“Global Automotive Vehicle-to-Everything Market to reach a market value of USD 26.67 Billion by 2031 growing at a CAGR of 42.6%”
The Global Automotive Vehicle-to-Everything Market size is expected to reach $26.67 billion by 2031, rising at a market growth of 42.6% CAGR during the forecast period.
Smart traffic management systems and intelligent transportation initiatives also encourage automakers to invest in V2V technology to optimize vehicle coordination, reduce congestion, and enhance driving efficiency. Therefore, the vehicle-to-vehicle (V2V) segment acquired 31% revenue share in the market in 2023. Governments worldwide are mandating V2V communication to reduce road accidents by enabling real-time data exchange between vehicles. The increasing adoption of autonomous vehicles, wireless communication technologies like 5G improvements, and AI-driven predictive analytics further accelerate the demand for V2V solutions.
The integration of V2X with ITS is not only beneficial for private vehicles but also plays a crucial role in public transportation and emergency response systems. Connected public transit systems can operate more efficiently by adjusting schedules based on real-time traffic data, ensuring minimal delays and better service reliability. Additionally, V2X can analyze real-time energy demand at charging stations, directing EVs to less crowded facilities, thus preventing bottlenecks at high traffic charging points. By incorporating AI-powered predictive analytics, V2X systems can suggest the best routes that balance energy consumption and travel efficiency, helping EV drivers maximize range without unnecessary detours. Therefore, the increasing demand for EVs and Avs supports the market's growth. Thus, such developments will drive the expansion of the market.
However, the absence of a global regulatory framework also delays interoperability between different automotive brands and smart city infrastructures. Without standardized protocols, automakers developing V2X-enabled vehicles risk creating incompatible systems, which could lead to market fragmentation. This situation is similar to past challenges in other technologies, such as the early days of mobile communication, when different network standards prevented global connectivity. Thus, these factors are hindering the growth of Vehicle-to-Everything (V2X) technology.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Acquisitions, and Partnerships & Collaborations.
Based on device, the market is bifurcated into roadside unit and onboard unit. The roadside unit segment procured 37% revenue share in the market in 2023. Roadside units (RSUs) are stationary communication devices installed along roadways, intersections, and urban infrastructure to facilitate Vehicle-to-Infrastructure (V2I) and Vehicle-to-Network (V2N) communications. These units are critical in traffic management, road safety monitoring, and real-time data transmission between connected vehicles and smart city networks. Additionally, the expansion of 5G networks and edge computing solutions has enhanced the functionality of RSUs, making them more efficient in data processing, vehicle coordination, and predictive traffic analysis.
On the basis of communication, the market is classified into vehicle-to-vehicle (V2V), vehicle-to-infrastructure (V2I), vehicle-to-pedestrian (V2P), vehicle-to-home (V2H), vehicle-to-grid (V2G), and vehicle-to-network (V2N). The vehicle-to-home (V2H) segment witnessed 9% revenue share in the market in 2023. As EVs become more prevalent, the need for seamless connectivity between vehicles and home energy grids is increasing, allowing cars to serve as backup power sources through bi-directional charging (V2H integration). Additionally, advancements in IoT-enabled smart homes, AI-based automation, and remote vehicle control systems enhance V2H connectivity, enabling users to precondition their vehicles, schedule charging times, and integrate EVs into home energy management for improved efficiency.
By connectivity, the market is divided into DSRC and cellular. The cellular segment procured 54% revenue share in the market in 2023. C-V2X enables direct and network-based communication, making it highly scalable and future-proof for smart mobility applications. Governments and automakers are investing in C-V2X pilot programs, especially in China and South Korea, where 5G deployment is accelerating. The technology's seamless integration with AI-driven traffic management systems, over-the-air (OTA) software updates, and autonomous driving applications makes it a more versatile and long-term connectivity solution.
Based on vehicle, the market is segmented into passenger cars and commercial vehicles. The commercial vehicles segment recorded 32% revenue share in the market in 2023. The integration of V2X technology in trucks, buses, and delivery vehicles improves fuel efficiency, route optimization, and accident prevention, making it a crucial component for fleet operators and logistics companies. Additionally, smart transportation initiatives and government support for connected commercial fleets drive the adoption of V2I and V2V communication systems in heavy-duty vehicles. The emergence of autonomous trucking, AI-driven fleet monitoring, and real-time traffic analytics is further enhancing the value proposition of V2X in commercial transportation.
Free Valuable Insights: Global Automotive Vehicle-to-Everything Market size to reach USD 26.67 Billion by 2031
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Asia Pacific segment witnessed 34% revenue share in the market in 2023. The regional market is primarily driven by early adoption of connected vehicle technology, government regulations for road safety, and strong investments in intelligent transportation systems (ITS). The presence of leading automotive manufacturers, technology firms, and telecom providers, coupled with a high demand for real-time traffic solutions, connected vehicle services, and advanced driver assistance systems (ADAS), continues to drive market growth.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 1.62 Billion |
| Market size forecast in 2031 | USD 26.67 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 42.6% from 2024 to 2031 |
| Number of Pages | 290 |
| Number of Tables | 440 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Market Share Analysis, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Device, Connectivity, Vehicle, Communication, Region |
| Country scope |
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| Companies Included | Infineon Technologies AG, Qualcomm Incorporated (Qualcomm Technologies, Inc.), NXP Semiconductors N.V., Continental AG, DENSO CORPORATION, Harman International Industries, Inc. (Samsung Electronics Co., Ltd.), Lear Corporation, Aptiv PLC, Robert Bosch GmbH, TomTom N.V. |
By Device
By Connectivity
By Vehicle
By Communication
By Geography
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