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V2X communication facilitates connectivity between vehicles and surrounding infrastructure networks, enabling vital information exchange to enhance road safety and traffic flow. These networks play a crucial role in collision avoidance, intelligent traffic management, and other autonomous driving functions. V2X solutions assist drivers in applications like receiving warnings regarding impending hazards, optimal navigation through intersections, emergency vehicle alerts, and automated payment of tolls. The technology has garnered immense popularity owing to improving traffic transparency, throughput, and sustainability.
The global V2X Communication Market is estimated to be valued at US$ 3.63Bn in 2023 and is expected to exhibit a CAGR of 39.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Connected infrastructure has emerged as a key catalyst boosting the adoption of V2X communication technology. Governments across major economies are making significant investments to develop smart transportation infrastructure integrated with advanced connectivity capabilities. For instance, the US Department of Transportation has allocated over $1 billion to support state-led initiatives for connected vehicle sensor deployment along critical road corridors. Similar large-scale projects promoting smart mobility are underway in China, Japan, South Korea and several European countries. Such wide-scale connected infrastructure development provides the essential network backbone for effective deployment of V2X systems. It allows vehicles to leverage real-time data exchange with transportation assets like traffic signals, roadside units and toll systems. This is accelerating the capabilities and safety benefits of cooperative driving technology.
Segment Analysis
The global V2X Communication Market is dominated by two segments – Vehicle-to-Vehicle (V2V) communication and Vehicle-to-Infrastructure (V2I) communication. The V2V communication segment currently holds the largest market share due to increasing focus on road safety and traffic management. With V2V communication, vehicles are able to exchange information with each other using DSRC technology which helps avoid accidents by notifying vehicles of potential collision risks in real-time.
Key players operating in the V2X Communication market include Delphi Automotive Plc, Aptiv PLC, Autotalks Ltd., Continental AG, Qualcomm Inc, Infineon Technologies A., Robert Bosch GmbH, Harman International Industries Inc. Cisco Systems Inc., Infineon Technologies AG, Mobileye NV, Marben Products, Sasken Technologies Ltd, Siemens Mobility GmbH and Denso Corporation. Delphi Automotive and Continental AG currently have the strongest market presence in V2X chipsets and communication modules, respectively.
Regional analysis: North America currently dominates the V2X communication market share due to large scale initiatives by governments for connected vehicle technologies and infrastructure development across the US and Canada. The region houses major Tier 1 suppliers and technology companies facilitating extensive R&D and testing.
Key Takeaways
The global V2X Communication Market is expected to witness high growth at a CAGR of 39% during the forecast period of 2023-2030 to reach a market size of US$ 3.63 billion by 2023. North America currently dominates the market due to large scale initiatives by governments for connected vehicle technologies and infrastructure development. Europe is the second largest market driven by EU mandates for V2X deployment across major cities by 2022. However, Asia Pacific region is expected to grow at the fastest rate led by China due to strong policy support and infrastructure investments for connected mobility.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
Ravina Pandya, a content writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemicals and materials, etc. With an MBA in E-commerce, she has expertise in SEO-optimized content that resonates with industry professionals.
