United States In-car Entertainment Market 2025 | Growth Drivers, Key Players & Investment Opportunities

Market Size and Growth

In-car Entertainment Market is expected to grow at a CAGR 9.2% during the forecast period (2024-2031).

Key Development:

United States: Recent Industry Developments

✅ In July 2025, LG partnered with Xbox to integrate cloud gaming into vehicles via the webOS Automotive Content Platform. Passengers can stream Xbox Game Pass titles directly on the infotainment system while parked.

✅ In June 2025, Dolby Laboratories showcased its latest innovations in automotive audio at CES 2025, including the world's first car to support both Dolby Atmos and Dolby Vision, enhancing in-car entertainment experiences.

✅ In May 2025, Cineverse launched streaming apps for in-vehicle video streaming in partnership with Xperi. These apps, including Verse Karaoke and Cineverse, are featured in new BMW models in the U.S. via the DTS AutoStage Video Service Powered by TiVo.

Japan: Recent Industry Developments

✅ In September 2025, BBC introduced a new way to access its digital radio, music, and podcasts directly from in-car entertainment systems in the latest BMW and MINI models, providing a seamless entertainment experience.

✅ In May 2025, Google announced major updates to Android Auto at the Google I/O 2025 developer conference, including video and browser applications, as well as a broader selection of weather apps for an enhanced in-car experience.

✅ In January 2025, Sony and Honda unveiled their first electric vehicle under the brand Afeela at CES 2025. The Afeela 1 features a panoramic screen, AI personal assistant, and Sony's entertainment tech, set for release in mid-2026.

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In-Car Entertainment (ICE) refers to audio, video, and connectivity systems installed in vehicles to provide passengers with music, movies, gaming, navigation, and internet access. Modern ICE systems enhance the driving experience, improve passenger comfort, and integrate with smartphones and smart vehicle technologies for seamless entertainment on the go.

Recent Mergers and Acquisitions

✅ In July 2025, SoundHound, a voice AI company, formed a strategic partnership with Acrelec to integrate its voice AI drive-thru system into Acrelec's platform. This collaboration aims to enable automated order-taking at quick-service restaurants, showcasing SoundHound's expansion into in-car voice interaction technologies

✅ In May 2025, Harman International, a subsidiary of Samsung Electronics, acquired Sound United, the consumer audio division of Masimo, for $350 million. This acquisition includes renowned audio brands such as Bowers & Wilkins, Denon, Polk Audio, and Marantz, enhancing Harman's portfolio in automotive audio systems.

✅ In January 2025, Sony and Honda unveiled their first electric vehicle under the brand Afeela at CES 2025. The Afeela 1 features a high-tech interior with a panoramic screen, AI personal assistant, and Sony's entertainment tech, set for release in mid-2026.

Key Players:

-> Alpine Electronics, Sony, Continental, Pana-sonic, LG Electronics, Harman International, Blaupunkt, Bose Corporation, Kenwood Corporation, and Clarion Co., Ltd.

Growth Forecast Projected:

The Global In-car Entertainment Market is anticipated to rise at a considerable rate during the forecast period, between 2024 and 2031. In 2023, the market is growing at a steady rate, and with the rising adoption of strategies by key players, the market is expected to rise over the projected horizon.

Research Process:

Both primary and secondary data sources have been used in the global In-car Entertainment Market research report. During the research process, a wide range of industry-affecting factors are examined, including governmental regulations, market conditions, competitive levels, historical data, market situation, technological advancements, upcoming developments, in related businesses, as well as market volatility, prospects, potential barriers, and challenges.

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Key Segments:

By Type: Radio, Video, Audio

By Connectivity: Wireless / Network, Bluetooth, Others

By Application: Passenger Cars, Commercial Vehicles

By Sales Channel: Aftermarket, OEM

Regional Analysis for In-car Entertainment Market:

⇥ North America (U.S., Canada, Mexico)

⇥ Europe (U.K., Italy, Germany, Russia, France, Spain, The Netherlands and Rest of Europe)

⇥ Asia-Pacific (India, Japan, China, South Korea, Australia, Indonesia Rest of Asia Pacific)

⇥ South America (Colombia, Brazil, Argentina, Rest of South America)

⇥ Middle East & Africa (Saudi Arabia, U.A.E., South Africa, Rest of Middle East & Africa)

Benefits of the Report:

Chapter 1: Sets the stage by outlining the report's coverage, summarizing key market segments by region, product type, and application. Presents a snapshot of market sizes, growth potential across segments, and anticipated industry evolution both short and long term.

Chapter 2: Highlights pivotal market insights and uncovers the most significant emerging trends driving change within the industry.

Chapter 3: Offers an in-depth look at the competitive landscape among In-car Entertainment producers, including revenue shares, strategic moves, and recent mergers and acquisitions.

Chapter 4: Presents comprehensive profiles of the market's key players, delving into details such as revenue, profit margins, product portfolios, and company milestones.

Chapters 5 & 6: Analyze In-car Entertainment revenue at both regional and country levels, providing quantitative breakdowns of market sizes, growth opportunities, and development prospects worldwide.

Chapter 7: Focuses on different market segments by type, examining their individual sizes and potential, guiding readers toward high-impact, untapped market areas.

Chapter 8: Explores segmentation by application, evaluating industry growth potential in various downstream markets and pinpointing promising sectors for expansion.

Chapter 9: Provides a thorough review of the industry's supply chain mapping out both upstream and downstream activities.

Chapter 10: Concludes with a summary of the report's key findings and highlights the most critical takeaways for industry stakeholders.

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FAQ

Q: What is the growth rate of the In-car Entertainment Market?

A: The market is projected to expand at a compound annual growth rate (CAGR) of 9.2% during the forecast period from 2024 to 2031.

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