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Automotive Over-The-Air (OTA) Updates Market

Automotive Over-The-Air (OTA) Updates Market Size, Share & Segmentation by Technology (Firmware Over-the-Air (FOTA), Software Over-the-Air (SOTA)), by Application (Telematics Control Unit, Electronic Control Unit, Infotainment, Safety & Security, Others), by Vehicle Type (Passenger Vehicles, Commercial vehicles, Electric vehicles), by Regions and Global Market Forecast 2022-2028

Report Id: SNS/AUTO/1955 | June 2022 | Region: Global | 130 Pages

Report Scope & Overview:

Automotive Over-The-Air (OTA) Updates Market Size was valued at USD 3.32 billion in 2021 and is expected to reach USD 10.96 billion by 2028 and grow at a CAGR of 18.6% over the forecast period 2022-2028.

Over-the-air (OTA) is a method of transmitting data or conducting transactions without the use of a wired network. New software, configuration settings, firmware, and other update tools can be distributed over the cloud using a variety of ways known as over-the-air. ECU (Electronic Control Units) are becoming more common in current vehicles, so the firmware or software may be updated wirelessly through a gateway in the automobile to the ECUs (Electronic Control Units). Vehicles are becoming more and more intelligent and aware as the industry develops.

Automotive Over-The-Air (OTA) Updates Market Revenue Graph

Over-the-air upgrades deliver new firmware, software, and other services via the cloud. These updates were initially only accessible on mobile devices such as cellphones. In recent years, the growth of the Automotive over the Air Updates Market has been tremendous. This can be attributed to the dramatic rise in the number of linked autos all over the world as well as the spike in the use of software within vehicles.

Ford and Google made the announcement of their unique strategic relationship in the year 2021. The goal of this cooperation is to accelerate Ford's transition and reimagine the connected automobile experience with embedded Google apps and services.

MARKET DYNAMICS: 

KEY DRIVERS: 

  • Growth of connected vehicle usage.

  • Demand for electric automobiles is on the rise.

  • Automobiles are subject to strict government restrictions on safety and cyber security.

  • The government's efforts to introduce linked car technologies.

RESTRAINTS: 

  • Over-the-air updates have a high cost.

  • The lack of infrastructure in developing countries may limit economic growth.

OPPORTUNITIES: 

  • In the automotive business, the Internet of Things (IoT) has emerged.
  • The Automotive over the Air Updates Market will benefit from a greater reliance on new technology.
  • As a result of stricter regulations governing cybersecurity, the industry is predicted to rise in the next years as well.

CHALLENGES: 

  • The Market faces significant threats from cyber-attacks and software hacking.

  • Concerns regarding the protection of personal information and its privacy.

IMPACT OF COVID-19:

COVID-19 has presented the globe with a hitherto unimagined economic, humanitarian, and healthcare crisis. Lockdown measures have worked to slow the spread of the coronavirus, but they have come at a high cost in terms of money. On the business front, the car industry has been particularly badly impacted. While lockdowns and shelter-at-home orders are assisting in the containment of the coronavirus, they have also resulted in great financial hardship. Furthermore, pandemic industry leaders are developing new ways to integrate critical information such as contact information, a list of nearby hospitals/medical centers, and quick reference information for primary symptoms with official local governmental guidance, as well as improved user experience. Furthermore, COVID-19 has had an impact on the operations of several OEMs, ranging from production to R&D.

KEY MARKET PLAYERS:

Robert Bosch GmbH, Continental AG, NXP Semiconductors N.V, Verizon Communications, Inc., Airbiquity Inc, Infineon Technologies AG, Qualcomm Incorporated, Intel Corporation, HARMAN International, Aptiv, HERE Technologies, BlackBerry QNX Software Systems Limited, Garmin Ltd., and Intellias Ltd. are some of the affluent competitors with significant market share in the Automotive Over-The-Air (OTA) Updates Market.

MARKET ESTIMATION: 

Market, By Technology Type:

The global market has been divided into Firmware Over-the-Air (FOTA), and Software Over-the-Air (SOTA) based on the technology type segment. The global OTA updates market is dominated by the SOTA updates segment. The FOTA updates market, on the other hand, is expected to develop at the greatest CAGR throughout the projection period. Automotive SOTA updates are predicted to expand because of the increasing number of infotainment applications such as real-time traffic updates and park assist.

Market, By Application:

The global market has been divided into Telematics Control Unit, Electronic Control Unit, Infotainment, Safety & Security, and Others based on the application segment. The telematics control unit (TCU) is expected to hold the largest proportion of the global market for automotive OTA updates. The OTA updates market is expected to have the infotainment application as the second-largest segment, followed by ECUs, safety and security, and others. Programs and applications for the user interface are also included in this area.

Market, By Vehicle type:

The global market has been divided into passenger vehicles, commercial vehicles, and electric vehicles based on the vehicle type segment. Electric Vehicles (EV) are further classified as Hybrid Electric Vehicles (HEV), Battery Electric Vehicles (BEV), and Plug-in Hybrid Electric Vehicles (PHEV). The Passenger Cars sector is predicted to grow at the fastest CAGR during the forecast period, owing to rising income levels and a significant difference in the amount of money spent on car safety and security for private-use automobiles.

MARKET SEGMENTATION:

By Technology Type:

  • Firmware Over-the-Air (FOTA)

  • Software Over-the-Air (SOTA)

By Application:

  • Telematics Control Unit

  • Electronic Control Unit

  • Infotainment

  • Safety & Security

  • Others

By Vehicle Type:

  • Passenger vehicles

  • Commercial vehicles

  • Electric vehicles

Automotive Over-The-Air (OTA) Updates Market Segment Chart

REGIONAL ANALYSIS:

The market for automotive over-the-air updates is divided into five different segments based on geographic location: North America, Europe, South America, Asia-Pacific, and the Middle East and Africa. The market share for automotive over-the-air updates is now held by North America in the highest possible proportion. It is expected that the Asia-Pacific area will have the highest growth rate by the year 2028. In the years to come, it is anticipated that the most lucrative regions for the Automotive Over the Air Updates Industry will be located in either Europe or the Asia-Pacific region. The most important players in the market are shelling out a significant amount of capital to develop real-time vehicle solutions that protect against cyberattacks. Starting in July 2022, a newly enacted legislation on cyber security will be obligatory for all different kinds of cars within the European region. Japan and South Korea are leading the way in developing new regulations for online safety in the Asia-Pacific region.

REGIONAL COVERAGE:

  • North America

    • The USA

    • Canada

    • Mexico

  • Europe

    • Germany

    • The UK

    • France

    • Italy

    • Spain

    • The Netherlands

    • Rest of Europe

  • Asia-Pacific

    • Japan

    • south Korea

    • China

    • India

    • Australia

    • Rest of Asia-Pacific

  • The Middle East & Africa

    • Israel

    • UAE

    • South Africa

    • Rest of Middle East & Africa

  • Latin America

    • Brazil

    • Argentina

    • Rest of Latin America

Automotive Over-The-Air (OTA) Updates Market Report Scope:
Report Attributes Details
Market Size in 2021 US$ 3.32 Billion
Market Size by 2028 US$ 10.96  Billion
CAGR CAGR of 16.8% From 2022 to 2028
Base Year 2021
Forecast Period 2022-2028
Historical Data 2017-2020
Report Scope & Coverage Market Size, Segments Analysis, Competitive  Landscape, Regional Analysis, DROC & SWOT Analysis, Forecast Outlook
Key Segments • by Technology (Firmware Over-the-Air (FOTA), Software Over-the-Air (SOTA))
• by Application (Telematics Control Unit, Electronic Control Unit, Infotainment, Safety & Security, Others)
• by Vehicle Type (Passenger Vehicles, Commercial vehicles, Electric vehicles)
Regional Analysis/Coverage North America (USA, Canada, Mexico), Europe
(Germany, UK, France, Italy, Spain, Netherlands,
Rest of Europe), Asia-Pacific (Japan, South Korea,
China, India, Australia, Rest of Asia-Pacific), The
Middle East & Africa (Israel, UAE, South Africa,
Rest of Middle East & Africa), Latin America (Brazil, Argentina, Rest of Latin America)
Company Profiles Robert Bosch GmbH, Continental AG, NXP Semiconductors N.V, Verizon Communications, Inc., Airbiquity Inc, Infineon Technologies AG, Qualcomm Incorporated, Intel Corporation, HARMAN International, Aptiv, HERE Technologies, BlackBerry QNX Software Systems Limited, Garmin Ltd., and Intellias Ltd
Key Drivers •Growth of connected vehicle usage.

•Demand for electric automobiles is on the rise.

•Automobiles are subject to strict government restrictions on safety and cyber security.
RESTRAINTS •Over-the-air updates have a high cost.

•The lack of infrastructure in developing countries may limit economic growth.


Frequently Asked Questions (FAQ) :


Table of Contents

 

1. Introduction

1.1 Market Definition

1.2 Scope

1.3 Research Assumptions

 

2. Research Methodology

 

3. Market Dynamics

3.1 Drivers

3.2 Restraints

3.3 Opportunities

3.4 Challenges

 

4. Impact Analysis

4.1 COVID-19 Impact Analysis

4.2 Impact of the Ukraine-Russia War

 

5. Value Chain Analysis

 

6. Porter’s 5 forces model

 

7.  PEST Analysis

 

8. Global Automotive Over-The-Air (OTA) Updates Market Segmentation, By Technology Type

8.1 Firmware Over-the-Air (FOTA)

8.2 Software Over-the-Air (SOTA)

 

9. Global Automotive Over-The-Air (OTA) Updates Market Segmentation, By Application

9.1 Telematics Control Unit

9.2 Electronic Control Unit

9.3 Infotainment

9.4 Safety & Security

9.5 Others

 

10. Global Automotive Over-The-Air (OTA) Updates Market Segmentation, By Vehicle Type

10.1 Passenger vehicles

10.2 Commercial vehicles

10.3 Electric vehicles

 

11. Regional Analysis

11.1 Introduction

11.2 North America

11.2.1 the USA

11.2.2  Canada

11.2.3  Mexico

11.3 Europe

11.3.1  Germany

11.3.2  the UK

11.3.3  France

11.3.4  Italy

11.3.5  Spain

11.3.6  The Netherlands

11.3.7  Rest of Europe

11.4 Asia-Pacific

11.4.1  Japan

11.4.2  South Korea

11.4.3  China

11.4.4  India

11.4.5  Australia

11.4.6  Rest of Asia-Pacific

11.5 The Middle East & Africa

11.5.1  Israel

11.5.2  UAE

11.5.3  South Africa

11.5.4  Rest

11.6 Latin America

11.6.1  Brazil

11.6.2  Argentina

11.6.3  Rest of Latin America

 

12. Company Profiles

12.1 Robert Bosch GmbH,

12.1.1 Financial

12.1.2 Products/ Services Offered

12.1.3 SWOT Analysis

12.1.4 The SNS view

12.2 Continental AG

12.3 NXP Semiconductors N.V

12.4 Verizon Communications, Inc.

12.5 Airbiquity Inc

12.6 Infineon Technologies AG

12.7 Qualcomm Incorporated

12.8 Intel Corporation

12.9 HARMAN International

12.10 Aptiv

12.11 HERE Technologies

12.12 BlackBerry QNX Software Systems Limited

12.13 Garmin Ltd.

12.14 Intellias Ltd.

 

13. Competitive Landscape

13.1 Competitive Benchmarking

13.2 Market Share analysis

13.3 Recent Developments

 

14. Conclusion

An accurate research report requires proper strategizing as well as implementation. There are multiple factors involved in the completion of a good and accurate research report and selecting the best methodology to complete the research is the toughest part. Since the research reports, we provide play a crucial role in any company’s decision-making process, therefore we at SNS Insider always believe that we should choose the best method which gives us results closer to reality. This allows us to reach a stage wherein we can provide our clients best and most accurate investment to output ratio.

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The 5 steps process:

Step 1: Secondary Research:

Secondary Research or Desk Research as the name suggests is a research process wherein, we collect data through readily available information. In this process, we use various paid and unpaid databases to which our team has access and gather data through the same. This includes examining listed companies’ annual reports, Journals, SEC filling, etc. Apart from this, our team has access to various associations across the globe across different industries. Lastly, we have exchange relationships with various universities as well as individual libraries.

Secondary Research

Step 2: Primary Research

When we talk about primary research, it is a type of study in which the researchers collect relevant data samples directly, rather than relying on previously collected data.  This type of research is focused on gaining content-specific facts that can be sued to solve specific problems. Since the collected data is fresh and first-hand therefore it makes the study more accurate and genuine.

We at SNS Insider have divided Primary Research into 2 parts.

Part 1 wherein we interview the KOLs of major players as well as the upcoming ones across various geographic regions. This allows us to have their view over the market scenario and acts as an important tool to come closer to accurate market numbers. As many as 45 paid and unpaid primary interviews are taken from both the demand and supply sides of the industry to make sure we land an accurate judgment and analysis of the market.

This step involves the triangulation of data wherein our team analyses the interview transcripts, online survey responses, and observation of on-field participants. The below-mentioned chart should give a better understanding of part 1 of the primary interview.

Part 2: In this part of the primary research the data collected via secondary research and part 1 of the primary research is validated with the interviews with individual consultants and subject matter experts.

Consultants are those set of people who have at least 12 years of experience and expertise within the industry whereas Subject Matter Experts are those with at least 15 years of experience behind their back within the same space. The data with the help of two main processes i.e., FGDs (Focused Group Discussions) and IDs (Individual Discussions). This gives us a 3rd party nonbiased primary view of the market scenario making it a more dependable one while collation of the data pointers.

Step 3: Data Bank Validation

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Step 4: QA/QC Process

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Step 5: Final QC/QA Process:

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