In-Vehicle Infotainment Market Size, Share, Growth, Trends, and Global Industry Analysis: By Component (Display Unit, Control Panel, Telematics Control Unit, Head-up display, and Others), By Operating System (Android, Linux, QNX, Microsoft, and Others), By Vehicle Type (Passenger Car, Light Commercial Vehicle, and Heavy Commercial Vehicle), By Services (Entertainment Service, Navigation Services, E-Call, Vehicle Diagnostics, and others), By Connectivity (3G/4G, and 5G), and Region Forecast 2019-2030

The in-vehicle infotainment market size was valued at US$ 15,328.2 million in 2023 and is projected to reach a value of US$ 31,424.6 million by 2030, at a CAGR of 10.8% from 2024-2030. Moreover, the U.S. in-vehicle infotainment market is projected to grow significantly, reaching an estimated value of US$ 11,457.9 million by 2032.

The IVI market is driven by the demand for increasing connected car technologies, better user experiences, and high-level smartphone integration. However, high development costs, cybersecurity concerns, and regulatory challenges are restricting the market growth. Further growing electric and autonomous vehicles that have a high demand for infotainment systems as well as the over-the-air updates and personalization features that are on the rise provide an opportunity for the market. Additionally, manufacturers of such vehicles respond to consumer expectations by potentially integrating artificial intelligence and advanced driver-assistance systems, thereby creating intuitive and engaging experiences.

Key Players

Key players in the in-vehicle infotainment market include industry leaders such as Tesla, General Motors, Ford, Toyota, and Honda, alongside technology giants like Apple, Google, and Amazon. Other notable companies are Panasonic, Bosch, Harman International, Denso, Continental, Visteon, Delphi Technologies, Mitsubishi Electric, Clarion, ZF Friedrichshafen, and Nvidia.

Key Takeaways

• North America is the one ruling the market for in-vehicle infotainment in the present
• In-vehicle infotainment is growing at the fastest rate in Asia-Pacific.
• Based on the component, the display unit segment holds a 38.2% market share
• Based on the operating system, the Android segment holds a 28.9% market share
• Based on the vehicle type, the passenger car segment holds a 43.7% market share
• Based on the services, the navigation services segment holds a 46.8% market share
• Based on the connectivity, the 5G segment holds a 67.9% market share

Facts & Figures

• By August 2023, approximately 85% of drivers in the U.S. reported using smartphone integration features like Apple CarPlay and Android Auto in their vehicles.
• As of February 2024, the average screen size of infotainment displays in vehicles has increased to 12 inches, compared to 7 inches in 2020.
• As of July 2024, the demand for advanced infotainment systems in electric vehicles is projected to rise by 50% compared to traditional vehicles.

Key Developments

• In January 2024: Tesla rolled out a significant update to its infotainment system, enhancing features related to navigation and entertainment while improving the integration of Full Self-Driving capabilities.
• In March 2024: Ford unveiled SYNC 5, its latest infotainment platform, which features a more intuitive interface, expanded app support, and enhanced over-the-air update capabilities.
• In September 2024: BMW launched iDrive 9, which includes enhanced connectivity and integration with smart home devices.

In-Vehicle Infotainment Market Segmentation

By Components: In the IVI market, the display unit typically takes the lead for it is typical to the user interface that would allow one to enjoy optical interaction concerning navigation, entertainment, and information. The pursuit of larger and more complex touch-sensitive displays further drives this segment. Right behind the line comes the telematics control unit, allowing for a means of connectivity for the vehicle, which opens applications such as real-time navigation, vehicle diagnostics, and emergency assistance. The control panel and head-up display, of course, are significant, offering relevant information to the user in a non-interference manner with the driver. All-in-all, though, the display unit is still the largest component, as is evidence of consumer preference for interactive and visually engaging interfaces.

By Vehicle Type: The passenger cars segment is largest in the In-Vehicle Infotainment (IVI) market, with consumers demanding innovative connectivity and entertainment features to enhance the driving experience. Consumers today are embracing smartphone integration and navigation systems, and this trend certainly supports growth in the light commercial vehicles segment through connected fleet management solutions. As much as the heavy commercial vehicle segment is small, it is critical to logistics safety, and navigation capabilities. The market is primarily driven by passenger cars, reflecting personal mobility and integration of technology.

By Services: Entertainment services are the biggest leader in the In-Vehicle Infotainment (IVI) market, mainly driven by the need for audio and video streaming and application integration to make driving "more" enjoyable. Navigation Services represent the second-most significant application area, as most users require real-time route guidance and traffic updates, brought about by the connected car. Other services that add to this segment include the E-call service, where legal stipulations regarding the security of emergency call systems bring this into focus, and vehicle diagnostics, wherein the knowledge becomes evident for the health of a vehicle. The segment of in-car entertainment continues to be strong as a whole, which provides further supporting evidence for how central the role remains of in-car entertainment for modern vehicles.

By Connectivity: The current market leader in the In-Vehicle Infotainment (IVI) market is 3G/4G as these segments have led vehicle connectivity for quite some time now, offering key applications such as navigation, streaming, and real-time updates. 5G will quickly take a closer lead since it promises speeds up to multiple times faster than those of the previous generation 4G, thus offering lower latency and enhanced connectivity capabilities. Such advancements would enable more heavy applications, for example: high-definition streaming, advanced telematics, and high-quality V2X communication. This growth in 5G infrastructure will change the IVI landscape, giving users a richer and a more connected driving experience.