Connected Motorcycle Market Size (2025 –2030)

The Connected Motorcycle Market was valued at USD 0.6 billion and is projected to reach a market size of USD 4.12 billion by the end of 2030. Over the forecast period of 2025-2030, the market is projected to grow at a CAGR of 46.91%. 

The Connected Motorcycle Market is expanding rapidly due to advancements in the safety of the vehicle, new driver-assist systems, and a growing customer desire for a more enjoyable ride experience. The motorcycles feature such technologies as GPS, safety technology, and infotainment functionalities that enable bike status monitoring, real-time notification, and access to navigation service. Companies are investing in actively building connected variants to fulfil the need. For example, Yamaha's FZ line now features Bluetooth connectivity with the added functionality of vehicle location and trip information. The Asia-Pacific region, where large markets for motorcycles are in countries such as China, India, and Indonesia, will drive this growth, helped by the concentration of large manufacturers and rising awareness among consumers about high-end motorcycle features.

Key Market Insights:

• The Connected Motorcycle Market is growing at a fast pace due to advancements in vehicle safety, integration of driver-assistance systems, and the increasing demand for improved riding experience.
• The infotainment segment of the market currently leads the market by providing riders with features like touchscreen displays, navigation systems, music streaming, and smartphone connectivity, thus improving the overall riding experience.
• The Asia-Pacific is the fastest growing region due to high motorcycle penetration rates in countries such as China, India, and Indonesia, together with rising awareness among consumers regarding the high-end specifications of motorcycles.
• Top players like Yamaha, Suzuki, Kawasaki, BMW, and Harley-Davidson are investing heavily in building connected models to keep up with rising demand. In addition, improvements in connectivity technology, including cloud platforms and the availability of 5G networks, are anticipated to enable vehicle-to-vehicle and vehicle-to-infrastructure connectivity, enhancing connected motorcycle adoption even further.
• There are still challenges, however, in terms of user data privacy and security, which will require standardized connectivity protocols and strong data protection schemes for riders' trust and mass adoption.

Connected Motorcycle Market Key Drivers:

Increased Interest in Rider Safety is Driving the Market Growth

Motorcycle safety is still a serious problem globally, as riders are at greater risk compared to users of other vehicles. To solve such issues, makers are adding the latest connectivity technology to motorcycles that allows for such features as collision detection, emergency response systems, and real-time hazard notifications. These advancements improve rider safety by delivering real-time information and support, lessening the potential for accidents. The increased emphasis on enhancing rider safety with advances in technology is a major catalyst driving the market for connected motorcycles across the world.

Evolution in Connectivity Technologies (5G and Cloud Computing):

The quick pace of connectivity technologies, such as 5G networks and cloud computing, has provided new opportunities for the market of connected motorcycles. These developments provide smooth communication between motorcycles, other cars, and infrastructure, enabling features such as real-time traffic information, vehicle-to-vehicle (V2V) communication, and predictive maintenance. An example is that the inclusion of 5G enables low-latency data transfer, which is important for safety applications that have instant response time requirements. In addition, cloud computing facilitates the processing and analysis of large volumes of data gathered from connected motorcycles, resulting in enhanced performance and customized rider experiences. These technological advancements play a key role in driving the growth and uptake of connected motorcycles.

Adoption of Security and Safety Measures:

Governments and regulatory authorities across the globe are placing greater emphasis on road safety, especially for vulnerable road users such as motorcyclists. This focus has resulted in the enforcement of strict safety measures and regulations, prompting manufacturers to include sophisticated safety features in their motorcycles. Networked motorcycles with features like vehicle-to-infrastructure (V2I) communication, automatic emergency calling, and advanced rider assistance systems (ARAS) comply with these regulatory standards. The initiative by authorities to reduce road accidents and deaths is a driving force for the implementation of connected motorcycle technologies, thus fueling market growth.

Connected Motorcycle Market Restraints and Challenges:

The Connected Motorcycle Market is subject to various significant restraints and challenges that can hinder its growth and mass adoption. One of them is the lack of harmonized communication platforms and common connectivity standards. This harmonization shortage makes the creation and implementation of seamless Vehicle-to-Infrastructure (V2I) and Vehicle-to-Vehicle (V2V) communications more complicated since heterogeneity problems result from diverse technical standards among different territories. These variations require very comprehensive testing and compliance efforts, involving higher time and cost expenses for makers. A further important constraint is the large initial investment required for embedding advanced connectivity features into motorcycles. The use of IoT-capable sensors, communication modules, and telematics systems requires significant upfront investments, which consumers often pay higher prices for connected motorcycles compared to conventional ones. This price sensitivity can discourage potential customers, especially in emerging economies where affordability is of prime importance.  Moreover, data security and privacy issues pose serious challenges. With networked motorcycles capturing and sending huge volumes of data, such as location, usage habits, and personal details, the threat of data breaches or unauthorized access is a source of concern for consumers. Overcoming these issues calls for strong cybersecurity practices and transparent data protection policies to foster trust and drive adoption. In addition, regulatory challenges, like divergent safety, privacy, and data protection requirements across borders, complicate the rollout of connected motorcycle technology. Navigating this complex environment means that manufacturers must carry out rigorous testing and certification processes, leading to higher costs and time. Streamlining regulations across the world may make development and deployment easier, providing consistency and interoperability and driving market growth. Together, these issues highlight the importance of industry cooperation, regulatory alignment, cost-cutting measures, and strong cybersecurity protocols to overcome obstacles and fully capitalize on the potential of the connected motorcycle market.

Connected Motorcycle Market Opportunities:

The Connected Motorcycle Market is on the cusp of major growth, fueled by innovations in safety systems and embedded connectivity solution integration. Manufacturers are integrating features like collision avoidance and emergency alerts into motorcycles, making the rider safer and compliant with regulations. Embedded connectivity systems, with their superior reliability compared to tethered counterparts, facilitate real-time Vehicle-to-Vehicle (V2V) and Vehicle-to-Infrastructure (V2I) communication, enhancing safety and navigation further. In addition, the high volume of motorcycle sales and availability of progressive makers such as Honda and Yamaha in the Asia-Pacific region create tremendous opportunities for expansion in the market. They are currently developing connected models to respond to increased demands for cutting-edge safety and connectivity features. Joint ventures between well-known brands, like Harley-Davidson's collaboration with Hero MotoCorp, are focused on launching new motorcycle models with high-end connectivity features, which will bring premium motorcycles within the reach of a wider audience. In addition, the inclusion of connected motorcycles in smart city infrastructures provides the potential for enhanced traffic management and rider safety, as these motorcycles can interact with traffic systems to get real-time information about road conditions. The growth in emerging markets, especially in the Asia-Pacific region, is made possible by increasing disposable income and high-performance motorcycle demand, presenting a profitable region for connected motorcycle producers. Stakeholders can stimulate growth and innovation in the connected motorcycle market, creating a more efficient and secure transport ecosystem by taking advantage of these opportunities.

CONNECTED MOTORCYCLE MARKET REPORT COVERAGE:

Connected Motorcycle Market Segmentation:

Connected Motorcycle Market segmentation By Service Type:

• Driver Assistance
• Infotainment
• Safety
• Vehicle Management & Telematics
• Insurance
• Calling

Within the Connected Motorcycle Market, the infotainment service segment leads today with features such as touchscreen screens, navigation systems, music streaming, and smartphone connectivity, heightening the overall riding experience and drawing tech-smart consumers. At the same time, the driver assistance service segment is rapidly expanding, spurred by growing demand for alerting and warning riders of impending accidents or adjusting speed to minimize travel time, thus enhancing safety and traffic flow.

Connected Motorcycle Market segmentation By Hardware Type:

• Embedded
• Tethered
• Integrated

Hardware segmentation in the Connected Motorcycle Market comprises embedded, tethered, and integrated systems. Embedded hardware systems, which include elements such as electronic control units, GSM modules, and GPS systems, lead the market as of 2024 with around 70% share. They owe this leadership to their not requiring external devices and constant real-time safety. On the other hand, tethered hardware systems, which attach motorcycles to outside devices like smartphones, are seeing strong growth. Their growth is based on cost savings and greater integration of sophisticated software algorithms that support enhanced safety and security capabilities.  Hybrid systems, which blend characteristics of embedded and tethered systems, also exist in the marketplace.

Connected Motorcycle Market segmentation By Communication Type:

• Vehicle-to-Vehicle (V2V)
• Vehicle-to-Infrastructure (V2I)

In the Connected Motorcycle Market, Vehicle-to-Vehicle (V2V) communication has the largest market share at present, with around 70% in 2024. This is because V2V can provide increased rider safety through the exchange of real-time information between motorcycles and surrounding vehicles, thus lessening the chance of accidents and enhancing traffic efficiency. On the other hand, Vehicle-to-Infrastructure (V2I) communication is growing at a fast pace, led by the evolution of connected infrastructure and rising government efforts to enhance road safety. The growing adoption of V2I technology is anticipated to support market growth in the future.

Connected Motorcycle Market segmentation By Network Type:

• Cellular V2X (C-V2X)
• Dedicated Short-Range Communication (DSRC)

Within the Connected Motorcycle Market, network types are mainly bifurcated as Cellular Vehicle-to-Everything (C-V2X) and Dedicated Short-Range Communication (DSRC). C-V2X has come out to be the most influential and quickest-developing network type, representing more than 50% of global market share in 2024. C-V2X became the top market due to its superior features of low latency, high reliability, and better connectivity even under networks with limited network coverage. The increase in 5G technology also increases C-V2X capability, allowing communication between infrastructure and vehicles to become more seamless. DSRC, on the other hand, has been used in V2V and V2I communications, but its development has been relatively slower because it lacks scalability and is subject to changing technological standards.

Connected Motorcycle Market segmentation By Application:

• Motorcycle Approach Indication (MAI)
• Intersection

Within the Connected Motorcycle Market, the Motorcycle Approach Indication (MAI) application segment is not only the most rapidly growing segment but also the leading segment. This is because the number of motorcycle-related fatalities caused by drivers' ignorance of oncoming motorcycles on the road has been rising. MAI systems help address this very critical safety concern by notifying drivers of oncoming motorcycles on the road, hence mitigating the risks of collisions and overall road safety. The increasing integration of such innovative safety features on motorcycles highlights the segment's growth and dominance in the market.

Connected Motorcycle Market segmentation By End-User:

• Private
• Commercial

Commercial accounted for the leading market share in the Connected Motorcycle Market and held over 50% of total revenue in 2024. This is because connectivity features have been integrated that aid in the maintenance of the vehicle and prevent unexpected breakdowns, which are imperative for commercial usage. But the private end-user segment is expected to expand at a high rate during the forecast period, led by growing per-capita income and rising disposable income in developing as well as developed countries.

Connected Motorcycle Market Regional Analysis:

The Connected Motorcycle Market has pronounced regional differences, with North America at the top in terms of market share, representing about 40% of the world revenue in 2024. The region's lead is due to a high consumer appetite for safety features and new technologies, fueled by a developed motorcycle industry and high safety regulations. Europe ranks second, taking advantage of its major manufacturers and developed infrastructure capable of supporting connected technologies. The Asia-Pacific region is becoming the fastest-growing market, fueled by high numbers of motorcycle users, rapid urbanization, and rising disposable incomes, all of which enhance the demand for connected motorcycle technologies. Smart mobility initiatives by governments and the availability of major motorcycle manufacturers also fuel growth in the region.

COVID-19 Impact Analysis on the Connected Motorcycle Market:

The COVID-19 crisis severely impacted the networked motorcycle industry, largely because of manufacturing closures and supply chain disruptions. For example, TVS Motor Company had domestic two-wheeler sales in March 2020 that decreased by 62% year over year, ascribing the sudden drop to pandemic-related production stops. Likewise, Harley-Davidson also suffered greatly, registering a 35% decline in revenue during the fourth quarter of 2024 and shutting down several dealerships as consumer spending slowed down amidst the economic downturns. Nevertheless, following the relaxation of restrictions, a significant trend shift towards personal mobility solutions was recorded, with customers opting for safer means of personal mobility compared to public transport. This shift in consumer trends has triggered new interest in motorcycles with high-end connectivity features, setting the market up for potential recovery and growth in the post-pandemic era.

Recent Trends/Developments:

The COVID-19 crisis severely impacted the networked motorcycle industry, largely because of manufacturing closures and supply chain disruptions. For example, TVS Motor Company had domestic two-wheeler sales in March 2020 that decreased by 62% year over year, ascribing the sudden drop to pandemic-related production stops. Likewise, Harley-Davidson also suffered greatly, registering a 35% decline in revenue during the fourth quarter of 2024 and shutting down several dealerships as consumer spending slowed down amidst the economic downturns. Nevertheless, following the relaxation of restrictions, a significant trend shift towards personal mobility solutions was recorded, with customers opting for safer means of personal mobility compared to public transport. This shift in consumer trends has triggered new interest in motorcycles with high-end connectivity features, setting the market up for potential recovery and growth in the post-pandemic era.

Key Players in the Connected Motorcycle Market:

1. Harley-Davidson
2. Yamaha Motor Company
3. Ola Electric
4. Monimoto
5. Honda Motor Company
6. BMW Motorrad
7. Kawasaki Heavy Industries
8. Suzuki Motor Corporation
9. Ducati Motor Holding
10. KTM AG