Connected-Car related Market in Japan: Key Research Findings 2017
Research Outline
- Research period: May to October, 2017
- Research targets: Domestic and overseas automakers (OEM), Manufacturers of car electronics, IT/telecommunication businesses, vendors of cloud, electronic parts, and maps, security service providers, non-life insurance companies, and consultants
- Research methodologies: Face-to-face interviews, surveys via telephone/email, and literature research
What is a Connected Car?
Connected cars are those systems and applications that provide improved comfort and safety of the car by being available to access Internet to accept the various services not only through in-car sensor network but also by being connected to cloud.
Summary of Research Findings
- Size of Domestic Connected-Car related Market Attained 398.0 Billion Yen in 2016
Connected cars have changed to those systems that acquire travelling information of the car through sensors and the like, and the information of which is collected and analyzed through cloud. The domestic connected car market size in 2016 is estimated to have achieved 398.0 billion yen in total, the specifics of which are B2C market 71.2 billion yen, B2B market 185.0 billion yen, and R&D cost 141.8 billion yen.
- Connected-Car related Market Expected to Leap Forward in Areas of “B2B” and “R&D Investment”
Connected cars used to have been considered to fall into the category of infotainment services pertaining to car navigation systems. In fact, connected cars have rather become mainly to such systems that collect and analyze travelling data of vehicles in order to respond to the demand in the era of autonomous cars and EVs. Therefore, the connected-car market has largely been expanding in the field of B2B and investment in R&D, which is difficult for consumers to notice.
- Domestic Connected-Car related Market Projected to Attain 2 Trillion Yen by 2025
Because of growing new services and investment in R&D, the domestic connected-car related market is likely to expand to as large as a trillion yen by 2020. The market is projected to grow further by 2025 to almost twice the size of 2020 to 2 trillion yen, due to increasing number of connected cars and to wider acceptance of those services that use probe information or cloud ADAS.
- Figure & Table 1: Transition and Forecast of Domestic Connected Car Market Size
