The Rise Of Autonomous And Electric Vehicles Driving Growth In The In-Car Entertainment Market: Strategic Insights Driving In-Car Infotainment Market Momentum in 2025

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How Large Will the In-Car Infotainment Market Size By 2025?
The market size for in-car infotainment has expanded significantly over the past years. It is projected to increase from $21.49 billion in 2024 to $23.45 billion in 2025, with a compound annual growth rate (CAGR) of 9.1%. The historical growth can be linked to a rise in requisition for built-in GPS navigation systems, usage growth of cloud services, increased demand for connected car services, the escalating popularity of infotainment systems facilitating augmented reality, and a broader availability of internet access within the cars.

How Big Is the In-Car Infotainment Market Size Expected to Grow by 2029?
Anticipations show a robust increase in the size of the in-car infotainment market in the coming years. It is forecasted to surge to a value of $33.35 billion in 2029, with a CAGR projected at 9.2%. The expansion in the forecast period is ascribed to the escalating demand for superior driver aid systems and the growth in the adoption of electric vehicles. There is also increasing demand for high-definition displays and multi-modal connectivity, alongside a surge in the number of infotainment systems. Key trends predicted within the forecast period include technological progression, the inclusion of artificial intelligence, the uptake of advanced voice recognition systems, 5G connectivity, and the advent of augmented reality.

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Which Key Market Drivers Powering In-Car Infotainment Market Expansion and Growth?
The surge in electric vehicle (EV) popularity is anticipated to stimulate the expansion of the in-car entertainment industries in the future. Electric vehicles, which utilise batteries to power electric motors rather than traditional internal combustion engines fueled by gasoline or diesel, have seen increased demand due to several contributing factors. These include the progression of artificial intelligence, enhancing autonomous driving capabilities, and a heightened awareness of climate change issues. In-car infotainment augments electric vehicles by amalgamating advanced connectivity and user-friendly interface technologies. These advancements are crucial for autonomous driving systems and improve the overall user experience in electric vehicles. For instance, in September 2022, the France-based international autonomous agency, International Energy Agency, reported that sales of electric vehicles nearly doubled to 6.6 million in 2021, up from 3 million the previous year, accounting for nearly 9% of total sales, a rise of 4.1 percentage points from 2020. As such, the increasing popularity of electric vehicles is catalyzing the expansion of the in-car entertainment sector.

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What Are the Key Trends Driving In-Car Infotainment Market Growth?
Top corporations in the in-car infotainment market are concentrating on the invention of novel technologies, like the Android automotive infotainment system, to improve the user interface and incorporate sophisticated features into their automotive products. The Android vehicle infotainment system is an operating system designed for integration with vehicle infotainment systems. For example, Snapp Automotive, a German manufacturer specialized in infotainment systems, launched SnappOS, a vehicle infotainment system based on the Android automotive OS, in November 2023. Integrated perfectly with Google's Android platform, it gives drivers the ability to access multiple apps straight from the infotainment screen. The system comes equipped with enhanced voice recognition abilities, allowing navigation, music, and communication functions to be controlled hands-free. It also supports real-time updates and personalized suggestions according to the user's tastes and driving patterns, ensuring a customized experience.

What Are the Emerging Segments in the In-Car Infotainment Market?
The in-car infotainment market covered in this report is segmented -

1) By Product: Display Unit, Head-Up Display, Navigation Unit, Communication Unit
2) By Component: Hardware, Software
3) By Installation: Original Equipment Fitted, Aftermarket
4) By Application: Passenger Cars, Commercial Vehicles

Subsegments:
1) By Display Unit: Touchscreen Displays, Lcd Or led Displays, Oled Displays, Heads-Up Display (HUD) Integration
2) By Head-Up Display (HUD): Windshield Projection Systems, Augmented Reality (AR) Huds, Conventional Huds
3) By Navigation Unit: Gps Navigation Systems, Route Planning And Traffic Updates, 3d Navigation Systems, Voice-Activated Navigation
4) By Communication Unit: Bluetooth Connectivity, Smartphone Integration, Wi-Fi Connectivity, Vehicle-To-Everything (V2X) Communication, Voice Assistants

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Who Are the Global Leaders in the In-Car Infotainment Market?
Major companies operating in the in-car infotainment market are Mitsubishi Electric Corporation, Sony Corporation, Intel Corporation, Panasonic Corporation, Continental AG, Denso Corporation, Qualcomm Technologies, Inc., Hyundai Mobis, Pioneer Corporation, Texas Instruments Incorporated, Faurecia SA, DXC Technology Company, Harman International, Garmin Ltd., Visteon Corporation, Fujitsu Ten Ltd., LG Electronics Inc., TomTom International BV, Alpine Electronics Inc., Valeo, JVCKenwood Corporation, Robert Bosch GmbH, Clarion Corporation, Huawei Technologies Co. Ltd., Blaupunkt GmbH

Which are the Top Profitable Regional Markets for the In-Car Infotainment Industry?
North America was the largest region in the in-car infotainment market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the in-car infotainment market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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