Press release
Telematics Market Key Players, Share and Forecast Outlook
Telematics Market
The Global V2I Telematics Market was valued at USD 12.53 billion in 2024 and is forecast to grow to USD 31.29 billion by 2034, at a robust CAGR of 9.7%.
V2I telematics is a core enabler of intelligent transportation systems (ITS). It allows vehicles to interact with road signals, highway systems, and cloud-based traffic networks in real time, improving driver awareness, reducing accidents, and automating mobility. With governments and urban planners investing heavily in smart infrastructure, and automakers integrating advanced connectivity modules, the global V2I ecosystem is expanding rapidly.
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Key Market Drivers
1 Growing Smart City and Infrastructure Modernization Programs
Governments globally are launching smart city programs that rely on connected transport ecosystems, where V2I plays a crucial role in real-time data exchange between vehicles and city infrastructure.
2 Increasing Focus on Road Safety and Accident Reduction
V2I telematics alerts drivers about road hazards, traffic signal changes, blind curves, and upcoming intersections, enabling proactive driving and minimizing collision risks.
3 Integration of 5G and Edge Computing
The emergence of 5G-V2X (vehicle-to-everything) technology allows ultra-fast, low-latency communication essential for real-time V2I functionality-particularly in autonomous and semi-autonomous driving environments.
4 Autonomous Vehicle (AV) Development
AVs depend heavily on sensor fusion, telematics, and V2I communication to navigate safely. OEMs and AV developers are integrating infrastructure-based intelligence into their systems.
Key Restraints and Challenges
1 High Infrastructure Costs
Implementing V2I telematics infrastructure requires large-scale investments in roadside units (RSUs), sensors, communication nodes, and data centers, often slowing deployments in developing regions.
2 Cybersecurity and Data Privacy Risks
Connected vehicles are susceptible to data breaches, signal spoofing, and hacking, requiring advanced encryption and cybersecurity solutions that are still evolving.
3 Regulatory Fragmentation and Standardization Issues
Inconsistent standards across countries for V2X protocols, frequency bands, and communication frameworks impede seamless global adoption.
4 Limited ROI in Low-Density Areas
In rural or low-traffic zones, V2I deployments may not yield significant short-term benefits, delaying infrastructure investments.
Opportunities & Trends
1 5G-V2I and C-V2X Integration
Deployment of Cellular-V2X (C-V2X) alongside 5G networks is transforming V2I capabilities with faster data transmission, enabling critical applications like platooning, intersection assistance, and remote diagnostics.
2 AI-Powered Traffic Signal Control
AI and machine learning algorithms are being integrated into V2I systems to optimize traffic flow, predict congestion, and adjust signal timings dynamically.
3 EV Charging and Parking Integration
V2I helps EVs communicate with charging stations, parking lots, and smart grids, streamlining vehicle routing and improving urban energy management.
4 Public Transportation and Fleet Optimization
Buses, logistics fleets, and ride-hailing services are adopting V2I to enhance scheduling, reduce idle time, and improve passenger safety and efficiency.
Market Segmentation
By Communication Technology
• Dedicated Short Range Communication (DSRC)
• Cellular-V2X (C-V2X)
• 5G-V2X
• Wi-Fi / WLAN / LPWAN
By Component
• On-Board Units (OBU)
• Roadside Units (RSU)
• Software Platforms
• Cloud Services & Analytics
By Application
• Traffic Management
• Smart Parking Systems
• Toll Collection & Electronic Payment
• Emergency Vehicle Notifications
• Accident Warning & Avoidance
• Intersection Collision Avoidance
• EV Infrastructure Communication
By Vehicle Type
• Passenger Cars
• Commercial Vehicles
• Public Transportation Vehicles
• Autonomous / Connected Vehicles
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Regional Insights
North America - 36% Market Share
North America is the leading region, supported by:
• Strong government funding under programs like the U.S. Intelligent Transportation Systems Joint Program Office (ITS JPO)
• Advanced 5G-V2I pilot deployments
• High adoption of connected cars and commercial fleets
• Leading OEMs and Tier-1 suppliers investing in infrastructure and edge computing
Europe - 30% Market Share
Europe follows closely, driven by:
• EU-funded V2I corridors and mandates for connected vehicle capabilities
• Collaboration between public transport authorities and automakers
• Presence of high-end OEMs integrating V2X into vehicle platforms
• Regulatory bodies promoting standardization (e.g., C-ITS by EU)
Asia Pacific - 25% Market Share
Asia Pacific is a fast-growing region, especially in China, Japan, South Korea, and India, due to:
• Massive urbanization and smart city rollouts
• Government-led V2X investment initiatives
• OEMs like Hyundai, Toyota, and BYD embedding V2I in EV platforms
Latin America - 5% Market Share
Brazil and Mexico are early adopters of V2I in urban planning and public transportation. However, broader deployment is limited by infrastructure readiness.
Middle East & Africa - 4% Market Share
UAE, Saudi Arabia, and South Africa are piloting V2I infrastructure in smart city and autonomous transit projects.
Competitive Landscape
The market is characterized by collaboration between:
• Telematics solution providers
• OEMs
• Infrastructure companies
• Government transport authorities
Companies are investing in hardware upgrades, AI-based traffic prediction, and edge/cloud platforms to offer end-to-end V2I solutions.
Key Players
• Continental AG - Offers V2X control units, RSUs, and traffic assistance modules
• Robert Bosch GmbH - Develops intelligent traffic infrastructure and vehicle sensors
• Delphi Technologies (BorgWarner) - Provides V2I telematics hardware for OEM integration
• Denso Corporation - Focuses on V2I solutions for intersection safety and traffic alerts
• HARMAN International - Delivers cloud-based connected vehicle platforms
• Intel Corporation - Powers V2I systems with edge compute and AI accelerators
• Qualcomm Technologies - Leader in C-V2X modem chipsets
• Cohda Wireless - Specializes in DSRC-based V2X and intersection alert systems
• Savari Inc. - Develops software for smart traffic signals and RSUs
• Kapsch TrafficCom - Integrates V2I into tolling, traffic control, and safety management
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Recent Developments (2025)
1. Qualcomm (January 2025)
Launched its next-gen Snapdragon Auto 5G-V2X chipset, supporting edge-assisted V2I applications and enhanced road user awareness.
2. Bosch (February 2025)
Partnered with Stuttgart city council to implement an AI-based V2I traffic management system, reducing average congestion by 18%.
3. Kapsch TrafficCom (March 2025)
Expanded into Southeast Asia, deploying RSU-based tolling infrastructure with real-time vehicle communication in Malaysia and Indonesia.
4. HARMAN International (April 2025)
Introduced a cloud-native V2I analytics suite aimed at fleet operators and urban planners to optimize signal timing and reduce idling.
5. Savari Inc. (May 2025)
Collaborated with Hyundai Mobis to embed V2I road hazard communication in mid-segment vehicles launching in 2026.
Events and Implications
• U.S. DOT announces V2I corridor expansion across 12 states with 5G-V2X backbone
• European OEMs now require V2I compatibility in all new fleet vehicles from 2026
• China introduces mandatory V2I pilot deployment for new smart city zones
• Cybersecurity mandate rolled out in EU for connected infrastructure encryption by 2027
• Over 20% of new urban traffic lights globally now support V2I synchronization
Conclusion
The V2I Telematics Market stands at the intersection of transportation and digital intelligence. With growing urban populations, vehicle autonomy, and connectivity demands, V2I is no longer a futuristic concept-it is a foundational technology for the next generation of mobility.
As the market scales from USD 12.53 billion in 2024 to USD 31.29 billion by 2034, companies that invest in 5G-V2X, AI-based traffic solutions, cybersecurity, and collaborative infrastructure deployments will lead the intelligent transportation revolution.
This report is also available in the following languages : Japanese (V2Iテレマティクス市場), Korean (V2I 텔레매틱스 시장), Chinese (V2I远程信息处理市场), French (Marché de la télématique V2I), German (V2I-Telematikmarkt), and Italian (Mercato della telematica V2I), etc.
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