A Profitable Future

17 February 2014

In-vehicle connectivity is the latest trend within the automotive and mobile industries. According to research conducted by the GSM Association, by 2015, one in five cars sold will come with embedded connectivity and half of cars on the road will have connectivity by some means, even if it’s just via tethering from a smartphone.

In fact, the mobile industry is anticipating this market to generate about $51.59 billion USD (€39 billion) by 2018. Clearly this integration is becoming a highly profitable opportunity for both the automotive and mobile industries.

In-vehicle technology has been a developing trend over the past two decades. According to a 2012 Deloitte study, by the end of the 1990’s, automakers began embedding cellular technologies and exploring wireless connected services. These early developments typically were directed towards enhancing driver safety and included features such as automated crash notification, emergency roadside assistance (ERA), and vehicle locator services.

This “connected vehicle” industry continues to develop. Today wireless users enjoy constant connectivity through services such as cloud-based music, social networking, and online shopping. Going forward, consumers expect this same connectivity even in their vehicles.

The GSMA estimates that by 2015, one in five cars sold will come with embedded connectivity and half of cars on the road will have connectivity by some means, even if it’s just via tethering from a smartphone


Last year, an estimated 31% of US vehicle shoppers used their mobile phone in their purchasing decision. Half of whom did so while physically at the dealership.


Projected revenues from connected vehicle services over the decade.