI-driven perception and decision systems, and progression of regulatory frameworks.
At the same time, mobility-as-a-service (MaaS) will continue to grow as a key use area. Consequently, it will drive new ownership models and cross-sectoral ecosystems. For example, shared micromobility, a key form of MaaS, could reach $500 billion across China, Europe, and the USA by 2030. Swift returns often drive this growth. An e-scooter used five times per day, for example, can become economical in just four months. Therefore, shared micromobility is an attractive investment for civic authorities planning smart cities. Meanwhile, it is also an excellent opportunity for developers who can create supporting applications.
Connected driving requires ultra-reliable connectivity – our modules provide:
Accurate satellite positioning via Qualcomm IZat technology
MIMO antennas to greatly reduce errors and boost data speeds
Wide temperature range to ensure durability in harsh environments
Backward network compatibility for coverage in remote areas
Quectel is a leading supplier of cellular, Wi-Fi and GNSS modules to the global automotive industry. Our solutions are durable, standards-compliant, and production-ready, enabling the next generation of connected and autonomous vehicles. Moreover, with a worldwide R&D presence, we ensure our customers benefit from the latest insights and technologies to optimize their applications. We’re proud to support the ongoing transportation revolution, helping to reduce congestion, lower emissions, and improve road safety worldwide.
