Internet of Vehicle Market Size, Share, Growth Analysis, By Component (Hardware, Software), By Communication Type (Vehicle-to-Vehicle (V2V), Vehicle-to-Infrastructure (V2I)), By Application, By Connectivity, By Region

Description

Global Internet of Vehicle Market size was valued at USD 145.24 billion in 2023 and is poised to grow from USD 176.32 billion in 2024 to USD 831.87 billion by 2032, growing at a CAGR of 21.4% during the forecast period (2025-2032).

The internet of vehicles (IoV) market is witnessing substantial growth, driven by heightened concerns over vehicle security and safety, alongside an increasing demand for Global Internet Diagnostics (GID). Historically dominated by Wi-Fi, the market is now largely influenced by vehicle-to-vehicle communication. The drive for enhanced driver and vehicle tracking, coupled with a surge in IoT and cloud services utilization, is further propelling market growth. However, challenges such as accurately pinpointing vehicle locations and potential data loss due to physical barriers do exist, constraining expansion to some degree. IoV initiatives not only promise safer roadways and informed decision-making through precise data analytics but also pave the way for a broader adoption of autonomous driving and car-sharing, delivering significant cost savings for individuals and municipalities alike.

Top-down and bottom-up approaches were used to estimate and validate the size of the Global Internet Of Vehicle market and to estimate the size of various other dependent submarkets. The research methodology used to estimate the market size includes the following details: The key players in the market were identified through secondary research, and their market shares in the respective regions were determined through primary and secondary research. This entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews for key insights from industry leaders such as CEOs, VPs, directors, and marketing executives. All percentage shares split, and breakdowns were determined using secondary sources and verified through Primary sources. All possible parameters that affect the markets covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data.

Global Internet Of Vehicle Market Segmental Analysis

Global Internet of Vehicle Market is segmented by Component, Communication Type, Application, Connectivity and region. Based on Component, the market is segmented into Hardware, Software and Services. Based on Communication Type, the market is segmented into Vehicle-to-Vehicle (V2V), Vehicle-to-Infrastructure (V2I), Vehicle-to-Pedestrian (V2P) and Vehicle-to-Cloud (V2C). Based on Application, the market is segmented into Infotainment, Safety and Security, Traffic Management and Fleet Management. Based on Connectivity, the market is segmented into Dedicated Short Range Communication (DSRC), Cellular and Others. Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa.

Driver of the Global Internet Of Vehicle Market

The global Internet of Vehicles (IoV) market is experiencing substantial growth driven by advancements in traffic management systems. These systems are proving to be pivotal in generating revenue by incorporating innovative applications such as smart traffic lights that optimize traffic flow based on real-time road conditions. Additionally, weather-responsive lighting systems enhance safety during adverse conditions. IoV technology also includes sensors that direct drivers to available parking spots and utilize CCTV cameras to alert beacons and rescue services in the event of accidents. Consequently, the rising implementation of IoV solutions in traffic and parking management is expected to significantly propel market expansion.

Restraints in the Global Internet Of Vehicle Market

The global Internet of Vehicle (IoV) market faces significant challenges due to escalating security concerns. As IoV creates a network of interconnected devices, it necessitates the integration of diverse technologies and communication protocols, which heightens the risk of information security breaches. This vulnerability opens the door to various malicious attacks, including distributed denial-of-service (DDoS) incidents targeted at the vehicle or the data transmission networks. Critical vehicle systems-such as the steering, brakes, GPS, accelerator, and alarms-can be remotely accessed, meaning that a successful cyberattack could have dire consequences, potentially leading to severe accidents or even loss of life.

Market Trends of the Global Internet Of Vehicle Market

The Global Internet of Vehicles (IoV) market is witnessing a significant shift towards a cloud-based electrical/electronic (E/E) vehicle architecture, driven by the rollout of 5G networks. This transition allows manufacturers to offload computationally intensive tasks, such as image processing, to the cloud, enhancing vehicle efficiency and processing capabilities. As a result, automakers can better address the complexities of future mobility demands, including autonomous driving and real-time data analytics. This market trend not only promises improved vehicle performance but also fosters innovation in connected vehicle technologies, positioning the IoV sector for accelerated growth in the coming years.

Product Code: SQMIG50C2013

Introduction

Objectives of the Study
Scope of the Report
Definitions

Research Methodology

Information Procurement
Secondary & Primary Data Methods
Market Size Estimation
Market Assumptions & Limitations

Executive Summary

Global Market Outlook
Supply & Demand Trend Analysis
Segmental Opportunity Analysis

Market Dynamics & Outlook

Market Overview
Market Size
Market Dynamics
- Drivers & Opportunities
- Restraints & Challenges
Porters Analysis
- Competitive rivalry
- Threat of substitute
- Bargaining power of buyers
- Threat of new entrants
- Bargaining power of suppliers

Key Market Insights

Key Success Factors
Degree of Competition
Top Investment Pockets
Market Ecosystem
Market Attractiveness Index, 2024
PESTEL Analysis
Macro-Economic Indicators
Value Chain Analysis
Pricing Analysis
Case Studies
Technology Advancement
Regulatory Landscape
Patent Analysis
Trade Analysis

Global Internet of Vehicle Market Size by Component & CAGR (2025-2032)

Market Overview
Hardware
- Sensors
- GPS Units
- Onboard Units (OBUs)
- Communication Devices
Software
- Vehicle-to-Vehicle (V2V) Communication
- Vehicle-to-Infrastructure (V2I) Communication
- Vehicle-to-Pedestrian (V2P) Communication
- Vehicle-to-Cloud (V2C) Communication
Services
- Professional Services
- Managed Services

Global Internet of Vehicle Market Size by Communication Type & CAGR (2025-2032)

Market Overview
Vehicle-to-Vehicle (V2V)
Vehicle-to-Infrastructure (V2I)
Vehicle-to-Pedestrian (V2P)
Vehicle-to-Cloud (V2C)

Global Internet of Vehicle Market Size by Application & CAGR (2025-2032)

Market Overview
Infotainment
- Navigation
- Entertainment
Safety and Security
- Emergency Services
- Driver Assistance
Traffic Management
- Real-time Traffic Monitoring
- Traffic Signal Control
Fleet Management
- Vehicle Tracking
- Maintenance Management

Global Internet of Vehicle Market Size by Connectivity & CAGR (2025-2032)

Market Overview
Dedicated Short Range Communication (DSRC)
Cellular
- 4G LTE
- 5G
Others
- Wi-Fi
- Bluetooth

Global Internet of Vehicle Market Size & CAGR (2025-2032)

North America (Component, Communication Type, Application, Connectivity)
- US
- Canada
Europe (Component, Communication Type, Application, Connectivity)
- Germany
- Spain
- France
- UK
- Italy
- Rest of Europe
Asia Pacific (Component, Communication Type, Application, Connectivity)
- China
- India
- Japan
- South Korea
- Rest of Asia-Pacific
Latin America (Component, Communication Type, Application, Connectivity)
- Brazil
- Rest of Latin America
Middle East & Africa (Component, Communication Type, Application, Connectivity)
- GCC Countries
- South Africa
- Rest of Middle East & Africa

Competitive Intelligence

Top 5 Player Comparison
Market Positioning of Key Players, 2024
Strategies Adopted by Key Market Players
Recent Developments in the Market
Company Market Share Analysis, 2024
Company Profiles of All Key Players
- Company Details
- Product Portfolio Analysis
- Company's Segmental Share Analysis
- Revenue Y-O-Y Comparison (2022-2024)

Key Company Profiles

Tesla, Inc. (USA)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Toyota Motor Corporation (Japan)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Volkswagen AG (Germany)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
General Motors Company (USA)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Ford Motor Company (USA)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
BMW Group (Germany)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Daimler AG (Germany)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Honda Motor Co., Ltd. (Japan)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Hyundai Motor Company (South Korea)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Nissan Motor Co., Ltd. (Japan)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Stellantis N.V. (Netherlands)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
SAIC Motor Corporation Limited (China)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
BYD Company Limited (China)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Geely Automobile Holdings Limited (China)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Volvo Car Corporation (Sweden)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Subaru Corporation (Japan)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Mazda Motor Corporation (Japan)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Mitsubishi Motors Corporation (Japan)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Tata Motors Limited (India)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments
Mahindra & Mahindra Limited (India)
- Company Overview
- Business Segment Overview
- Financial Updates
- Key Developments

Internet of Vehicle Market Size, Share, Growth Analysis, By Component (Hardware, Software), By Communication Type (Vehicle-to-Vehicle (V2V), Vehicle-to-Infrastructure (V2I)), By Application, By Connectivity, By Region - Industry Forecast 2025-2032