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Connected cars: Europe to lead the world in sales and turnover by 2022
Editorial Staff
According to forecasts provided by Autopromotec’s Observatory, within five years the European market will reach a turnover of over 48 billion euro, surpassing what is now to be considered the world's largest market, the US. Growth, though, will be staggering in all countries.
By 2022, Europe will become the world's largest market in the field of connected car technologies. Within the next five years, in fact, Europe’s turnover will go from 16.4 billion euro forecasted for 2017 to 48.4 billion euro by 2022 (+ 195.1%) thus surpassing the US market for the first time. These predictions stem from an elaboration of the Autopromotec Observatory (which is Autopromotec’s research team) based on a study carried out by PwC, an international consulting company.
According to the research, at the moment, the US market must be considered the most profitable in terms of connected car technologies, with a turnover of 17.7 billion euro, followed by the European market (16.4 billion), trailed, in turn, by other emerging economies or so-called BRIC countries (Brazil, Russia, India and China, with 11.3 billion) and by Japan (2.7 billion). By 2022, however, things will be quite different as the European market is expected to overtake the United States (48.4 billion against 46.5). As a whole, triple digit growth figures are expected in all the markets considered, with BRIC economies scoring the highest growth generating revenues in the region of 39.1 billion euro, an increase of 225.9%!
Connectivity applied to cars and other vehicles represents a technological innovation of great relevance and is radically transforming the automotive sector. An increasing number of vehicles already circulating on our roads, in fact, are equipped with radars, cameras, remote diagnostics and other digital instruments that, thanks to Internet connections and mobile devices, are able to communicate with the outside world (road infrastructures, other vehicles or other devices). The connected car revolution involves a number of new challenges also for the automotive aftermarket sector and, most specifically, for service-oriented workshops. This greater connectivity, in fact, will facilitate long-distance communication between drivers and repair-shops. Assistance will become progressively more digital and mechanical failures or malfunctions will be detected and repaired before they actually occur, as a form of predictive maintenance. In order to meet these ever-changing needs and remain competitive, workshops will not only have to invest in upgrading themselves with new and state-of-the-art equipment, but also focus on greater specialization and qualified training programs.
According to the research, at the moment, the US market must be considered the most profitable in terms of connected car technologies, with a turnover of 17.7 billion euro, followed by the European market (16.4 billion), trailed, in turn, by other emerging economies or so-called BRIC countries (Brazil, Russia, India and China, with 11.3 billion) and by Japan (2.7 billion). By 2022, however, things will be quite different as the European market is expected to overtake the United States (48.4 billion against 46.5). As a whole, triple digit growth figures are expected in all the markets considered, with BRIC economies scoring the highest growth generating revenues in the region of 39.1 billion euro, an increase of 225.9%!
Connectivity applied to cars and other vehicles represents a technological innovation of great relevance and is radically transforming the automotive sector. An increasing number of vehicles already circulating on our roads, in fact, are equipped with radars, cameras, remote diagnostics and other digital instruments that, thanks to Internet connections and mobile devices, are able to communicate with the outside world (road infrastructures, other vehicles or other devices). The connected car revolution involves a number of new challenges also for the automotive aftermarket sector and, most specifically, for service-oriented workshops. This greater connectivity, in fact, will facilitate long-distance communication between drivers and repair-shops. Assistance will become progressively more digital and mechanical failures or malfunctions will be detected and repaired before they actually occur, as a form of predictive maintenance. In order to meet these ever-changing needs and remain competitive, workshops will not only have to invest in upgrading themselves with new and state-of-the-art equipment, but also focus on greater specialization and qualified training programs.
