The global electric vehicle infotainment market size was valued at USD 1.47 billion in 2022 and is anticipated to grow at a compound annual growth rate (CAGR) of 39.3% from 2023 to 2030. The increasing consumer adoption of passenger and commercial electric vehicles (EV) is driving the demand for the EV infotainment market. The surging demand for GPS navigation-enabled infotainment systems also contributes to the market growth. The system facilitates mapping, traffic monitoring, and location tracking functions, increasing the infotainment system's functionality. Another factor, such as increasing usage of wireless connectivity with the EV infotainment system at a low cost, is propelling the market growth. Furthermore, the manufacturers are incorporating integrated center stacks in their EVs to improve control and engagement.
The use of a center stack provides touch capabilities and vertical integration. The curved center stack display enhances user experience with enhanced usability and cost-saving. The manufacturer providing different variants of infotainment systems, such as heads-up displays and rear-seat infotainment systems, is another reason for market growth. Moreover, integrating operating systems such as Windows, Android, and Linux in EV infotainment systems further propels the market growth. The operating systems can support software downloads, updates, convenience functions, and connectivity. Implementing cloud technologies, Artificial Intelligence, and the Internet of Things has created new avenues for market growth.
The COVID-19 pandemic severely impacted industries worldwide, forcing authorities to enforce containment measures such as quarantine and lockdowns. The subsequent containment measures placed by governments crippled industries around the world. The production of infotainment systems was directly dependent on the production of automobiles, affecting EV infotainment manufacturers negatively. The aggressive spread of the pandemic caused a fall in demand for automobiles, affecting the demand for infotainment systems. In 2021, as the lockdown was lifted owing to vaccination efforts, the demand for automobiles experienced a surge. Still, the demand surge was met with a disrupted supply chain of semiconductor chips. Regardless of vehicle type, the semiconductor's chips are integral to the infotainment system. The absence of semiconductor chips resulted in a production timeline delay. Therefore, the COVID-19 pandemic and the repeated supply chain and production disruption caused a restriction in the growth of the EV infotainment market.
Greater inclination in recent years toward electric vehicles has resulted in considerable demand for the infotainment system. The infotainment system enables enhanced safety for the passengers, and the integrated navigation system also provides real-time traffic updates. Smartphone syncing features facilitate easy access to music streaming and calling apps. The major infotainment manufacturers are introducing technologies to enhance user experience. These constant innovations in the product offering by the manufacturers are further driving the market growth.
For instance, Continental AG provides the components required for an enhanced user experience in the new BMW iX. The Continental's cockpit high-performance computer is incorporated in BMW's electric car, pushing for vehicle digitalization. It maintains track of the cockpit's ever-growing functional scope and the increasing software complexity in EVs. The cockpit computer is responsible for numerous software functions that enable the infotainment system to offer new opportunities to provide a consistent and unique user experience. The BMW model can also support a heads-up display that will project the relevant information, such as navigation instructions, warning messages, and data, such as speed and fuel level, among others, on the car's windshield.
Cloud technology is transforming business across industries, and the automotive industry also leverages the same to create a premium experience for end-users of electric vehicles. Car manufacturers like Volvo are leveraging innovative products by Qualcomm and Google to power the Volvo electric SUV's infotainment system. In January 2022, the carmaker planned to incorporate Qualcomm's Snapdragon digital chassis, a cloud platform that analyzes data from the vehicle for advanced display, audio, navigation, and connectivity. The cloud platform also supports wireless and Bluetooth connectivity to enhance user experience. With Google's Android automotive operating system, the electric SUVs were planned to have the Google Assistant feature with all the Google apps. The collaboration among Volvo, Google, and Qualcomm is redefining the infotainment experience for the end-users of EV four-wheelers while driving the market growth.
The use of electric vehicles has steadily increased in recent years due to the demand for fuel efficiency and a range of development efforts like bodyweight reduction and improved efficiency of electronic circuits in automotive. In contrast, Universal Serial Bus (USB), Bluetooth, operating systems, and larger screen sizes have increased high-end cars' current consumption and power channels. The high consumption of power directly impacts the battery efficiency of EVs. Thus, high power consumption is a major hindrance for infotainment systems in EVs. Moreover, infotainment services include features such as vehicle diagnostics, live traffic visualization, satellite-view maps, and music streaming, which are available in premium infotainment services based on monthly and yearly subscriptions with automobile manufacturers such as Tesla. However, such a subscription and the paid software upgrade cost is another restraint in the EV infotainment market growth.
The multimedia segment accounted for the largest revenue share of around 53.9% in 2022. The multimedia infotainment system enables the driver to access features such as a navigation system, calling, and music. Multimedia infotainment is also popular as it includes basic to some high-end functions and is compatible with low to high-end segment cars.
The heads-up display segment is estimated to register the fastest CAGR of 47.4% over the forecast period. The heads-up display presents the information at the driver’s line of sight on the windshield. Using projection systems and mirrors to display navigation, road speed, warning messages, and call information. The heads-up display enables the driver to operate the machine with reduced fatigue, enhancing the driver’s alertness concerning the outside environment. These are the major growth drivers for the adoption of heads-up displays.
The wireless segment held the largest revenue share of 41.5% in 2022 and is expected to grow at the fastest CAGR of 40.8% over the forecast period. As the penetration of smartphones increases, network connectivity is also becoming stronger to cater to the growing connectivity functionalities of smartphones. The internet connection through smartphones has enabled wireless and cellular infotainment connectivity. Wireless and cellular connectivity in EV infotainment systems is gaining traction due to high-speed connection and high data transfer speed. The internet connection-based wireless technology facilitates cloud data transfer in an advanced infotainment system. The expanding reach of wireless connectivity worldwide enables EV infotainment systems to provide a seamless driving experience while propelling market growth.
Bluetooth connectivity is the most common option available in infotainment systems due to its low cost. However, the data transfer on Bluetooth is comparatively slower than cellular, wireless, and wired connectivity.
The BEV segment accounted for the largest revenue share of 66.0% in 2022. The rising carbon emissions and increasing preference for alternative fuel options led to the growth in adoption of battery electric vehicles. Government initiatives such as subsidies also lead to electric vehicle adoption. Integrating technologies such as cloud, AI, and IoT, along with increased screen size, in battery electric vehicles is leading to the increasing adoption of digital infotainment systems. Moreover, the rising popularity of rear-seat entertainment systems in battery-electric vehicles drives market growth.
The HEV segment is expected to expand at the fastest CAGR of 40.4% during the forecast period. The utility of infotainment systems in commercial vehicles is generally for navigation, tracking, and communication. However, advanced infotainment systems in commercial vehicles will enable the drivers to navigate the routes effectivity with the help of real-time traffic intel and maps. These factors are projected to help expand the market share of commercial vehicle types for EV infotainment systems.
Europe dominated the electric vehicle infotainment market and accounted for the largest revenue share of 46.7% in 2022. The EV infotainment market growth in the European region is attributed to the presence of major automotive manufacturers, the availability of workforce, and technological innovations. The rising demand for EVs in the region and stringent emission norms mandated by the authorities are also major factors in the market growth.
The rest of the market regions in the world are expected to expand at the fastest CAGR of 56.1% during the forecast period. In the Asia Pacific and North America, the increased disposable income, availability of EV infrastructure, higher ownership of cars, and integration of infotainment with ADAS system and cloud are driving the market demand. The Latin America market segment is also expanding owing to the increasing demand for electric vehicle infotainment. The availability of 4G and 5G networks in the region, decreased data tariff rate, and increasing popularity of EV vehicles drive the market.
The key players have a worldwide market presence promoting healthy competition among the players. These companies dedicate considerable resources to research and development. To extend their footprint in the market, the major players resort to mergers, acquisitions, and strategic partnerships. For instance, in June 2023, XPeng, the Chinese EV company, selected the ACCESS Twine for Car (Twine4Car) infotainment solution to provide infotainment systems for their cars in Europe. The infotainment system offers a variety of games and apps for its new lineup of electric vehicles, which can be played while charging or parking. The selection includes prominent streaming services, enhancing the in-car entertainment experience for XPeng's customers.
In April 2023, General Motors (GM) announced its collaboration with Google to develop onboard navigation and infotainment solutions for upcoming EVs. With this partnership, customers can access Google Assistant and Google Maps at no extra cost and plan to add applications such as Audible and Spotify.
In January 2022, LG Electronics announced its latest in-vehicle infotainment (IVI) system, a prominent feature in their EV sedan, Mercedes-Benz EOS. The IVI system includes the innovative Pillar to Pillar (P2P) display integrated into the MBUX hyperscreen, covering the entire dashboard that points to the vision for future mobility.
In April 2022, AMD partnered with ECARX, a prominent global mobility tech company, to develop an advanced in-vehicle computing platform for next-generation electric vehicles. This cutting-edge platform was planned to be equipped with AMD Radeon RX6000 Series GPUs and AMD Ryzen Embedded V2000 processors and purposed to be an integral part of the ECARX digital cockpit.
Market size value in 2023
USD 1.91 billion
Revenue forecast in 2030
USD 19.49 billion
CAGR of 39.3% from 2023 to 2030
Base year for estimation
2018 - 2021
2023 - 2030
Revenue in USD million/billion and CAGR from 2023 to 2030
Revenue forecast, company ranking, competitive landscape, growth factors, and trends
System type, connectivity type, end-use, region
North America; Europe; Asia Pacific; Latin America; Middle East And Africa
U.S.; Canada; UK; Germany; France; China; Japan; India; Australia; South Korea; Brazil; Mexico; Saudi Arabia; South Africa; UAE
Key companies profiled
ALPINE ELECTRONICS, Inc.; Continental AG; DENSO CORPORATION.; HARMAN International.; Panasonic Holdings Corporation; Pioneer Corporation.; Airbiquity Inc.; AISIN CORPORATION; Clarion; JVCKENWOOD Corporation; Garmin Ltd.; Audi AG; General Motors; Ford Motor Company
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This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global electric vehicle infotainment market report based on system type, connectivity type, end-use, and region:
System Type Outlook (Revenue, USD Million, 2018 - 2030)
Rear Seat Entertainment
Connectivity Type Outlook (Revenue, USD Million, 2018 - 2030)
End-use Outlook (Revenue, USD Million, 2018 - 2030)
Regional Outlook (Revenue, USD Million, 2018 - 2030)
Middle East and Africa
b. The global electric vehicle infotainment market size was estimated at USD 1.47 billion in 2022 and is expected to reach USD 1.91 billion in 2023.
b. The global electric vehicle infotainment market is expected to grow at a compound annual growth rate of 39.3% from 2023 to 2030 to reach USD 19.49 billion by 2030.
b. Europe accounts for the highest market share of 46.72% in 2022. The EV infotainment market growth in the European region is attributed to the presence of major automotive manufacturers, availability of manpower, and technological innovations. The rising demand for EVs in the region, along with stringent emission norms mandated by the authorities, is also a major factor in the market growth.
b. Some key players operating in the electric vehicle infotainment include Continental AG, Aisin Seiki Co., Ltd., Panasonic corporations, and Harman International Industries Inc.
b. The surging demand for GPS navigation-enabled infotainment systems is also contributing to the market growth. The system facilitates mapping, traffic monitoring, and location tracking functions which have increased the functionality of the infotainment system. Another factor, such as increasing usage of wireless connectivity with the EV infotainment system at a low cost, is propelling the market growth.
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