AutoTech

This report examines digital transformation (DX) in the automotive sector, enabled by the key technology groups that are the focus of Transforma Insights’ research. The report focuses on digitally transformative solutions in the automotive industry, encompassing various aspects of the industry, including dealership showrooms, repair and servicing centres, electric vehicle adoption, and the transition towards self-driving vehicles. This report does not address the wider technological changes in the manufacturing of passenger and commercial vehicles or smart mobility and integrated transport systems. The automotive industry has witnessed major disruptions in recent years, affecting all stakeholders in the value chain. Some notable trends include the rapid growth of electric vehicles, the testing and deployment of self-driving cars, and increased investment in digital solutions to enhance customer experience throughout the vehicle ownership lifecycle, from purchasing to usage and servicing. The push towards net-zero emissions and a desire to reduce health risks have driven businesses to adopt electric vehicles and fleets cross multiple industries are being electrified to shift towards a greener transportation to not only reduce greenhouse gas emissions but also lower fuel costs. Rapid digital transformation in the automotive industry has led businesses to innovate and develop mobility for the future, that ensures sustainability, connectivity, safety, and passenger and driver comfort. The battleground has shifted away from product-driven sales and towards technology-based services. Vehicle Original Equipment Manufacturers (OEMs) are realising that recurring service revenue is as lucrative if not more so than vehicle sales since the traditional business of selling cars is generally a low margin business. The better margins available for software services is motivating a push by the OEMs towards the software business and some OEMs have entered into joint ventures with technology companies as a part of their strategy to focus on developing connected vehicle software. Data from in-vehicle sensors provides insights into driver and cabin behaviours, enabling OEMs to harness this data to create customised service offerings and unlock new revenue potential. As a result of this, and many other developments, OEMs are integrating high-performance computing chips into vehicles for real-time decision-making, particularly in self-driving cars. The concept of connected vehicles transforms cars into smartphones on wheels, offering an enriched in-vehicle experience. Passengers and drivers in turn are coming to expect an enriched and customised in-vehicle experience, benefitting from automatic adjustments to infotainment, temperature, and lighting settings, along with real-time alerts about road conditions to avoid traffic and potential accidents. Overall, we have identified nine (9) key domains of change in the automotive industry. These are discussed in more detail in this document and comprise:  Customer Experience, includes the use of digital technologies to enhance customer experience at customer touchpoints.  Enhanced Vehicle Assessment. Includes the use of digital technologies for the service and maintenance of vehicles at repair and service centres.  EV Charging & Battery Leasing, includes the use of public and private EV charging, battery swapping, and electrification of roads to support electric vehicles.  Vehicle Platform & OEM Connectivity, includes the use of embedded hardware vehicle head units to provide commercial and private vehicles with wide area connectivity and connected and other services.  Aftermarket Devices, includes fleet management and a range of other diagnostic, driver support and infotainment devices that are purchased after a vehicle is manufactured and sold to a customer.  Autonomous Vehicles, includes autonomous passenger vehicles and autonomous road freight vehicles for reducing the burden on human drivers of strenuous driving requirements.  Vehicle-to-everything (V2X) & Vehicle-to-vehicle (V2V), focuses on vehicle communications with road infrastructure and other vehicles.  OEM Data Sharing, includes the sharing of vehicle data across the automotive supply chain.  Vehicle Recycling, includes the use of digital technologies in vehicle recycling for maximum utilisation of reusable materials and reduce waste generation to a minimum. Collectively, the concepts listed above will bring significant changes to the automotive sector in the coming years. From a technology perspective and as illustrated in Figure 1 1 below, Artificial Intelligence (AI), Data Sharing (DS), the Internet of Things (IoT), Hyperconnectivity (HC), and Edge Computing (EC) emerge as the key drivers of change in AutoTech. Human Machine Interface (HMI), Distributed Ledger (DL) and Autonomous Robotic Systems (ARS) also contribute to the digital transformation of the automotive sector in selected applications. Figure 1 1: Key technologies enabling digital transformation in AutoTech [Source: Transforma Insights, 2024] AI DS IoT HC EC HMI DL ARS Customer Experience ● ● Enhanced Vehicle Assessment ● ● ● ● ● EV Charging & Battery Leasing ● ● ● ● ● Vehicle Platform & OEM Connectivity ● ● ● ● ● ● Aftermarket Devices ● ● ● ● Autonomous Vehicles ● ● ● ● ● V2X & V2V ● ● ● ● ● OEM Data Sharing ● ● ● Vehicle Recycling ● ● ● The identified nine domains of change have both direct and indirect impacts in terms of economic and societal benefits, and many of them play a vital role in terms of enabling sustainability. As shown in Figure 1 2 below, the greatest sustainability benefits are achieved by implementing EV Charging & Battery Leasing, Autonomous Vehicles, and V2X & V2V. The nine identified doamins have the potential to generate maximum societal and economic benefits by reducing traffic congestion and decreasing road accidents. In terms of driver experience, Vehicle Platform & OEM Connectivity, Aftermarket Devices, Autonomous Vehicles, and Customer Experience have the potential to show maximum benefits.

This report provides Transforma Insights’ view on the Autonomous Road Passenger Vehicles market. This segment comprises autonomous vehicles primarily used to transport passengers on the road, including buses, coaches, minivans, and robotaxis, as well as private vehicles, which are capable of operating at Level 3 of the SAE levels of autonomy. The Autonomous Road Passenger Vehicles market is an emerging market with several obstacles. There aren’t many self-driving cars driven by consumers as personally owned vehicles on public roads yet but early robotaxi services are already available in select markets. The path to large scale commercialisation and mass deployment remains challenging because of the need for technological advances, lack of comprehensive regulations, and the high cost of hardware. Development of vehicle to everything (V2X) infrastructure will play a significant role in the development of the autonomous road passenger market as it enables a level of communication and awareness of surroundings that will encourage safe operation of fully autonomous vehicles. The report provides a detailed definition of the Autonomous Road Passenger Vehicles sector, analysis of market development and profiles of the key vendors in the space. It also provides a summary of the current status of adoption and Transforma Insights’ ten-year forecasts for the market. The forecasts include analysis of the number of IoT connections by geography, the technologies used (including splits by 2G, 3G, 4G, 5G, LPWA, short range, satellite and others), as well as the revenue split between module, value-added connectivity and services. A full set of forecast data, including country-level forecasts, sector break-downs and public/private network splits, is available through the IoT Forecast tool.

This report provides Transforma Insights’ view on the Road Fleet Management market with a primary focus on Vehicle Telematics Devices. Road Fleet Management covers in-vehicle transportation logistics solutions including job allocation, vehicle tracking, vehicle and driver monitoring, maintenance planning, safety compliance, fuel management, and incident management. The segment also includes aftermarket Tire Pressure Monitoring Systems, In-cab Displays, and Electronic Logging Devices. Early examples of Road Fleet Management offered excellent return on investment, a situation that has been widely recognised within many industries resulting in widespread adoption. Fleet telematics providers frequently advertise fuel savings, lower mileage, reduced maintenance costs, and lower idle time as the main benefits of deploying these solutions. The report provides a detailed definition of the sector, analysis of market development and profiles of the key vendors in the space. It also provides a summary of the status of adoption and Transforma Insights’ ten-year forecasts for the market. The forecasts include analysis of the number of IoT connections by geography, the technologies used (including splits by 2G, 3G, 4G, 5G, LPWA, short range, satellite, and others), as well as the revenue split between module, value-added connectivity, and services. A full set of forecast data, including country-level forecasts, sector breakdowns and public/private network splits, is available through the IoT Forecast tool.

This report provides Transforma Insights’ view on the connected EV Charging market. This segment is comprised of public and private EV chargers, including those installed at all kinds of commercial and residential establishments. Drivers are quickly switching from traditional fuel-powered vehicles to hybrids and EVs. Governments around the globe are playing a key role in aiding this switch by providing incentives to drivers for switching to EVs. The growing demand for EVs has led to the need for sufficient charging infrastructure to be in place to charge these EVs. Chargers are also increasingly being connected. Typically, this is to provide drivers with remote functionalities to decide the time and charge amount of their vehicles in the case of private chargers and allow remote monitoring and maintenance or dynamic pricing for public chargers. The report provides a detailed definition of the sector, analysis of market development and profiles of the key vendors in the space. It also provides a summary of the status of adoption and Transforma Insights’ ten-year forecasts for the market. The forecasts include analysis of the number of IoT connections by geography, the technologies used (including splits by 2G, 3G, 4G, 5G, LPWA, short range, satellite, and others), as well as the revenue split between module, value-added connectivity, and services. A full set of forecast data, including country-level forecasts, sector breakdowns and public/private network splits, is available through the IoT Forecast tool.

This report provides Transforma Insights’ view on the Vehicle Head Unit IoT market. The report provides a detailed definition of the sector, analysis of market development and profiles of the key vendors in the space. It also provides a summary of the current status of adoption and Transforma Insights’ ten-year forecasts for the market.

This report provides Transforma Insights’ views on the In-Vehicle Infotainment market, accessed through the Vehicle Head Unit or through aftermarket devices. In-vehicle Wi-Fi and media streaming has become increasingly popular amongst consumers over the past decade. In-vehicle Wi-Fi allows passengers to stream media, download applications and internet access. It also allows for media consumption in the vehicle. Previously, media used to be owned, nowadays many consumers choose to stream this media. To make use of this media whilst in a moving vehicle users will require a reliable, high bandwidth connection, driving demand for in-vehicle infotainment. This trend is likely to continue in the future as bandwidth becomes cheaper. However, the ubiquitous smartphone is likely to limit the size of this market, particularly in vehicles with Apple CarPlay or Android Auto installed. Vehicles compatible with smartphone mirroring can take advantage of the vehicle’s controls to access their media. Some drivers will simply choose to use their smartphones to browse the internet or stream media instead. Nonetheless, drivers are increasingly being discouraged from the distractions of smartphone usage whilst driving. Those who wish to lower their risk of an accident or falling foul of local traffic laws will be keen to make use of In-Vehicle Infotainment on the Vehicle Head Unit. The report provides a detailed definition of the sector, analysis of market development and profiles of the key vendors in the space. It also provides a summary of the current status of adoption and Transforma Insights’ ten-year forecasts for the market. The forecasts include analysis of the number of IoT connections by geography, the technologies used (including splits by 2G, 3G, 4G, 5G, LPWA, short range, satellite and others), as well as the revenue split between module, value-added connectivity and services. A full set of forecast data, including country-level forecasts, sector break-downs and public/private network splits, is available through the IoT Forecast tool.

Several new regulations are being introduced around the world to promote circular, sustainable, and responsible economies. The goals of these regulations are clear: businesses should deploy an efficient mechanism to review how they design, source, manufacture, dispose, reuse, and recycle products. Mechanisms often report carbon emitted at each stage to promote clean energy use, and also limit the use of harmful substances, increase the degree of reuse and recycling by material composition tracking, limit materials from certain countries, and ensure human rights obligations and thus, responsible sourcing. To track these metrics, most of these regulations stress the importance of visibility and traceability of products throughout the value chain. The accurate collection and reporting of data mandated by the regulations discussed in this report is impossible without employing digitally transformative technologies that enhance the tracking and traceability of the discussed elements. Intelligent track and trace that combines technologies such as distributed ledger, IoT, AI, and analytics will be essential to automate tracking, making it fast and efficient to trace products throughout their journey. The whole process is made efficient through the adoption of a range of techniques: Product identifiers: the key identifier information that a stakeholder needs to accurately identify a product and to access related information. Data sharing: a common standardised way to share information among all relevant stakeholders. Supply chain traceability: essential to prove provenance and qualifications by tracking the origin of materials and physical flow of goods through the value chain. IoT: all of the above drive the adoption of IoT as it enables accurate and efficient data collection. Digital supply chain twin: to virtually track journeys with change of state. Artificial intelligence: intersects with other technologies for additional insights. In this report, we discuss the major regulations (including the EU’s Batteries Regulation, Carbon Border Adjustment Mechanism, and End of Life Vehicles Directive and others and the USA’s Inflation Reduction Act, and various EV battery-related and other regulations from around the world) that are shaping the circular, ethical, and green economy. We also discuss the role technology plays in facilitating the requirements of supply chain transparency related regulations.

This report provides Transforma Insights’ view on the eCall market. This segment comprises two sub-applications: ‘eCall Head Unit’ and ‘Dedicated eCall’. eCall or emergency calling has become a common feature in cars following regulatory mandates in the European Union, the Eurasian Economic Union, Japan, the United Arab Emirates, and other parts of the world. It is also growing organically in countries that still do not have any regulations because for OEMs this is a very cheap service to provide and it gives them the opportunity to add another product to offer, with limited downside. Many road safety programs focus on reducing the severity of accidents. However, emergency calling programs specifically aim to reduce response times and provide greater information for first responders. eCall can be initiated either manually (by pushing a button) or automatically via activation of in-vehicle sensors when a serious vehicle crash occurs. In its early days, eCall used 2G and 3G networks to make calls and transfer data, but this now must be replaced with NG (Next Generation) eCall that uses 4G or 5G cellular networks because older networks are being phased out. NG eCalls will provide higher network availability, better service quality, and will allow transmission of larger amounts of data (that may include health data of occupants or live images of accident scenes in future) to the emergency services. It will also enable the transmission of video in addition to voice and data. The report provides a detailed definition of the sector, analysis of market development and profiles of the key vendors in the space. It also provides a summary of the current status of adoption and Transforma Insights’ ten-year forecasts for the market. The forecasts include analysis of the number of IoT connections by geography, the technologies used (including splits by 2G, 3G, 4G, 5G, LPWA, short range, satellite, and others), as well as the revenue split between module, value-added connectivity and services. A full set of forecast data, including country-level forecasts, sector break-downs and public/private network splits, is available through the IoT Forecast tool.

This report provides Transforma Insights’ view on the Vehicle Diagnostics market. This segment comprises two Applications: Vehicle Diagnostics Head Unit and Vehicle Diagnostics Aftermarket. Vehicle Diagnostics is an important feature that enables manufacturers and vehicle owners to identify faults and issues that may be systemic across their vehicles or fleets at an early stage. The market is dominated by the diagnostics features built into vehicles by the OEMs and accessed and connected via the Vehicle Head Unit. The provision of such services helps OEMs maintain a relationship with their customers and represents an additional service to add to a chargeable connected vehicle offering. The owners benefit from real-time updates on vehicle condition, reduced maintenance cost and servicing time. For the OEMs, it’s also another way of advertising new products, services, and benefits to the existing customers. For instance Mercedes Benz persuades customers to service their cars at authorised car dealerships to avail themselves of benefits in the form of discounts and free diagnosis. Aftermarket devices are usually purchased by vehicle owners or technicians. These devices can be plugged into the OBD-II port and are typically equipped with Short Range technology such as Wi-Fi and Bluetooth. As vehicles become more complex, fault identification will become increasingly challenging, and diagnostics devices will be increasingly required. Home mechanics will purchase these devices to avoid paying additional fees for vehicle servicing. The report provides a detailed definition of the sector, analysis of market development and profiles of the key vendors in the space. It also provides a summary of the current status of adoption and Transforma Insights’ ten-year forecasts for the market. The forecasts include analysis of the number of IoT connections by geography, the technologies used (including splits by 2G, 3G, 4G, 5G, LPWA, short range, satellite and others), as well as the revenue split between module, value-added connectivity and services. A full set of forecast data, including country-level forecasts, sector break-downs and public/private network splits, is available through the IoT Forecast tool.

This report provides Transforma Insights’ view on the Roadside Assistance market. This segment comprises two sub-applications: Roadside Assistance Head Unit and Roadside Assistance Aftermarket. Car breakdowns are a common occurrence on the roads disrupting the traffic flow and causing frustration and inconvenience amongst drivers. There are about 69 million vehicle breakdowns every year in the US, affecting approximately one in every three Americans. Roadside assistance may be required for reasons such as flat tyres, discharged batteries, electrical issues, overheating, mechanical failures related to engine and brakes, and vehicles running out of fuel. One of the significant advantages of IoT in roadside assistance is the capability to deliver diagnostic information (such as engine status, error codes, tyre pressure, fuel level, and others) in near-real time, enabling technicians to arrive at the location with the necessary tools and replacement parts. A significant barrier to the Roadside Assistance market is the increasing popularity of on-demand smartphone applications. They have become a popular mode of summoning roadside assistance for drivers because these do not require any additional hardware installation or integration with the vehicle head unit and can be carried between vehicles. Moreover, smartphones are a cost-effective solution compared to dedicated devices or OEM-provided software for roadside assistance. However, both of these solutions typically provide richer features for roadside assistance as they have access to detailed vehicle diagnostics data that can provide service providers with crucial information before reaching the location. The report provides a detailed definition of the sector, analysis of market development and profiles of the key vendors in the space. It also provides a summary of the current status of adoption and Transforma Insights’ ten-year forecasts for the market. The forecasts include analysis of the number of IoT connections by geography, the technologies used (including splits by 2G, 3G, 4G, 5G, LPWA, short range, satellite and others), as well as the revenue split between module, value-added connectivity and services. A full set of forecast data, including country-level forecasts, sector break-downs and public/private network splits, is available through the IoT Forecast tool.

This report provides Transforma Insights’ view on the use of IoT in Vehicle Rental, Leasing & Sharing Management. This segment comprises two sub-applications: Vehicle Rental, Leasing & Sharing Management Head Unit and Vehicle Rental, Leasing & Sharing Management Aftermarket. This report focuses on the remote monitoring of vehicles lent to businesses and private individuals by a third party. Third party vehicle owners include rental car companies, vehicle finance providers, or share car schemes. Some of the principal drivers behind the use of remote monitoring solutions are to track vehicle location, enable better estimation of maintenance requirements, and automate logging of vehicle usage. Although historically a market dominated by aftermarket solutions, many automotive OEMs have begun to become a part of the rental, leasing, and sharing ecosystem by offering specialised telematics services to rental and leasing companies. Even so, aftermarket devices are still preferred by rental and leasing companies with a varied fleet of vehicles that are difficult to monitor and manage with a single embedded solution. Vehicle hire companies such as Avis Budget Group, Hertz, and Europcar use integrated aftermarket devices to streamline operations and reduce costs. The report provides a detailed definition of the sector, analysis of market development and profiles of the key vendors in the space. It also provides a summary of the current status of adoption and Transforma Insights’ ten-year forecasts for the market. The forecasts include analysis of the number of IoT connections by geography, the technologies used (including splits by 2G, 3G, 4G, 5G, LPWA, short range, satellite and others), as well as the revenue split between module, value-added connectivity and services. A full set of forecast data, including country-level forecasts, sector break-downs and public/private network splits, is available through the IoT Forecast tool.

This report summarises the status and forecasts from the In-Vehicle Navigation Application Group found in the Transforma Insights Connected Things IoT forecast. The report provides a description of what is covered in the Application Group, as well as top-level figures from the forecast that provide detail on how many connected devices will be installed, the types of communication technology used and the total revenue opportunity. Full details are accessible through the TAM Forecast tool.

This report provides Transforma Insights’ view on the Stolen Vehicle Recovery market. This segment comprises applications supported on the factory-fit Vehicle Head Unit as well as aftermarket devices. Vehicle theft is a pervasive issue in many countries, leading to the need for Stolen Vehicle Recovery devices. These devices include vehicle tracking to warn of break-ins, prevent theft or facilitate vehicle recovery in the event of theft. In more sophisticated systems it may be possible to sound alarms or shut down vehicle functions. This application comprises aftermarket devices that can be placed in the vehicle in addition applications running on the factory-fit vehicle head unit. There are a variety of business models. For instance, automotive OEMs are using embedded Stolen Vehicle Recovery services as one of a series of value-added services to generate alternative and recurring revenue streams. In some cases, aftermarket devices are also offered as complimentary service by automotive dealers and insurance companies.

The Transforma Insights Position Paper, sponsored by Kigen, looks at a key change happening in SIM provisioning, specifically the growing interest in In-Factory Profile Provisioning. The report starts by exploring the motivations for making use of IFPP to streamline supply chains for volume electronics manufacturers that are increasingly making use of cellular connectivity in their products. We then consider the wider concept of eSIM and remote SIM provisioning, of which IFPP is one variety, as well as considering the new GSMA standard for IFPP SGP.41/42. The report goes on to consider the benefits of using IFPP, including reducing logistics and manufacturing complexity and power saving, as well as delving into four key IoT/connectivity verticals - smart metering, automotive, fixed-wireless access, and consumer electronics, to look at the ways in which IFPP will be valuable.

This report provides Transforma Insights’ view on the Autonomous Road Freight Vehicles market. This segment comprises vehicles used for transporting goods on roads in a commercial setting. To be counted as part of this Application Group, vehicles must be capable of operating at Level 3 (L3) of the SAE levels of autonomy. The autonomous road freight vehicles market is at a nascent stage with an enormous potential to disrupt the road freight market. The adoption of L3 autonomous freight vehicles is gaining momentum with multiple governments around the world supporting the testing and commercialisation of autonomous vehicles on roads, although concerns around the safety and performance of these vehicles can act as a deterrence to the pace of mass adoption. The initial focus of most technology companies is proving the concept of commercial L3 vehicles and allowing shippers, carriers, and logistics companies to embrace and familiarise themselves with their usage. The report provides a detailed definition of the sector, analysis of market development and profiles of the key vendors in the space. It also provides a summary of the current status of adoption and Transforma Insights’ ten-year forecasts for the market. The forecasts include analysis of the number of IoT connections by geography, the technologies used (including splits by 2G, 3G, 4G, 5G, LPWA, short range, satellite, and others), as well as the revenue split between module, value-added connectivity and services. A full set of forecast data, including country-level forecasts, sector break-downs and public/private network splits, is available through the IoT Forecast tool.