Global Automotive Infotainment Market Trends, Forecast Report 2025-2037
Automotive Infotainment Market size was valued at USD 25.6 billion in 2024 and is expected to reach USD 61.2 billion by the end of 2037, growing at a CAGR of 6.6% during the forecast period from, 2025-2037. In 2025, the industry size of Automotive Infotainment is estimated at USD 27.3 billion.
The supply chain for the automotive infotainment is hugely reliant upon the adequate supply of display technologies, semiconductors, and software components. For instance, the data published by the U.S. International Trade Commission in 2023 stated that the import of electronic components for vehicle manufacturing surged by 14.4% Y-o-Y, highlighting a robust demand. Additionally, the U.S. Bureau of Labor Statistics ' consumer price index surged 3% for motor vehicles in 2024, showing stress on final infotainment-enabled vehicle units. Other than this, the producer price index for electronic instruments surged 3.7% from 2022 to 2024, showing a rise in the upstream cost of manufacturing fueled by the scarcity of raw materials and disruptions due to geopolitical situations.
As confirmed by the U.S. Census Bureau in 2023, the import value of control systems and integrated circuits reached USD 28.7 billion, primarily from South Korea, China, and Taiwan. The automotive assembly plants based in the U.S. are infusing money into integrating a digital cockpit powered by public and private R&D funding. Also, in 2023, NSF.gov stated that the federal government has allocated grants reached USD 187 million for vehicle automation and embedded interface systems. These efforts are projected to organize the inclusion of infotainment modules within domestic production lines.
Automotive Infotainment Sector: Growth Drivers and Challenges
Growth Drivers
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Growing demand for connected vehicles: According to the International Energy Agency, by 2030, connected cars are anticipated to account for over 70.5% of overall vehicles sold. The advanced features, such as telematics, real-time updates, navigation, smartphone integration, media playback, etc., are some of the prominent features in infotainment-enabled vehicles. For instance, BMW’s iDrive 8 utilizes Amazon Alexa integration and embedded 5G modems. Tier 1 suppliers are investing in infotainment platforms that are cloud updatable and modular to remain competitive. For instance, the V2X initiative in China got USD 1.26 billion as government R&D investment in 2023.
- Cybersecurity compliance & digital trust: Countries are coming up with cybersecurity frameworks, such as the National Institute of Standards and Technology Cybersecurity Framework, and the General Data Protection Regulation in the European Union. These frameworks are laying down guidelines to drive mandatory compliance. For instance, in 2024, Volvo strengthened its vehicle firewall policies by embracing NIST Zero Trust Architecture. Market players are ensuring safe data exchange and developing user confidence in the connected vehicles. These efforts to adhere to regulatory guidelines and consumer trust are transforming the automotive infotainment market growth trajectory worldwide.
- Consumer expectations for personalization and UX: Consumers are demanding seamless integration in their connected vehicles with higher personalization and enhanced user experience. The data published by the U.S. Department of Transportation in 2023, 78.5% of users buying vehicles prefer infotainment capabilities as top decision factor. Leading market players such as Hyundai are joining hands with Cerence Inc. to enable emotion-based, multilingual voice assistance. Various governments are also aiding these trends by making frameworks on usability and interoperability. For instance, the National Highway Traffic Safety Administration has issued guidelines for the human-machine interface to enhance UX-driver safety.
Cybersecurity Risk Landscape in the Automotive Infotainment Market
As the trend for connected vehicles is on the rise, the infotainment systems have become a pedestal for the crucial digital functions. However, this connectivity makes vehicles vulnerable to a myriad of cybersecurity threats, such as phishing and malware injections. A report published by ENISA revealed that 60.5% of the automotive tech firms encountered at least 1 phishing incident. These incidents have also compelled market players to include AI-driven threat detection, 0 trust architecture, and multi-factor authentication. Various leading companies are giving importance to cybersecurity as part of the infotainment.
|
Company |
Cyber Attack |
Impact |
Potential Remedies to Mitigate the Impact |
|
Denso (2024) |
Data breach via 3rd party vendor |
IP theft, 2-week server outage, leaked design schematics of infotainment ICs |
Enforced vendor risk management, encrypted design files, and limited third-party API access |
|
Bosch Mobility (2024) |
Phishing & credential theft |
Internal network access, exposure of infotainment R&D files |
Launched employee training, enforced multi-factor authentication, and restricted user privilege escalation |
|
Continental AG (2023) |
Ransomware Attack (LockBit group) |
Operational disruption across global IT systems, delayed production cycles |
Implemented Zero Trust Architecture, enhanced endpoint detection, and recovery playbooks |
|
Tesla (2023) |
OTA Exploit via Wi-Fi Handoff |
Real-time infotainment system crash in test fleet |
Adopted AI-driven anomaly detection, hardened OTA protocols, and applied firmware signing |
Rising 5G Adoption: Transforming Automotive Infotainment & Connected Manufacturing
The inclusion of 5G technology is reforming the automotive infotainment domain by enabling low latency and faster data throughput, which is crucial for real-time telematics. Research Nester estimates that over 63.5% of newly launched vehicles by prominent companies integrated infotainment platforms by the end of 2024. These advancements are also bringing benefits to the supply chain and manufacturing operations in the automotive industry. For example, Bosch has incorporated 5G in 2023, enabled industrial IoT registering 25.5% higher real time equipment efficiency.
5G Deployment Impact – Statistical Table
|
Company / Facility |
5G Use Case |
Quantified Outcome |
|
Hyundai Motor Group (2024) |
Robotic fleet coordination |
−21% production downtime |
|
BMW (Leipzig Plant) (2024) |
OTA infotainment & diagnostics |
−32% maintenance lead time |
|
Bosch (Homburg Plant) (2023) |
Real-time machine monitoring (IIoT) |
+26% equipment efficiency |
|
General Motors (USA) (2023) |
V2X-enabled infotainment testing |
+41% latency reduction in real-time data relay |
|
Audi (Ingolstadt Facility) (2023) |
Cloud-based infotainment streaming |
+62% improvement in multimedia processing speed |
Challenges
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High cost for cybersecurity compliance: The inflexible cybersecurity framework, such as FISMA in the U.S., GDPR, ENISA, and TISAX in Europe, leads to swelling cost burdens on small to mid-sized suppliers. For instance, almost 29% increased operating costs were observed by Tier-2 suppliers in the U.S. for framing NIST-compliant modules. This illustrates that for SMEs, the cost of implementing scalable cybersecurity service models can be exorbitant.
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Limited infrastructure readiness in emerging markets: The product functionality has been hindered by weak connectivity, limited 5G availability, and poor satellite coverage. For instance, as of 2024, less than 18.5% of vehicles in Sub-Saharan Africa could fully accommodate infotainment due to a lack of adequately developed telecom infrastructure.
Automotive Infotainment Market: Key Insights
| Report Attribute | Details |
|---|---|
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
6.6% |
|
Base Year Market Size (2024) |
USD 25.6 billion |
|
Forecast Year Market Size (2037) |
USD 61.2 billion |
|
Regional Scope |
|
Automotive Infotainment Segmentation
Connectivity (4G LTE, 5 G-Enabled Systems, Wi-Fi, Bluetooth)
The 5G enabled system is anticipated to register 45.5% market share by 2037 due to rising demand for faster data speeds and low latency. The high speed of the 5G connectivity helps in seamless streaming and real-time navigation. There has been massive government support for the expanding 5G enabled systems across the world. According to data published by the U.S. Federal Communications Commission, the fund for expanding 5G for high-speed mobile broadband access in rural America in 2024 was almost USD 9.1 billion. Similarly, in 2023, the Ministry of Industry and Information Technology in China declared the establishment of over 1.9 million 5G base stations. These factors are augmenting the growth of the segment during the forecasted period.
Vehicle Type (Passenger Vehicles, Commercial Vehicles)
The passenger vehicles segment is projected to garner 69% share between 2025-20237 due to rising consumer demand for advanced infotainment in personal cars. Various governments across the world are also supporting intelligent transportation systems and enabling smart mobility. For instance, the U.S. Department of Transportation (DOT), under the ITS Joint Program, the investment was exceeded USD 1.52 billion to support technologies based on connected vehicles. Also, according to CAICT in China, over 61% of the new passenger vehicles in the country were incorporating infotainment solutions.
Our in-depth analysis of the global automotive infotainment market includes the following segments:
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Component |
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Vehicle Type |
|
|
Connectivity |
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|
Operating System |
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Vishnu Nair
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Automotive Infotainment Industry - Regional Analysis
Asia Pacific Market Analysis
The Asia Pacific automotive infotainment market is projected to register staggering growth with a 35.8% revenue share. The growth of the market can be attributed to the rising sales of the IoT-enabled vehicles. China is offering lucrative opportunities for the market players with the rise in ICT investments and the boom in EV sales. Also, MIIT allocated USD 14.2 billion for smart mobility under the 2025 plan. In India, data published by the Ministry of Electronics and Information Technology in 2024, the adoption rate of vehicles with 5G infotainment reached 18.2 million in the country. Also, Japan witnessed USD 821 million of ICT budget allocation for the connected car technology.
North America Market Analysis
The North America automotive infotainment market is anticipated to hold 28.5% revenue share by 2037, owing to a surge in 5G adoption and exponentially rising consumer demand for advanced car technology. In the U.S., companies such as GM and Tesla are leading with sales of almost 40.5 million connected cars by the year 2025. Also, Canada’s market is projected to flourish, garnering a CAGR of 7.9%, fueled by rising EV adoption and federal 5G investment. Also, data published by Telecom Alliance Canada, over 31% of the cars in Canada will have 5G by 2030. Prominent companies such as BlackBerry QNX and Magna International are bolstering the growth by developing AI-powered infotainment platforms. Other than this, various government organizations such as Innovation, Science, and Economic Development Canada have infused USD 293 million in the ENCQOR 5G initiative. These factors are augmenting the market growth in the North America region during the assessed time.
Top 15 Global Automotive Infotainment Manufacturers
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
The competitive landscape of the automotive infotainment market is rapidly evolving as established key players, automotive giants, and new entrants are investing in IoT technologies. Key players in the automotive infotainment market are focused on developing new technologies and products that cater to the stringent regulatory norms and consumer demand. These key players are adopting several strategies, such as mergers and acquisitions, joint ventures, partnerships, and novel product launches to enhance their product base and strengthen their market position. Here are some key players operating in the global market:
|
Company Name |
Country of Origin |
Estimated Market Share (2023) |
|
Robert Bosch GmbH |
Germany |
10.2% |
|
Panasonic Automotive Systems |
Japan |
9.5% |
|
Harman International (Samsung) |
South Korea |
8.9% |
|
Continental AG |
Germany |
8.3% |
|
Denso Corporation |
Japan |
7.7% |
|
Aptiv PLC |
Ireland (Europe HQ) |
xx |
|
Mitsubishi Electric Corporation |
Japan |
xx |
|
Visteon Corporation |
USA |
xx |
|
LG Electronics Inc. |
South Korea |
xx |
|
Pioneer Corporation |
Japan |
xx |
|
Alpine Electronics Inc. |
Japan |
xx |
|
Tata Elxsi |
India |
xx |
|
Aisin Corporation |
Japan |
xx |
|
Gentex Corporation |
USA |
xx |
|
Clarion Malaysia Sdn. Bhd. |
Malaysia |
xx |
Below are the areas covered for each company in the automotive infotainment market:
Recent Developments
- In December 2024, Tenstorrent and South Korean BOS Semiconductors unveiled "Eagle-N," the industry's first automotive chiplet AI accelerator designed for in-vehicle infotainment and autonomous driving. These chips, manufactured using Samsung's 5nm process, offer customizable and cost-efficient solutions for automakers.
- In August 2024, Harman introduced the Ready Care system, leveraging AI and machine learning to monitor driver behavior and provide personalized interventions. This system enhances safety by detecting cognitive load and tailoring responses accordingly.
Author Credits: Richa Gupta
- Report ID: 4599
- Published Date: Jun 02, 2025
- Report Format: PDF, PPT
