Monday, 23 November 2020 09:10

Analyst firm predicts Europe will get 69m more connected cars by 2025

Analyst firm predicts Europe will get 69m more connected cars by 2025 Pixabay

Shipments of connected cars in Europe have been increasing in the last five years and are expected to grow at a CAGR of 12% with 69 million units to be added from 2020-25, the technology analyst firm Counterpoint Research says, adding that this covers only passenger cars with embedded connectivity.

The company said in a statement that most such vehicles would continue to have a 4G-enabled Telematics Control Unit by 2025 but the share of 4G would start to decrease after that as 5G increasingly came into its own.

In the second quarter of 2020, 80% of connected cars in Europe were using 4G LTE connectivity.

Research associate Fahad Siddiqui said: “The Europe [connected car] market witnessed a decline of 41% year-on-year in 2Q 2020 due to the impact of COVID-19. Germany was at the forefront in terms of connected car shipments, followed by France and the UK.

"The implementation of eCall regulation in the EU to reduce the response time for car accidents has led to a significant growth of embedded TCUs in the region during the last few years.”

Research vice-president Peter Richardson added, “The top three automotive groups — Volkswagen, PSA and Renault Nissan Alliance — account for almost half of the connected car shipments in Europe, primarily because they have been leading passenger car sales in the region.

"For instance, Volkswagen’s Golf and Tiguan are the best-selling cars in Germany and PSA’s Peugeot 208 and Citroen C3 are among the top three bestsellers in France.

"Moreover, luxury automakers like Daimler and BMW have been actively providing connectivity in their cars much before the eCall mandate was put in place.”

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Sam Varghese

Sam Varghese has been writing for iTWire since 2006, a year after the site came into existence. For nearly a decade thereafter, he wrote mostly about free and open source software, based on his own use of this genre of software. Since May 2016, he has been writing across many areas of technology. He has been a journalist for nearly 40 years in India (Indian Express and Deccan Herald), the UAE (Khaleej Times) and Australia (Daily Commercial News (now defunct) and The Age). His personal blog is titled Irregular Expression.

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