The IoT in Mobility Market was valued at USD 4.8 billion in 2022 and is estimated to reach USD 17.56 billion by 2030, registering a CAGR of 17.6% during the forecast period of 2022 – 2030. The advancement in technologies like high-definition mapping, sensor processing technologies adaptive algorithms, and vehicle-to-vehicle communication technologies have played a vital role in vehicle tracking, safety management, predictive maintenance, etc. This has resulted in improving the overall operational efficiency and is acting as a key force driving the growth of the market.
INDUSTRY OVERVIEW
While the commercial and industrial sectors struggle to comprehend the impact and applications of IoT technology on their supply chains and production capacities, the transportation and logistics industries are paving the way. Transport and logistics firms, by their very nature, rely on massive amounts of data that must be adjusted in real-time over widely dispersed networks. The benefits of sensors and linked technology are instantly apparent when it comes to managing the data flows and modifications required to transport commodities by air, land, sea, and rail.
Automation has realigned how industries conduct their business across the world. Automation in industries has provided the business with safer, faster, and stronger solutions, which has empowered businesses with more key information and insights with more speed and depth than ever before. Automation of repetitive tasks is currently a concept that interests many industries. Thus, with the integration of the Internet of Things (IoT) with vehicles, the global transportation infrastructure is rapidly evolving.
Technological advancements in sensor-processing technologies, high-definition mapping, adaptive algorithms, and the deployment of infrastructure-to-vehicle and vehicle-to-vehicle communication technologies are promoting numerous companies to expand their production capacities and take vehicle automation to the next level. Automated vehicles are likely to improve vehicle efficiency, enhance travel comfort, and also improve remote vehicle monitoring. Businesses that are related to logistics and transportation are the major beneficiary of IoT technology as it helps businesses to maintain costs, fuel management, maximize profitability, and reduce fleet vehicle risk. Furthermore, it provides solutions regarding driver management and also enhances the safety of vehicles & drivers, and operational competency with real-time fleet tracking analysis. The risen e-commerce activities have boosted the IoT in the mobility automation market. As delivery is an important segment of this business and organizations are widely adopting the automation techniques that empower them with enhanced monitoring tools to improve overall fleet safety, customer services, and increase visibility & profitability with process management & research. However, factors such as cost sensitivity among local players and lack of uninterrupted & robust internet infrastructure may act as a decelerating factor to market growth around the world.
COVID-19 IMPACT ON IoT IN MOBILITY MARKET
The pandemic has not only created havoc in the healthcare sector but has also adversely affected the global economy and industries. The lockdown imposed by the government as a precautionary measure to curb the widespread of the virus led to supply chain disruptions that caused difficulty in the procurement of raw materials, shortage of laborers, and also price rise due to an increase in demand has affected the industry negatively. However, changing lifestyles like people preferring e-commerce for shopping, getting their food delivered from digital platforms, etc. have also caused companies to restructure their business operations and adjust accordingly to the changing landscape. Companies will need to increase operating capacity rapidly to support the increasing demand for delivery services and logistics. Therefore, deploying IoT solutions serves as a viable solution because it helps to reduce costs, enhances operational efficiency, and increases delivery network capacity. Thus, the aforementioned factors are strongly influencing the growth of IoT in the mobility market.
MARKET DRIVERS:
The use of IoT in mobility has resulted in improving the overall efficiency of the mobility sector which is acting as a major factor driving the market growth
Direct benefits, such as making modes of transportation more accessible, flexible, and reliable for both customers and enterprises are propelling the IoT in Mobility market growth. Connecting drivers and customers for improved services is another aspect boosting the industry's growth. The adoption of e-commerce and digital platform for activities like shopping, dining, etc. has influenced the supply and logistics sectors to use advanced IoT solutions thus the enterprises are rapidly adopting IoT solutions. Automation features like fuel usage monitor, GPS tracking and geofencing, alarm systems, and asset trackers are being widely used for effective operations of the logistics sector. Adoption of automation features has resulted in reduced pilferage of items, increased fuel efficiency, and better tracking of the vehicles and products among others have encouraged businesses to opt for IoT solutions for their operations which is, in turn, fueling the market growth.
The use of IoT in business operations has enabled companies to obtain powerful predictions and rapid responses to any sudden stimulus are propelling the market expansion
Employees may take a stand to learn how to adapt swiftly or better to evolving market trends when organizational mobility is combined with IoT. Furthermore, assisting corporate staff in being more sensitive to the market in response to consumer wants or needs can lead to the development of more productive and effective business strategies. With the use of IoT in mobility, it will be easier to track and analyze the patterns of all client interactions. The data obtained through this capability is used by the business to obtain exact information that can be used to improve and enhance their services to better serve their clients.
MARKET RESTRAINTS:
Security and Privacy Issues related to the use of connected devices are a reason hampering the market growth
The increase in usage of digital features poses security and privacy issues. The high risk of hackers accessing the system data and unauthorized access to the vehicle can be exploited for carrying out malicious or criminal activities, including robberies and planned crimes. The business has confidential data with them and alarming growth in several cyber-attacks, data leakage, and false data injection in various industry verticals are hampering the adoption. However, significant investments in cyber security are set to offset this challenge and promote healthy growth during the later stages of the forecast period 2023 - 2030.
The integration of IoT solutions with different industry segments is still in a nascent phase and requires huge capital investment
IoT technology is still a developing industry and is still in the nascent stage. The use of IoT technology in any industry makes use of many technologies and high-end equipment which are expensive. Moreover, a large amount of data is generated while using IoT services. Managing and storing such data would be a meticulous and cumbersome process. This would further increase the input cost hence; this could affect the growth of IoT in the mobility segment negatively.
IOT IN MOBILITY MARKET REPORT COVERAGE:
|
REPORT METRIC |
DETAILS |
|
Market Size Available |
2023 - 2030 |
|
Base Year |
2023 |
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Forecast Period |
2024 - 2030 |
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CAGR |
17.6% |
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Segments Covered |
By Components, By Vehicle Type, By feature, By Deployment Model and Region |
|
Various Analyses Covered |
Global, Regional & Country Level Analysis, Segment-Level Analysis, DROC, PESTLE Analysis, Porter’s Five Forces Analysis, Competitive Landscape, Analyst Overview on Investment Opportunities |
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Regional Scope |
North America, Europe, APAC, Latin America, Middle East & Africa |
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Key Companies Profiled |
Nxp Semiconductors N.V, Precious Shipping Public Co., Robert Bosch GmbH, and Google (Alphabet Inc.) Cisco Systems, IBM Corporation, CalAmp, Harman International Industries, Intel Corporation DENSO Corporation, Sierra Wireless, and Globecomm Systems |
This research report IoT in IoT in Mobility Market has been segmented and sub-segmented based on Components, By Vehicle Type, By feature, By Deployment Model, and By Region.
Hardware
Services
Software
Based on components, the IoT in Mobility Market is segmented into Hardware, Software, and Services. Among these, the Hardware segment dominated the market share in 2021 and is projected to expand with a healthy CAGR over the forecast period. IoT technology solutions assist enterprises in integrating a variety of business operations, thereby accelerating the IoT in the mobility industry’s growth. With minimal infrastructure expenditure, integrating IoT-enabled technology with current processes is projected to improve the overall operational efficiency of the companies. An IoT device may be effortlessly deployed to wirelessly operate and monitor an E-scooter, E-bike, moped, or any other vehicle, allowing the user to transmit orders to the vehicle and have them executed, as well as monitor the vehicle's position in real-time and track any mistakes.
The services segment contributed the maximum market share and accounted for over 50% of revenue share in 2020. The segment is expected to continue to capture the market over the forecast period. Factors attributing to this growth are the need for automation in the process to reduce the operational cost, minimize downtime, the need for real-time communication, and increased adoption of IoT-enabled control systems.
E-Bike
E-Scooter
Cars
Trucks
Others
Based on vehicle type, the IoT as a technology is widely being used in modern transport facilities like E-bike, Trucks, Scooters, and cars among others. Among these, the trucking segment contributed significantly to the expansion of the market. Revenues in the trucking market are continuously expanding. Market expansion is fueled by factors such as thriving logistics firms throughout the world and rising digitalization and automation in the automotive industry. The latest technological advancements and widespread internet connection have made it possible for anyone to benefit from the convenience of IoT-enabled trucks. The trucks with enabled IoT technology provide data and analytics related to driver management. Driver management in the mobility sector provides a solution that includes, driver registration, insurance risk management, and analysis. The prime objective of driver management is to analyze drivers’ behavior and suggest necessary changes to driving styles, which will reduce fuel consumption and also reduce vehicle running costs. The logistics companies are putting a strong emphasis on asset management and are thereby using digital features for smart transportation.
The innovation of the E-bike has also contributed significantly to the market growth of the worldwide IoT solutions for the mobility industry. E-bikes are becoming more popular in numerous nations because they are dependable, easy to ride, affordable, and help people live and travel more sustainably. They are gradually replacing bicycles, and in certain countries, such as China, they have already superseded fossil fuel-powered mopeds and small motorcycles thus propelling the IoT-enabled mobility market growth.
Rider and operator Management
Asset Monitoring & Management
Telematics
Safety & Security
Analytics
Others
Based on features, the IoT in Mobility Market is segmented into Rider and operator Applications, Asset Monitoring Management, Dashboard, Telematics, Safety & Security, and Analytics among others. Among these, the asset management sector contributed significantly to the market growth. The logistics companies are putting a strong emphasis on asset management and are thereby using digital features for smart transportation. Smart tracking solutions like Bluetooth tags and beacons have replaced the conventional RFID tags, which has helped in a better and wide range of functionalities. Furthermore, the integration of IoT in vehicles will aid in connectivity and monitoring of various business activities that would eventually help in promoting efficiency. The rider and operator management segment can also be credited for the market growth. The companies are widely using IoT-enabled devices to monitor and manage the operator. Adoption of automation features has resulted in reduced pilferage of items, increased fuel efficiency, and better tracking of the vehicles and products among others have encouraged businesses to opt for IoT solutions for their operations which is, in turn, fueling the market growth.
The Safety and Security features brought in by the use of IoT technology are also fueling the market expansion. The increased need for predictive maintenance technology from fleet operators to reduce downtime is largely responsible for this segment's rapid rise. The increase in the adoption of new and disruptive business solutions that felicitate industries in predicting and managing failures and better optimization of resources and assets is influencing the market towards a positive trend.
On-Premise
On Cloud
Hybrid
Based on the deployment model Fleet, the IoT in the mobility market can be divided into three segments, On-Premise, On-demand, and hybrid mode. Of all the deployment types, the cloud-based segment registered over 5o% of the market share in 2020. Factors like growing demand for operational efficiencies among businesses, better management of fuel usage, and enhanced monitoring of the vehicles are accelerating the growth of the IoT in the mobility market.
By region, IoT in the mobility market is grouped into North America, Europe, Asia Pacific, Latin America, The Middle East, and Africa. The North American region contributed the maximum to the growth of the IoT in the Mobility market. North America dominated the IoT in the mobility market with over 35% of the market share in 2020. The market growth in the region is attributed to substantial users of the internet, the presence of a higher number of smart cities, and high investments in up-gradation towards the latest technology are the major driving force for the growth in this region. Canada has also been a major market for this industry and has witnessed significant growth, especially due to the policies pursued by the government to promote the adoption of IoT solutions in the country.
Europe and Asia pacific also depicted substantial growth in the market. Governments across the world are focusing on developing sustainable, safe, and connected transport, as the transport sector is the key contributor to its economic growth. A growing number of IoT-enabled mobility solutions will further improve asset monitoring and optimize logistics processes thereby boosting the economy. The sudden drift of consumers to e-commerce platforms from conventional retail stores has driven the demand for robust logistics support. Due to rapid urbanization, improved disposable income, and a shift towards digitalization Asia Pacific is also poised to be the fastest-growing market during the forecast period. The region is increasingly witnessing a strong adoption of advanced automation solutions, typically in Japan, China, and Taiwan, owing to the emerging competitive landscape, growing connected solution offerings, and high demand for online shopping platforms. Industries across the region are gradually realizing the benefits associated with the implementation of automation and are moving towards modernizing their operations.
IoT IN MOBILITY MARKET – BY COMPANIES
Some of the prominent players in the market include:
The presence of so many large corporations in this space, makes this industry fragmented and highly competitive. The level of competitiveness has been gradually increasing due to high market consolidation by market leaders. Big players have already been investing in cloud-based technologies owing to a larger amount of data generated by using IoT technologies. Companies are focusing on product launches, acquisitions, and R&D activities to capture the market spaces.
NOTABLE HAPPENING IN IoT IN MOBILITY MARKET
Global automotive lighting refers to all vehicle lighting systems, from headlamps that illuminate the road to taillights that communicate movements. They guarantee motorists and other road users alike safety, visibility, and style. While taillights frequently use LEDs for improved visibility, headlights are available in a variety of technologies, including LED and laser. Interior illumination, DRLs, and signal lights all have a role to play. This market, which was estimated to be worth $33.64 billion in 2022, is anticipated to rise to $67.39 billion by 2030 because of laws, luxury tastes, safety concerns, and technological developments like OLED taillights and adaptive headlights. Anticipate a future dominated by intelligent, connected, personalized, and sustainable lighting systems that enhance the safety, efficiency, and aesthetic appeal of automobiles.
Car lighting works its magic to provide safety, visibility, and style. Headlights cut through the night, taillights express intent, and interiors shine with comfort. The billion-dollar global business is expected to rise due to consumer demand for high-end experiences, safer roads, and cutting-edge technology. Imagine dynamic messages being painted by taillights, headlights that adjust to the road, and interiors that customize their atmosphere. Driven by technological advancements like linked systems and laser beams, this future is calling. Anticipate even more visually attractive, environmentally friendly, and intelligent lighting to illuminate the way ahead, making cars safer, more efficient, and unquestionably cooler.
In the market for automobile lighting, safety is the driving force behind demand from the public and laws. While automated high beams smoothly react to traffic, adaptive headlights modify their beams so as not to blind other people. With visually striking displays, dynamic taillights convey intentions for braking and turning. Beyond these developments, integrated pedestrian identification and lane departure alerts will soon make roads safer and brighter for everyone.
Luxurious automobile lighting creates a distinct visual identity that goes beyond simple illumination. Personalized interior lighting customizes the driving experience by setting the mood with a range of colours and intensities, while intricate designs and distinctive DRLs modify exteriors. As you approach your automobile at night, welcoming lights lead the way, resulting in an interior that is perfectly lit. Not only is this symphony of light aesthetically pleasing, but it also stands as a tribute to luxury. Upcoming developments like gesture-controlled lighting and holographic displays promise to further enhance the experience.
The worldwide automotive lighting market is undergoing a significant transition towards energy-efficient solutions, as environmental concerns gain prominence. LED technology is leading the way, providing a ray of hope for the environment and drivers alike. LED lights beam brighter and use a lot less energy than conventional halogen lamps. There are some tangible advantages to this. For drivers, this translates to increased fuel economy, which lowers petrol prices and lessens reliance on fossil fuels. Greater air quality and a reduction in the transport sector's contribution to climate change are the results of reduced overall emissions.
Although the global automotive lighting business is booming, there are still unknowns. Difficulties impede growth even as innovation propels it with eye catching features like laser beams and adaptable headlights. These technologies are luxury items due to their high cost and difficult integration, which puts producers' abilities to the test. The worldwide patchwork created by unclear legislation limits the potential of innovation. Durability issues persist, particularly when complex systems are subjected to challenging conditions. Ultimately, a lot of drivers still don't fully understand how these improvements can help them. Together, we can overcome these obstacles. The keys to reducing costs are improved production, more seamless integration, and unified regulations. Their full potential can be realized by educating customers about the safety, efficiency, and aesthetic value of these lighting wonders. By working together, we can pave the way for an even brighter and safer future for vehicle lighting.
It is made possible by advanced LED technology, which gives drivers the ability to customize their illumination for the highest level of comfort and flair. Consumers that care about the environment want greener products, and vehicle lighting complies. While solar- and self-powered lighting technologies offer a future powered by clean energy, energy-efficient LEDs lower pollution. The advent of connected lighting systems heralds a new age. Envision automobiles interacting with infrastructure and one another to minimize accidents and enhance traffic efficiency. Integrated headlights with pedestrian recognition provide unmatched safety, while dramatic taillights with eye-catching displays alert onlookers to your intentions. The possibilities are endless in the future. Gesture-controlled interior illumination, holographic displays projected onto the road, and even light fixtures with self-healing capabilities.
Due to laws requiring safety features like headlights, taillights, and brake lights, exterior lighting presently holds the most market share in the vehicle lighting industry. The dominance of this market is partly attributed to advancements in safety-focused technologies such as adaptive headlights and daytime running lights. The market value of external lighting is increased by the quick adoption of technology like LED bulbs and laser lights, which improve performance and aesthetics. Conversely, the interior lighting market is expected to increase at the fastest rate in the upcoming years. Innovations like ambient lighting and technology breakthroughs like LED and OLED displays, driven by consumer demand for comfort and personalisation, open new possibilities. The spread of sophisticated interior lighting systems is further driven by the growing emphasis on safety and the expansion of the luxury car market.
The worldwide vehicle lighting market is currently dominated by halogen because of its more affordable price, advanced technology, and useful illumination. With its dependable supply chain and affordable option for manufacturers and cost-conscious customers, halogen holds the biggest market share. The fastest-growing market right now is LEDs, which are predicted to shortly overtake halogen. The rapid expansion of LEDs is driven by their higher efficiency, longer lifespan, flexibility in design, and technological breakthroughs including enhanced brightness. Because LEDs use less energy and produce fewer emissions and better fuel economy, they are becoming more and more popular in the changing automotive lighting market.
Passenger automobiles rule the worldwide automotive lighting market. The sheer number of passenger cars produced which surpasses that of business vehicles and fuels the need for lighting systems is the primary cause of this popularity. The growing demand for personal automobiles in developing nations is a result of rising disposable income, which in turn drives the rise of the passenger car market. The importance that consumers place on safety and aesthetics elements helps to drive market expansion. But in the upcoming years, the market for electric and hybrid cars is expected to develop at the quickest rate. The exponential rise of the worldwide electric car market, which is still expanding and shows no signs of slowing down, is what is driving this surge. Specialised lighting solutions are required since electric and hybrid vehicles have different lighting requirements because of their specific functionality and design aesthetics.
Most lighting systems sold nowadays are sold by OEMs (Original Equipment Manufacturers), primarily because manufacturers pre-install lighting systems in new cars. But in the next years, the aftermarket is expected to develop at the quickest rate. This spike in demand for replacement parts, especially lighting systems, can be linked to several variables, one of them being the average age of cars. The industry is expanding because of consumers' growing desire to personalise their cars with aftermarket lighting upgrades such LED upgrades and decorative lighting. The availability and affordability of technologies like adaptive headlights and laser lights in the aftermarket, together with other advancements in lighting technology, are driving demand even more. Moreover, the growing market for electric cars (EVs).
Throughout the forecast period, Asia Pacific is anticipated to be the automotive lighting market with the highest profitability. Over the past few years, Asia Pacific countries like China and India have seen notable increases in automotive manufacturing and sales, primarily in the medium-to premium luxury car segment. Asia Pacific is predicted to see an increase in the manufacturing of passenger cars, with India experiencing the strongest growth rate. Depending on the state of the national economy, the area offers a suitable selection of both high-end and cheap cars. For instance, there is a substantial demand for halogen, Xenon/HID, and LED since China and India produce more economy and mid-range automobiles. On the other hand, luxury car adoption rates are greater in South Korea and Japan, where LED lighting is the norm.
A brief shadow was thrown by COVID-19 over the worldwide automotive lighting market. Production was stopped by lockdowns and supply chain disruptions, while luxury lighting upgrades were shelved by consumers on a tight budget. Resources became scarce, and R&D stagnated. Still, the market is recovering thanks to resurgent demand and rearranged priorities. While energy-efficient LEDs are being pushed towards adoption by sustainability, safety concerns are driving interest in features like pedestrian detection and adaptive headlights. The digital push of the epidemic creates opportunities for intelligent, networked lighting systems that may interact with infrastructure and other cars. Ultimately, the industry is positioned to shine brighter, focused on safety, sustainability, and a connected future, even though the pandemic dimmed its brilliance.
A development collaboration between OSRAM Continental and REHAU aims to incorporate lighting into external components, providing automobile manufacturers with innovative lighting options that improve functionality and design flexibility. For rear combination lamps, Hella unveiled a revolutionary lighting innovation called Hella FlatLight technology. A Memorandum of Understanding (MoU) was signed by Samvardhana Motherson Automotive Systems Group BV (SMRPBV), a division of Motherson Group, and Marelli Automotive Lighting to investigate a technology collaboration focused on intelligently lighted external body components. Valeo debuted their revolutionary 360° lighting system at the Shanghai Auto Show. This technology surrounds the car with a band of light, projecting instantaneous, clear signs that other drivers can see from a distance. Pedestrians, cyclists, and scooter riders are especially susceptible to these signals
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