In Car Apps Market Size, Share, Industry, Forecast and outlook (2024-2031)

In Car Apps Market is segmented By Operating System (Android-based Apps, iOS-based Apps, Others), By Vehicle (Passenger Cars, Light Commerical Vehicle, Heavy Commerical Vehicle, Others), By Application (Infotainment, Navigation and Maps, Communication and Connectivity, Safety and Security, Others), By Region (North America, South America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2024-2031

In Car Apps Market Size

The Global In Car Apps Market reached US$ 53.1 billion in 2022 and is expected to reach US$ 102.9 billion by 2030, growing with a CAGR of 8.5% during the forecast period 2023-2030. The global in car apps market has experienced significant growth in recent years due to advancements in connected car technologies, increasing consumer demand for connectivity, and the rise of smartphone integration in vehicles.

The market is driven by the growing adoption of connected cars, which enable seamless integration of mobile apps and services into the vehicle's infotainment system.

North America holds a share of more than 43% share in the global car apps market followed by Europe and Asia-Pacific. The regional growth is due to high consumer purchasing power, advanced infrastructure, and a strong automotive industry. Furthermore, the presence of key players such as Apple Inc., Google LLC, and Microsoft Corporation in the region escalated the growth prospects for the market as these companies focus on developing innovative in-car apps, forming partnerships with automakers, and improving user interfaces and connectivity options.

In Car Apps Market Scope

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In Car Apps Market Dynamics

Rising Adoption of Autonomous and Electric Vehicles

The increased adoption of autonomous vehicles creates new opportunities for in car apps, as passengers have more free time while the vehicle handles the driving tasks. In car apps can provide entertainment, productivity tools, and personalized experiences to passengers in autonomous vehicles, leading to increased demand for innovative and engaging apps.

Furthermore, the electric vehicle (EV) market has been experiencing rapid growth globally. According to the International Energy Agency (IEA), electric car sales surpassed 3 million worldwide in 2020, representing a 43% increase compared to 2019. In addition, companies other than Tesla are also functioning on their individual concepts. For the advancement of technology, Porsche also initiated the production of new electric vehicles by the end of 2023.

Governments around the world are also implementing policies and incentives to promote electric vehicle adoption, including subsidies, tax credits, and infrastructure investments. Thus, the increased penetration of electric vehicles creates an opportunity for in-car apps that offer charging station locators, range management tools, and energy consumption monitoring, enhancing the overall EV ownership experience.

Growing Smartphone Integration

As smartphones become an integral part of people's lives, integrating them seamlessly into vehicles enhances the overall in-car experience. Various smartphone apps have made the in car apps functionality easy leading to a boost the technology growth. For instance, Apple CarPlay and Android Auto are platforms that enable seamless integration of smartphones with the vehicle's infotainment system.

These platforms allow users to access their smartphone apps and functionalities directly on the vehicle's display, providing a familiar and user-friendly interface. Users can make hands-free calls, send and receive messages, play music, navigate with their preferred mapping apps, and access other compatible apps on their smartphones. The availability of these platforms has led to a surge in app development for in car use, as developers can create apps that integrate with these systems and offer enhanced functionalities.

Safety Concerns

Safety concerns play a crucial role in shaping the global in-car apps market. While in car apps provide various functionalities and conveniences, ensuring driver and passenger safety is of utmost importance. One of the primary safety concerns associated with in car apps is driver distraction. Apps that require significant driver attention or interaction can divert focus from the road, increasing the risk of accidents.

For instance, distracted driving contributed to 8.1% of all fatal car crashes in 2020. (NHSTA) . According to the NHSTA, distracted driving claimed 3,142 lives in 2020. Furthermore, as per Forbes, 325,000 persons were hurt in distracted driving collisions in 2020. The majority of distracted driving fatalities, or 7% of all fatalities, occurred among drivers between the ages of 15-20. Thus, the rising number of accidents due to distracted driving due to in car apps has raised safety concerns, thereby hampering the market growth.

In Car Apps Market Segmentation Analysis

The global in car apps market is segmented based on operating system, vehicle, application and region.

Growing Demand For Visual Directions, And Real-Time Traffic Escalates The Segmental Growth Of Navigation And Maps

Navigation and maps segment is expected to show significant growth in the global in car apps market covering nearly 1/4th in 2022. These apps provide real-time navigation, route guidance, and mapping services to enhance the driving experience. In car apps with navigation and map capabilities provide drivers with accurate and up-to-date information about routes, traffic conditions, and alternative paths to reach their destinations.

These apps utilize GPS technology, map data, and real-time traffic information to calculate optimal routes, estimate arrival times, and guide drivers along the way. Some of the popular navigation and maps apps include Google Maps, Apple Maps, Waze, and HERE WeGo. These apps offer turn-by-turn voice guidance, visual directions, and real-time traffic updates to help drivers navigate efficiently.

Source: DataM Intelligence Analysis (2023)

In Car Apps Market Geographical Share

North America’s High Adoption Rate Of Advanced Automotive Technologies And Connected Vehicles, Contributing To The Demand For In Car Apps

North America holds nearly 1/3rd of the global in car apps market, driven by technological advancements, consumer preferences, and the presence of major automotive and technology companies. The region has a high adoption rate of advanced automotive technologies and connected vehicles, contributing to the demand for in car apps. The market is driven by the presence of tech-savvy consumers who seek seamless connectivity, personalized experiences, and advanced features in their vehicles.

Furthermore, North America serves as a hub for collaboration between technology companies, automotive manufacturers, and app developers. Partnerships between technology giants, such as Apple and Google, and automakers have facilitated the integration of their respective platforms, Apple CarPlay and Android Auto, into vehicles, expanding the availability and accessibility of in-car apps.

Source: DataM Intelligence Analysis (2023)

In Car Apps Market Companies

The major global players include Apple Inc, Google LLC, Microsoft Corporation, Harman International Industries, Inc, Bosch Automotive Service Solutions Inc, Telenav, Inc, TomTom N.V., Blackberry Limited, Aptiv PLC and Nvidia Corporation.

COVID-19 Impact Analysis on In Car Apps Market

COVID Impact

During the pandemic, lockdowns, travel restrictions, and social distancing measures significantly reduced people's mobility and overall vehicle usage. With fewer people commuting to work, traveling, or engaging in recreational activities, the demand for in car apps that facilitate navigation, entertainment, and other services experienced a decline. As vaccination efforts progress and restrictions ease, there has been a gradual recovery in the in-car apps market.

However, the demand for in car apps is expected to rebound as people resume normal activities, commuting, and traveling. Moreover, the focus on connected and autonomous vehicles continues to drive the integration of advanced in car app technologies to enhance user experiences and safety.

Ukraine-Russia War Impact

The geopolitical tensions between Russia and Ukraine have indirect implications for the in car apps market. These tensions have impacted the automotive industry and disrupted supply chains, leading to potential delays in the development and integration of in car apps. Additionally, political instability in the region has influenced consumer sentiment, resulting in changes in purchasing behavior and preferences, which can indirectly affect the adoption and demand for in-car apps.

AI Impact

Artificial intelligence (AI) has been instrumental in enhancing the capabilities and functionality of in car apps. AI-powered technologies such as natural language processing, machine learning, computer vision, and predictive analytics are being integrated into in car apps to provide personalized and intelligent features.

AI enables voice-controlled interfaces, intelligent virtual assistants, and adaptive user experiences, enhancing overall user interaction and convenience. For instance, AI-powered virtual assistants like Amazon's Alexa, Apple's Siri, or Google Assistant can be integrated into in-car apps, allowing drivers to control various functions hands-free, access information, and perform tasks using voice commands.

Key Developments

• On May 08, 2023, VicOne, a provider of cybersecurity solutions for the automotive industry, announced a collaboration with TomTom, a leader in geolocation technology, to protect connected automobiles that serve as an extension of their drivers' digital life. VicOne's purpose-built smart cockpit cybersecurity software gives OEMs working with TomTom the ability to further safeguard the data privacy of their users within the car.
• On January 26, 2023, National Car Rental announced the release of a New Mobile App for the Business Pro on the Go. Customers can now control their rental experience from reservation to return with the help of this updated app that offers improved user experience and new features.
• On July 13, 2021, Millions of BMWs received the updated BMW News app during the last few days. With this update, the News app is transformed into a thorough, practical, and knowledgeable in-car news service that can be customized for the user. This indicates that BMW is now providing a better service to satisfy the increased demand from customers for news-on-demand and informational podcasts. The inclusion of news feeds, customized, intelligent news filtering, and noticeably better audio quality are the main new features.

Why Purchase the Report?

• To visualize the global in car apps market segmentation based on operating system, vehicle, application and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of in car apps market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as Excel consisting of key products of all the major players.

The global in car apps market report would provide approximately 61 tables, 60 figures and 211 Pages.

Target Audience 2024

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies