The Big

The Connected Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

Table of Contents

1 Chapter 1: Introduction ...... 18 1.1 Executive Summary ...... 18 1.2 Topics Covered ...... 19 1.3 Historical Revenue & Forecast Segmentation ...... 20 1.4 Key Questions Answered ...... 22 1.5 Key Findings ...... 23 1.6 Methodology ...... 24 1.7 Target Audience ...... 25 1.8 Companies & Organizations Mentioned ...... 26 2 Chapter 2: An Overview of Connected ...... 31 2.1 What are Connected Cars? ...... 31 2.2 Connectivity Approaches...... 32 2.2.1 Embedded ...... 32 2.2.2 Tethered ...... 32 2.2.3 Integrated ...... 32 2.3 Comparison of OEM Programs ...... 33 2.4 Key Enabling Technologies ...... 34 2.4.1 M2M Connectivity & Mobile Networks ...... 34 2.4.2 Smart Device Integration & Tethering ...... 34 2.4.3 & Short Range ...... 35 2.4.4 V2X (Vehicle-to-Everything) Communications ...... 35 2.4.5 Navigation Systems ...... 36 2.4.6 Infotainment Systems ...... 36 2.4.7 HMI (Human Machine Interface) Technologies ...... 36 2.4.7.1 Display, Touchscreens & Tactile Feedback ...... 36 2.4.7.2 Voice Recognition ...... 37 2.4.7.3 Gesture Control ...... 37 2.4.7.4 Proximity Sensors ...... 37 2.4.7.5 Eye Tracking ...... 38

..

Page 2

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

2.4.8 ADAS: Sensors & Other Technologies...... 38 2.4.9 Operating Systems & Software Platforms ...... 39 2.4.10 Cloud Computing ...... 39 2.4.11 Big Data & Analytics ...... 40 2.4.12 Other Technologies ...... 41 2.5 Market Growth Drivers ...... 41 2.5.1 Proliferation of Mobile Broadband ...... 41 2.5.2 Connected Infotainment: A Key Purchase Factor ...... 41 2.5.3 Integration: Benefiting from the Ecosystem ...... 41 2.5.4 Growing Demand for Telematics Services ...... 42 2.5.5 Moving Towards Intelligent Transportation & Autonomous Driving ...... 42 2.5.6 Enhancing Safety & Security ...... 42 2.5.7 Customer Retention & Additional Revenue Streams ...... 43 2.5.8 Growing Adoption of Electric Vehicles ...... 43 2.5.9 Regulatory Initiatives & Mandates ...... 43 2.6 Market Barriers ...... 44 2.6.1 Standardization Complexities ...... 44 2.6.2 Addressing Driver Distraction Concerns ...... 44 2.6.3 Privacy & Security Issues ...... 44 2.6.4 Consumer Acceptance & Monetizing Services ...... 45 2.6.5 Product Lifecycle ...... 45 2.6.6 Connectivity in Rural Areas ...... 45 2.6.7 Roaming ...... 45 3 Chapter 3: Key Application Areas ...... 46 3.1 Communications & Infotainment ...... 46 3.1.1 Hands-Free Calling & Messaging ...... 46 3.1.2 In-Vehicle WiFi Hotspots ...... 46 3.1.3 News & Weather Updates ...... 46 3.1.4 Web Browsing & Social Networking ...... 47 3.1.5 Multimedia Streaming & Downloads ...... 47 3.1.6 Live Agent Services ...... 47 3.2 Navigation & Location Services ...... 48

..

Page 3

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

3.2.1 Navigation, Traffic Information & Alternative Routing ...... 48 3.2.2 POI (Point of Interest) Search ...... 48 3.2.3 Location Based Marketing ...... 48 3.2.4 Geo-Fencing Applications ...... 49 3.2.5 Fleet Management ...... 49 3.2.6 ETC (Electronic Toll Collection) ...... 49 3.3 Vehicle Management ...... 50 3.3.1 Remote Diagnostics, Performance Monitoring & Maintenance ...... 50 3.3.2 OTA (Over-the-Air) System Updates ...... 50 3.3.3 UBI (Usage Based Insurance) ...... 50 3.4 Safety & Security ...... 51 3.4.1 Crash Alerting Systems ...... 51 3.4.2 Roadside & Accident Assistance ...... 51 3.4.3 Keyless Authentication ...... 52 3.4.4 Driver Monitoring & Fatigue Detection ...... 52 3.4.5 Early Warning Systems ...... 52 3.5 Driver Assistance & Autonomous Driving ...... 53 3.5.1 Connected ADAS Features ...... 53 3.5.2 Intelligent Transportation ...... 53 3.5.3 Parking Assistance ...... 53 3.5.4 Self-Driving Cars ...... 54 3.6 Other Applications ...... 54 4 Chapter 4: Collaboration, Standardization & Regulatory Landscape ...... 55 4.1 Consortiums & Collaborative Projects ...... 55 4.1.1 CCC (Car Connectivity Consortium) ...... 55 4.1.2 OAA (Open Automotive Alliance) ...... 55 4.1.3 C2C-CC (CAR 2 CAR Communication Consortium) ...... 56 4.1.4 GENIVI Alliance ...... 56 4.1.5 AGL (Automotive Grade Linux) ...... 57 4.1.6 OPEN Alliance SIG (Special Industry Group) ...... 57 4.1.7 MOSTCO (MOST Cooperation) ...... 58 4.1.8 AVnu Alliance ...... 58

..

Page 4

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

4.1.9 Regional Projects ...... 59 4.1.10 Others ...... 60 4.2 Standardization Initiatives ...... 61 4.2.1 3GPP (3rd Generation Partnership Project) ...... 61 4.2.2 IEEE (Institute of Electrical and Electronics Engineers) ...... 61 4.2.3 OneM2M ...... 62 4.2.4 ISO (International Organization for Standardization) ...... 63 4.2.5 ETSI (European Standards Institute) ...... 63 4.2.6 CEN (European Committee for Standardization) ...... 64 4.2.7 W3C (World Wide Web Consortium) ...... 64 4.3 Government Mandates & Initiatives ...... 65 4.3.1 U.S. DOT’s V2V Connectivity Initiative ...... 65 4.3.2 European Union’s eCall ...... 65 4.3.3 Russia’s ERA-GLONASS ...... 66 4.3.4 Brazil’s SINIAV & SIMRAV 245 ...... 66 5 Chapter 5: Connected Car Industry Roadmap & Value Chain ...... 68 5.1 Industry Roadmap ...... 68 5.1.1 2015 – 2020: The Emergence of Connected Car Programs ...... 68 5.1.2 2020 – 2025: Large Scale Proliferation of Advanced Telematics & Infotainment ...... 69 5.1.3 2025 – 2030: The Era of Self-Driving Cars & Cooperative V2X Applications ...... 69 5.2 Value Chain ...... 70 5.2.1 Enabling Technology ...... 70 5.2.1.1 Hardware Providers ...... 71 5.2.1.2 Software Providers ...... 71 5.2.2 Production ...... 71 5.2.2.1 Automotive OEMs ...... 71 5.2.2.2 Aftermarket Suppliers ...... 72 5.2.3 Distribution ...... 72 5.2.3.1 Dealers ...... 72 5.2.3.2 Other Intermediaries ...... 72 5.2.4 Services & Solutions ...... 73 5.2.4.1 Connected Car Platform Specialists ...... 73

..

Page 5

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

5.2.4.2 Telematics Providers ...... 73 5.2.4.3 Connectivity Providers ...... 73 5.2.4.4 Content Providers ...... 74 5.2.4.5 Cloud Platform Providers ...... 74 5.2.4.6 Big Data & Analytics Specialists...... 74 5.2.4.7 Insurance Companies ...... 74 5.2.4.8 Supplementary Service Providers ...... 75 5.2.5 End Users ...... 75 5.2.5.1 Vehicle Owners ...... 75 6 Chapter 6: Key Market Players ...... 76 6.1 21ViaNet Group ...... 76 6.2 Abalta Technologies ...... 77 6.3 Accenture ...... 78 6.4 Acura ...... 79 6.5 Aeris Communications ...... 80 6.6 Airbiquity ...... 81 6.7 Alcatel-Lucent ...... 82 6.8 Alibaba Group ...... 83 6.9 Allstate Insurance Company ...... 84 6.10 Alpine Electronics ...... 85 6.11 Altera Corporation ...... 86 6.12 Amdocs ...... 87 6.13 América Móvil ...... 88 6.14 Analog Devices ...... 89 6.15 Apple ...... 90 6.16 Arada Systems ...... 91 6.17 Arynga ...... 92 6.18 AT&T ...... 93 6.19 Atmel Corporation ...... 94 6.20 Atos ...... 95 6.21 Audi ...... 96 6.22 Automatic Labs ...... 97

..

Page 6

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

6.23 Autonet Mobile ...... 98 6.24 Autotalks ...... 99 6.25 Avago Technologies ...... 100 6.26 Azuga ...... 101 6.27 B&B Electronics ...... 102 6.28 Baidu ...... 103 6.29 BlackBerry ...... 104 6.30 BMW ...... 105 6.31 Bosch ...... 106 6.32 Bouygues Telecom ...... 107 6.33 Bright Box ...... 108 6.34 BYD Auto ...... 109 6.35 Cadillac ...... 110 6.36 CenNavi Technologies ...... 111 6.37 Changan Automobile Company ...... 112 6.38 Chery ...... 113 6.39 China Mobile ...... 114 6.40 China Telecom ...... 115 6.41 China TSP ...... 116 6.42 China Unicom ...... 117 6.43 Cisco Systems ...... 118 6.44 Clarion ...... 119 6.45 CloudCar ...... 120 6.46 CloudMade ...... 121 6.47 Cohda Wireless...... 122 6.48 Connect One...... 123 6.49 Continental ...... 124 6.50 Covisint ...... 125 6.51 Cox Automotive ...... 126 6.52 Coyote Systems ...... 127 6.53 CPIC (China Pacific Insurance Group) ...... 128 6.54 CSR ...... 129

..

Page 7

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

6.55 Cubic Telecom ...... 130 6.56 Delphi ...... 131 6.57 Denso Corporation ...... 132 6.58 Digi International ...... 133 6.59 Digia ...... 134 6.60 Dongfeng Motor Corporation ...... 135 6.61 DT (Deutsche Telekom) ...... 136 6.62 EDGE3 Technologies ...... 137 6.63 Ericsson ...... 138 6.64 FAW Group Corporation ...... 139 6.65 FCA (Fiat Chrysler Automobiles) ...... 140 6.66 FEV Group ...... 141 6.67 Flextronics International ...... 142 6.68 Ford Motor Company ...... 143 6.69 Franklin Wireless ...... 144 6.70 Freescale ...... 145 6.71 Frontier Silicon ...... 146 6.72 Fujitsu Semiconductor ...... 147 6.73 Fujitsu Ten ...... 148 6.74 GAIG (Guangzhou Automobile Industry Group) ...... 149 6.75 Garmin...... 150 6.76 Geely (Zhejiang Geely Holding Group) ...... 151 6.77 Gemalto ...... 152 6.78 GM (General Motors Company) ...... 153 6.79 Google ...... 154 6.80 H&D Wireless ...... 155 6.81 Harman International Industries ...... 156 6.82 Hawtai Motor Group ...... 157 6.83 HERE ...... 158 6.84 Hitachi ...... 159 6.85 Motor Company...... 160 6.86 HTC Corporation ...... 161

..

Page 8

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

6.87 ...... 162 6.88 ...... 163 6.89 iBiquity Digital Corporation ...... 164 6.90 IBM ...... 165 6.91 iHeartMedia ...... 166 6.92 Infineon Technologies ...... 167 6.93 ...... 168 6.94 Ingenie ...... 169 6.95 INRIX ...... 170 6.96 INSYS Microelectronics ...... 171 6.97 Intel Corporation ...... 172 6.98 Inthinc Technology Solutions ...... 173 6.99 Inventek Systems ...... 174 6.100 ip-label ...... 175 6.101 iWOW Connections ...... 176 6.102 Ixonos ...... 177 6.103 Jaguar Land Rover Automotive ...... 178 6.104 Jasper Technologies ...... 179 6.105 Johnson Controls ...... 180 6.106 Kapsch TrafficCom ...... 181 6.107 KDDI Corporation ...... 182 6.108 Motors Corporation ...... 183 6.109 KORE Wireless Group ...... 184 6.110 KPN ...... 185 6.111 KT Corporation ...... 186 6.112 Laird ...... 187 6.113 Lantronix ...... 188 6.114 Lesswire ...... 189 6.115 Lexus ...... 190 6.116 LG Electronics...... 191 6.117 LG Uplus ...... 192 6.118 Lincoln Motor Company ...... 193

..

Page 9

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

6.119 LS Research ...... 194 6.120 Magneti Marelli ...... 195 6.121 Mahindra and Mahindra ...... 196 6.122 Mazda Motor Corporation ...... 197 6.123 Mercedes Benz ...... 198 6.124 MIC (MiTAC International Corporation) ...... 199 6.125 Michelin ...... 200 6.126 Microchip Technology...... 201 6.127 Microsoft Corporation ...... 202 6.128 Microtronics ...... 203 6.129 Minacs ...... 204 6.130 Mitsubishi Electric Corporation ...... 205 6.131 Mitsubishi Motors Corporation ...... 206 6.132 Modacom ...... 207 6.133 Mojio ...... 208 6.134 Multi-Tech Systems...... 209 6.135 Murata Manufacturing ...... 210 6.136 Navman Wireless & Teletrac ...... 211 6.137 NEC Corporation ...... 212 6.138 Neoway ...... 213 6.139 Motor Company ...... 214 6.140 NNG...... 215 6.141 Nokia ...... 216 6.142 Novatel Wireless ...... 217 6.143 Novero ...... 218 6.144 NTT DoCoMo ...... 219 6.145 Nuance Communications ...... 220 6.146 Nvidia Corporation ...... 221 6.147 NXP ...... 222 6.148 Octo Telematics ...... 223 6.149 ON Semiconductor ...... 224 6.150 OpenCar ...... 225

..

Page 10

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

6.151 Openmatics ...... 226 6.152 Option N.V...... 227 6.153 Oracle ...... 228 6.154 Orange ...... 229 6.155 Panasonic Corporation...... 230 6.156 Pandora Media ...... 231 6.157 Parrot ...... 232 6.158 Pateo Corporation ...... 233 6.159 Pioneer Corporation ...... 234 6.160 Powermat Technologies ...... 235 6.161 PSA Peugeot Citroen ...... 236 6.162 QiMing Information Technology ...... 237 6.163 Qoros Automotive ...... 238 6.164 Quake Global ...... 239 6.165 Qualcomm ...... 240 6.166 Quectel...... 241 6.167 RealVNC ...... 242 6.168 Redpine Signals ...... 243 6.169 Renault (Groupe Renault) ...... 244 6.170 Renesas Electronics Corporation ...... 245 6.171 Rogers Communications ...... 246 6.172 ROHM Semiconductor ...... 247 6.173 RSA Insurance Group ...... 248 6.174 RTX A/S ...... 249 6.175 SAIC Motor Corporation ...... 250 6.176 Electronics ...... 251 6.177 SAP ...... 252 6.178 Savari ...... 253 6.179 SEAT ...... 254 6.180 Seeing Machines ...... 255 6.181 Sierra Wireless ...... 256 6.182 Silicon Laboratories ...... 257

..

Page 11

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

6.183 SIMCom Wireless Solutions ...... 258 6.184 SiriusXM Radio ...... 259 6.185 SK Telecom ...... 260 6.186 Skoda Auto ...... 261 6.187 SkyWave Mobile Communications ...... 262 6.188 SoftBank Mobile Corporation ...... 263 6.189 Sony Corporation ...... 264 6.190 Spirent Communications ...... 265 6.191 Sprint Corporation ...... 266 6.192 STMicroelectronics ...... 267 6.193 Subaru ...... 268 6.194 Summit Tech ...... 269 6.195 Suzuki Motor Corporation ...... 270 6.196 Synchronoss Technologies ...... 271 6.197 Tata Motors ...... 272 6.198 TCS ( Systems) ...... 273 6.199 Tech Mahindra ...... 274 6.200 Telecom Italia ...... 275 6.201 Telefónica ...... 276 6.202 Telenav ...... 277 6.203 Telenor Group ...... 278 6.204 Telit Communications ...... 279 6.205 Telogis ...... 280 6.206 Telstra Corporation ...... 281 6.207 Tesla Motors ...... 282 6.208 TI () ...... 283 6.209 TimaNetworks ...... 284 6.210 Tobii Technology ...... 285 6.211 TomTom ...... 286 6.212 Toshiba Corporation ...... 287 6.213 Motor Corporation ...... 288 6.214 Uber ...... 289

..

Page 12

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

6.215 U-blox ...... 290 6.216 Ubridge ...... 291 6.217 UIEvolution ...... 292 6.218 Vehcon ...... 293 6.219 Veniam ...... 294 6.220 Verizon Communications ...... 295 6.221 Vinli ...... 296 6.222 Visteon Corporation ...... 297 6.223 Group ...... 298 6.224 Voicebox Technologies ...... 299 6.225 Volkswagen ...... 300 6.226 Volvo ...... 301 6.227 Wireless Logic ...... 302 6.228 WirelessCar ...... 303 6.229 Xilinx...... 304 6.230 ZTE ...... 305 6.231 Zubie ...... 306 7 Chapter 7: Market Analysis & Forecasts ...... 307 7.1 Global Outlook of Connected Cars ...... 307 7.2 Segmentation by Connectivity Model ...... 308 7.3 Embedded Car Connections ...... 309 7.3.1 GSM ...... 311 7.3.2 CDMA-2000 ...... 311 7.3.3 W-CDMA ...... 312 7.3.4 TD-SCDMA ...... 312 7.3.5 LTE ...... 313 7.3.6 Satellite & Other Technologies ...... 313 7.4 Tethered Car Connections ...... 314 7.4.1 Wireless ...... 315 7.4.2 Wireline ...... 316 7.5 Integrated Car Connections...... 316 7.5.1 Apple CarPlay ...... 318

..

Page 13

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

7.5.2 Android Auto ...... 318 7.5.3 MirrorLink ...... 319 7.5.4 Others ...... 319 7.6 Segmentation by Application Category ...... 320 7.6.1 Communications & Infotainment ...... 320 7.6.2 Navigation & Location Services ...... 321 7.6.3 Vehicle Management ...... 321 7.6.4 Safety & Security ...... 322 7.6.5 Driver Assistance & Autonomous Driving ...... 322 7.7 Segmentation by Region ...... 323 7.7.1 Asia Pacific ...... 324 7.7.2 ...... 325 7.7.3 Middle East & Africa ...... 326 7.7.4 Latin & Central America ...... 327 7.7.5 North America ...... 328 7.8 Top Country Markets...... 329 7.8.1 Brazil ...... 329 7.8.2 Canada ...... 330 7.8.3 China ...... 331 7.8.4 Egypt ...... 332 7.8.5 France ...... 333 7.8.6 Germany ...... 334 7.8.7 India ...... 335 7.8.8 Indonesia ...... 336 7.8.9 Italy ...... 337 7.8.10 Japan...... 338 7.8.11 Mexico ...... 339 7.8.12 Russia ...... 340 7.8.13 Saudi Arabia ...... 341 7.8.14 South Africa ...... 342 7.8.15 ...... 343 7.8.16 UK ...... 344

..

Page 14

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

7.8.17 USA ...... 345 8 Chapter 8: Conclusion & Strategic Recommendations ...... 346 8.1 Why is the Market Poised to Grow? ...... 346 8.2 Competitive Industry Landscape: Acquisitions, Alliances & Consolidation ...... 346 8.3 Geographic Outlook: Which Countries Offer the Highest Growth Potential? ...... 347 8.4 The Role of Mobile Operators ...... 348 8.4.1 Capitalizing on Connectivity ...... 348 8.4.2 Innovating Beyond Connectivity: AT&T’s Drive Platform ...... 348 8.5 Connected Car Platforms: Moving Towards Cloud Centric Offerings ...... 349 8.5.1 Consolidating Disparate Functions ...... 349 8.5.2 Cloud Based Platforms ...... 349 8.6 Addressing Privacy Concerns: The Stance of Automotive OEMs ...... 350 8.7 Impact of Government Initiatives ...... 350 8.8 Smartphone Integration ...... 351 8.8.1 What Key Offerings Are Available? ...... 351 8.8.2 OEMs Are Keen to Offer Multiple Solutions ...... 351 8.9 Monetizing the Connected Car Opportunity: The Changing Role of Automotive OEMs ...... 352 8.9.1 Evolving Business Models ...... 352 8.9.2 Entering Other Connected Markets ...... 352 8.10 Integration with Smart Cities ...... 353 8.11 V2X Networks: Do LTE & Technologies Pose a Threat to 802.11p? ...... 354 8.12 Assessing the Impact of Self-Driving Cars ...... 355 8.13 Strategic Recommendations ...... 356 8.13.1 Automotive OEMs ...... 356 8.13.2 Telematics & Connected Car Platform Specialists ...... 356 8.13.3 Mobile Operators ...... 357

..

Page 15

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

List of Figures

Figure 1: Key Connected Car Applications ...... 31 Figure 2: Comparison of Key OEM Connected Car Programs (Q3’2015)...... 33 Figure 3: Global Big Data & Analytics Technology Investments in the Automotive Sector: 2015 - 2030 ($ Billion) ...... 40 Figure 4: Connected Car Industry Roadmap ...... 68 Figure 5: Connected Car Value Chain ...... 70 Figure 6: Global Connected Car Installed Base: 2015 - 2030 (Millions) ...... 307 Figure 7: Global Connected Car Service Revenue: 2015 - 2030 ($ Billion) ...... 308 Figure 8: Global Connected Car Installed Base by Connectivity Model: 2015 - 2030 (Millions) ...... 308 Figure 9: Global Connected Car Service Revenue by Connectivity Model: 2015 - 2030 ($ Billion) ...... 309 Figure 10: Global Embedded Car Connections: 2015 - 2030 (Millions) ...... 309 Figure 11: Global Embedded Car Connection Service Revenue: 2015 - 2030 ($ Billion) ...... 310 Figure 12: Global Embedded Car Connections by Technology: 2015 - 2030 (Millions) ...... 310 Figure 13: Global GSM Embedded Car Connections: 2015 - 2030 (Millions) ...... 311 Figure 14: Global CDMA-2000 Embedded Car Connections: 2015 - 2030 (Millions) ...... 311 Figure 15: Global W-CDMA Embedded Car Connections: 2015 - 2030 (Millions) ...... 312 Figure 16: Global TD-SCDMA Embedded Car Connections: 2015 - 2030 (Millions) ...... 312 Figure 17: Global LTE Embedded Car Connections: 2015 - 2030 (Millions) ...... 313 Figure 18: Global Satellite & Other Embedded Car Connections: 2015 - 2030 (Millions) ...... 313 Figure 19: Global Tethered Car Connections: 2015 - 2030 (Millions) ...... 314 Figure 20: Global Tethered Car Connection Service Revenue: 2015 - 2030 ($ Billion)...... 314 Figure 21: Global Tethered Car Connections by Technology: 2015 - 2030 (Millions) ...... 315 Figure 22: Global Wireless Tethered Car Connections: 2015 - 2030 (Millions) ...... 315 Figure 23: Global Wireline Tethered Car Connections: 2015 - 2030 (Millions) ...... 316 Figure 24: Global Integrated Car Connections: 2015 - 2030 (Millions) ...... 316 Figure 25: Global Integrated Car Connection Revenue: 2015 - 2030 ($ Billion) ...... 317 Figure 26: Global Integrated Car Connections by Technology: 2015 - 2030 (Millions) ...... 317 Figure 27: Global Apple CarPlay Connections: 2015 - 2030 (Millions) ...... 318 Figure 28: Global Android Auto Connections: 2015 - 2030 (Millions) ...... 318 Figure 29: Global MirrorLink Connections: 2015 - 2030 (Millions) ...... 319 Figure 30: Global Other Integrated Car Connections: 2015 - 2030 (Millions) ...... 319 Figure 31: Global Connected Car Service Revenue by Application Category: 2015 - 2030 ($ Billion) ...... 320 Figure 32: Global Connected Car Service Revenue for Communications & Infotainment: 2015 - 2030 ($ Billion) ...... 320 Figure 33: Global Connected Car Service Revenue for Navigation & Location Services: 2015 - 2030 ($ Billion) ...... 321 Figure 34: Global Connected Car Service Revenue for Vehicle Management: 2015 - 2030 ($ Billion) ...... 321 Figure 35: Global Connected Car Service Revenue for Safety & Security: 2015 - 2030 ($ Billion) ...... 322 Figure 36: Global Connected Car Service Revenue for Driver Assistance & Autonomous Driving: 2015 - 2030 ($ Billion) ...... 322 Figure 37: Connected Car Installed Base by Region: 2015 - 2030 (Millions) ...... 323 Figure 38: Connected Car Service Revenue by Region: 2015 - 2030 ($ Billion) ...... 323 Figure 39: Asia Pacific Connected Car Installed Base: 2015 - 2030 (Millions) ...... 324 Figure 40: Asia Pacific Connected Car Service Revenue: 2015 - 2030 ($ Billion) ...... 324

..

Page 16

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

Figure 41: Europe Connected Car Installed Base: 2015 - 2030 (Millions) ...... 325 Figure 42: Europe Connected Car Service Revenue: 2015 - 2030 ($ Billion) ...... 325 Figure 43: Middle East & Africa Connected Car Installed Base: 2015 - 2030 (Millions) ...... 326 Figure 44: Middle East & Africa Connected Car Service Revenue: 2015 - 2030 ($ Billion) ...... 326 Figure 45: Latin & Central America Connected Car Installed Base: 2015 - 2030 (Millions) ...... 327 Figure 46: Latin & Central America Connected Car Service Revenue: 2015 - 2030 ($ Billion) ...... 327 Figure 47: North America Connected Car Installed Base: 2015 - 2030 (Millions) ...... 328 Figure 48: North America Connected Car Service Revenue: 2015 - 2030 ($ Billion) ...... 328 Figure 49: Brazil Connected Car Installed Base: 2015 – 2030 (Millions) ...... 329 Figure 50: Brazil Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 329 Figure 51: Canada Connected Car Installed Base: 2015 – 2030 (Millions) ...... 330 Figure 52: Canada Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 330 Figure 53: China Connected Car Installed Base: 2015 – 2030 (Millions) ...... 331 Figure 54: China Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 331 Figure 55: Egypt Connected Car Installed Base: 2015 – 2030 (Millions) ...... 332 Figure 56: Egypt Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 332 Figure 57: France Connected Car Installed Base: 2015 – 2030 (Millions) ...... 333 Figure 58: France Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 333 Figure 59: Germany Connected Car Installed Base: 2015 – 2030 (Millions) ...... 334 Figure 60: Germany Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 334 Figure 61: India Connected Car Installed Base: 2015 – 2030 (Millions) ...... 335 Figure 62: India Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 335 Figure 63: Indonesia Connected Car Installed Base: 2015 – 2030 (Millions) ...... 336 Figure 64: Indonesia Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 336 Figure 65: Italy Connected Car Installed Base: 2015 – 2030 (Millions) ...... 337 Figure 66: Italy Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 337 Figure 67: Japan Connected Car Installed Base: 2015 – 2030 (Millions) ...... 338 Figure 68: Japan Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 338 Figure 69: Mexico Connected Car Installed Base: 2015 – 2030 (Millions) ...... 339 Figure 70: Mexico Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 339 Figure 71: Russia Connected Car Installed Base: 2015 – 2030 (Millions) ...... 340 Figure 72: Russia Connected Car Service Revenue: 2015 – 2030 ($ Billion)...... 340 Figure 73: Saudi Arabia Connected Car Installed Base: 2015 – 2030 (Millions) ...... 341 Figure 74: Saudi Arabia Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 341 Figure 75: South Africa Connected Car Installed Base: 2015 – 2030 (Millions) ...... 342 Figure 76: South Africa Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 342 Figure 77: South Korea Connected Car Installed Base: 2015 – 2030 (Millions) ...... 343 Figure 78: South Korea Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 343 Figure 79: UK Connected Car Installed Base: 2015 – 2030 (Millions) ...... 344 Figure 80: UK Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 344 Figure 81: USA Connected Car Installed Base: 2015 – 2030 (Millions) ...... 345 Figure 82: USA Connected Car Service Revenue: 2015 – 2030 ($ Billion) ...... 345 Figure 83: Connected Car Service Revenue Breakdown by Application Category: 2020 (%) ...... 355

..

Page 17

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

1 Chapter 1: Introduction

1.1 Executive Summary

The growing proliferation of embedded in-vehicle connectivity and smartphone integration platforms has made connected cars one of the fastest growing segments of the IoT ( of Things) market. Keen to establish recurring post- sale service revenue streams, all major automotive OEMs are investing in connected car programs. Other ecosystem players, such as mobile operators and telematics specialists, are also vying to gain a larger share of the opportunity. In fact, many mobile operators have expanded beyond their traditional role as connectivity providers, to offer end-to-end connected car platforms directly to automotive OEMs and aftermarket suppliers.

By 2020, SNS Research estimates that connected car services will account for nearly $40 Billion in annual revenue, driven by a host of applications, including but not limited to infotainment, navigation, fleet management, remote diagnostics, automatic crash notification, enhanced safety, UBI (Usage Based Insurance), traffic management and even autonomous driving.

The “Connected Car Ecosystem: 2015 – 2030 – Opportunities, Challenges, Strategies & Forecasts” report presents an in-depth assessment of the connected car ecosystem including OEM connected car programs, enabling technologies, key trends, market drivers, challenges, key applications, collaborative initiatives, regulatory landscape, standardization, opportunities, future roadmap, value chain, ecosystem player profiles and strategies. The report also presents market

..

Page 18

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

size forecasts for connected car services from 2015 through to 2030. The forecasts are segmented for 3 connectivity models, 5 application categories, 5 regions and 17 leading countries.

The report comes with an associated Excel datasheet suite covering quantitative data from all numeric forecasts presented in the report.

1.2 Topics Covered

The report covers the following topics:

- Connected car ecosystem - Market drivers and barriers - Enabling technologies and key trends - Connected car programs and platform offerings - Embedded, tethered and integrated connectivity models - Analysis of key applications and opportunities - Regulatory landscape, collaborative initiatives and standardization - Industry roadmap and value chain - Profiles and strategies of over 230 leading ecosystem players, including automotive OEMs, mobile operators and connected car platform specialists - Strategic recommendations for ecosystem players - Market analysis and forecasts from 2015 till 2030

..

Page 19

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

1.3 Historical Revenue & Forecast Segmentation

. Connected car installed base and service revenue forecasts are provided for each of the following submarkets and their subcategories: - Connectivity Model . Embedded . Tethered . Integrated

- Application Category . Communications & Infotainment . Navigation & Location Services . Vehicle Management . Safety & Security . Driver Assistance & Autonomous Driving

- Embedded Car Connections . GSM . CDMA-2000 . W-CDMA . TD-SCDMA . LTE . Satellite & Other Technologies

- Tethered Car Connections . Wireless . Wireline

..

Page 20

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

- Integrated Car Connections . Apple CarPlay . Android Auto . MirrorLink . Others

- Regional Markets . Asia Pacific . Europe . Middle East & Africa . North America . Latin & Central America

- Country Markets . Brazil . Canada . China . Egypt . France . Germany . India . Indonesia . Italy . Japan . Mexico . Russia . Saudi Arabia . South Africa . South Korea . UK . USA

..

Page 21

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

1.4 Key Questions Answered The report provides answers to the following key questions:

- How big is the connected car opportunity? - What trends, challenges and barriers are influencing its growth? - How is the ecosystem evolving by segment and region? - What will the market size be in 2020 and at what rate will it grow? - Which countries and submarkets will see the highest percentage of growth? - Who are the key market players and what are their strategies? - How will connected cars drive investments in Big Data, cloud computing, analytics and other technologies? - What are the growth prospects of embedded, tethered and integrated connectivity options? - How do government mandates and initiatives impact the adoption of embedded connectivity? - What are the future prospects of self-driving cars and cooperative V2X applications? - Do LTE and 5G technologies pose a threat to the 802.11p standard for V2X communications? - What strategies should automotive OEMs, mobile operators and connected car platform specialists adopt to remain competitive?

..

Page 22

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

1.5 Key Findings

The report has the following key findings:

- By 2020, SNS Research estimates that connected car services will account for nearly $40 Billion in annual revenue, driven by a host of applications - The proportion of connected car service revenue for driver assistance systems and autonomous driving applications is expected to dramatically increase from merely 5 percent in 2014 to over 11 percent by 2020 - Largely driven by connected car services, Big Data and analytics technology investments in the automotive sector are expected to reach $5 Billion by 2020, following a CAGR of over 14% between 2015 and 2020 - The connected car ecosystem continues to consolidate, with larger players investing in acquisitions to increase their market share, capability, revenue and geographic reach - Many mobile operators have expanded beyond their traditional role as connectivity providers, to offer end-to-end connected car platforms directly to automotive OEMs and aftermarket suppliers

..

Page 23

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

1.6 Methodology

The contents of this report have been accumulated by combining information attained from a range of primary and secondary research sources. In addition to analyzing official corporate announcements, policy documents, media reports, and industry statements, SNS Research sought opinions from leading industry players within the connected car ecosystem to derive an unbiased, accurate and objective mix of market trends, forecasts and the future prospects of the industry between 2015 and 2030.

..

Page 24

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

1.7 Target Audience

The report targets the following audience:

- Automotive OEMs - Aftermarket suppliers - Mobile operators - Telematics providers - Connected car platform specialists - Enabling technology providers - Content providers - Cloud computing, Big Data and analytics specialists - Insurance companies - Regulatory authorities - Investors

..

Page 25

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

1.8 Companies & Organizations Mentioned

The following companies and organizations have been reviewed, discussed or mentioned in the report:

21ViaNet Group Geely (Zhejiang Geely Holding Pioneer Corporation Group) 3GPP (3rd Generation Partnership Gemalto Powermat Technologies Project) Abalta Technologies GENIVI Alliance PSA Peugeot Citroen Accenture GM (General Motors Company) QiMing Information Technology Acura Google QNX Software Systems Aeris Communications H&D Wireless Qoros Automotive Agero Harman International Industries Qt Company AGL (Automotive Grade Linux) Hawtai Motor Group Quake Global Airbiquity HDS (Hitachi Data Systems) Qualcomm Alcatel-Lucent HERE Quectel Alibaba Group Hitachi RacoWireless Alliance of Automobile Honda Motor Company RealVNC Manufacturers Allstate Insurance Company HTC Corporation Redbend Alpine Electronics Huawei Redpine Signals Altera Corporation Hughes Telematics Renault (Groupe Renault) Amdocs Hyundai Motor Company Renesas Electronics Corporation América Móvil iBiquity Digital Corporation Robert Bosch Car Multimedia Analog Devices IBM Rogers Communications Apple IEEE (Institute of Electrical and ROHM Semiconductor Electronics Engineers) Arada Systems iHeartMedia RSA Insurance Group ARIB (Association of Radio Infineon Technologies RTX A/S Industries and Businesses, Japan) Arynga Infiniti SAIC Motor Corporation Association of Global Automakers Ingenie AT&T INRIX SAP AT&T Mobility INSYS Microelectronics Savari ATIS (Alliance for Intel Corporation SEAT Telecommunications Industry Solutions, U.S.) Atmel Corporation Inthinc Technology Solutions Seeing Machines Atos Inventek Systems Sierra Wireless

..

Page 26

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

Atos Worldline ip-label Silicon Laboratories Audi ISO (International Organization for SIMCom Wireless Solutions Standardization) Automatic Labs ITS America (Intelligent SiriusXM Radio Transportation Society of America) AutoNavi Software ITS Australia (Intelligent Transport SK Group Systems Australia) Autonet Mobile ITS Japan SK Telecom Autotalks ITU (International Skoda Auto Telecommunications Union) Avago Technologies iWOW Connections SkyWave Mobile Communications AVnu Alliance Ixonos SoftBank Corporation Azuga Jaguar Land Rover Automotive SoftBank Mobile Corporation B&B Electronics Jasper Technologies Sony Corporation Baidu Johnson Controls Sony Mobile Communications BlackBerry Kapsch TrafficCom Spirent Communications BMW KDDI Corporation Sprint Corporation Bosch Kia Motors Corporation STMicroelectronics Bosch SoftTec KORE Wireless Group Subaru Bouygues Group KPN Summit Tech Bouygues Telecom KT Corporation Suzuki Motor Corporation Bright Box Laird Symphony Teleca Broadcom Corporation Lantronix Synchronoss Technologies BYD Auto Lesswire TagStation C2C-CC (CAR 2 CAR Communication Lexus Tata Motors Consortium) Cadillac LG Electronics TCS (TeleCommunication Systems) CCC (Car Connectivity Consortium) LG Group Tech Mahindra CCSA (China Communications LG Uplus Standards Association) CEN (European Committee for Lincoln Motor Company Telecom Italia Standardization) CenNavi Technologies Linux Foundation Telefónica Changan Automobile Company LS Research Telenav Chery Magellan Telenor Connexion China Mobile Magneti Marelli Telenor Group China Telecom Mahindra and Mahindra Telit Communications China TSP Mazda Motor Corporation Telogis China Unicom Mercedes Benz Telstra Corporation Cisco Systems MIC (MiTAC International Tesla Motors Corporation) Clarion Michelin TI (Texas Instruments) Claro Microchip Technology TIA (Telecommunications Industry Association, U.S.)

..

Page 27

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

CloudCar Microsoft Corporation TIM (Telecom Italia Mobile) CloudMade Microtronics TimaNetworks Cobra Automotive Technologies Minacs Tobii Technology Cohda Wireless Mio Technology TomTom Connect One Mitsubishi Electric Corporation TomTom Telematics Continental Mitsubishi Motors Corporation Toshiba Corporation Covisint Modacom Toumaz Group Cox Automotive Mojio Toyota Motor Corporation Coyote Systems MOSTCO (MOST Cooperation) TRA (UAE Telecommunications Regulatory Authority) CPIC (China Pacific Insurance Movistar T-Systems Group) CSR Multi-Tech Systems TTA (Telecommunications Technology Association, Korea) Cubic Telecom Murata Manufacturing TTC (Telecommunication Technology Committee, Japan) Daimler Navman U.S. DOT (Department of Transport) deCarta Navman Wireless & Teletrac U.S. NHTSA (National Highway Traffic Safety Administration) Delphi NEC Corporation Uber DENATRAN (National Road Neoway U-blox Transport Department, Brazil) Denso Corporation Netsize Ubridge DGE Nissan Motor Company UIEvolution Digi International NNG Vehcon Digia Nokia Veniam Dongfeng Motor Corporation Novatel Wireless Verizon Communications DT (Deutsche Telekom) Novero Verizon Telematics EDGE3 Technologies NTT DoCoMo Verizon Wireless Elektrobit Nuance Communications Vinli eMapgo Nvidia Corporation Visteon Corporation Ericsson NXP Semiconductors Vodafone Automotive ETSI (European OAA (Open Automotive Alliance) Vodafone Group Telecommunications Standards Institute) European Commission Octo Telematics Voicebox Technologies FAW Group Corporation ON Semiconductor Volkswagen FCA (Fiat Chrysler Automobiles) OneM2M Volvo FEV Group OnStar Corporation W3C (World Wide Web Consortium) Flextronics International OPEN Alliance SIG (Special Industry Wireless Logic Group) Ford Motor Company OpenCar WirelessCar Franklin Wireless Openmatics Xilinx

..

Page 28

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

Freescale Semiconductor Option N.V. Xtime Frontier Silicon Oracle ZTE Fuji Heavy Industries Orange Zubie Fujitsu Semiconductor Panasonic Corporation Fujitsu Ten Pandora Media GAIG (Guangzhou Automobile Parrot Industry Group) Garmin Pateo Corporation

..

Page 29

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

Copyright SNS Research Ltd, 2015. All rights reserved.

This material is subject to the laws of copyright and is restricted to registered license-holders who have entered into a Corporate, a Multi-User or a Single-User license agreement with SNS Research Ltd. It is an offence for the license-holder to make the material available to any unauthorized person, either via e-mail messaging or by placing it on a network.

All SNS research reports & databases are intended to provide general information and strategic insights only, and they do not constitute, nor are they intended to constitute, investment advice. SNS Research and its employees disclaim all and any guarantees, undertakings and warranties, whether expressed or implied, and shall not be liable for any loss or damage whatsoever, and whether foreseeable or not, arising out of, or in connection with, any use of or reliance on any information, statements, opinions, estimates or forecasts contained in the reports.

..

Page 30

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

2.4.11 Big Data & Analytics

With the growing adoption of in-vehicle connectivity, automotive OEMs and other stakeholders are keen to gain valuable insights by analyzing data generated by connected cars. Big Data technology provides a scalable, robust and low cost solution to collect and store this information, while analytics platforms provide the necessary capabilities2 for deriving meaningful insights from this information. Collectively both technologies address a range of applications in the connected car arena, such as real-time alerts on traffic, driver behavior, maintenance, safety risk and performance.

$20 $15 $10 $5 $0

Figure 3: Global Big Data & Analytics Technology Investments in the Automotive Sector: 2015 - 2030 ($ Billion)

Source: SNS Research

SNS Research estimates that Big Data and analytics technology investments in the automotive sector will account for $5 Billion by 2020, following a CAGR of over 14% between 2015 and 2020.

2 Using a range of techniques including but not limited to statistics, predictive analytics, text analytics, machine learning, data mining and natural language processing

..

Page 40

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

5.2 Value Chain

The connected car value chain is complex with many significant players across different segments of the ecosystem, including enabling technology providers, automotive OEMs, aftermarket suppliers, end-to-end connected car platform specialists, telematics providers, connectivity providers, content providers, cloud platform providers, Big Data & analytics specialists, insurance companies, suppliers of supplementary services, distributors and end users.

Figure 5: Connected Car Value Chain

Source: SNS Research

5.2.1 Enabling Technology

Enabling technology providers form a key link in the connected car value chain. They supply the essential hardware and software technologies that enable

..

Page 70

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

6.81 Harman International Industries

Overview & Strategy

Harman International Industries designs and engineers connected products and solutions for consumers, automotive OEMs, and enterprises worldwide. Headquartered in Stamford, Connecticut, the company continues to expand its connected car portfolio through both organic growth and acquisitions. In 2015, it acquired Redbend and Symphony Teleca10.

Harman’s embedded infotainment solutions offer comprehensive information, entertainment and communications capabilities, including audio and video, route navigation, connectivity and visual ADAS applications. Through its cloud platform, the company also offers a range of additional connected car services for automotive OEMs, including deployment of software through OTA (Over-the-Air) updates, remote diagnostics and telematics for Big Data, service management and analytics applications.

Geographical Regions

Global

Target Market

Automotive OEMs, consumers and enterprises

Key Offerings

Telematics and infotainment

10 Symphony Teleca brought the company cloud analytics capabilities, while Redbend brought mobile device management and OTA firmware updating technology

..

Page 156

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

6.223 Vodafone Group

Overview & Strategy

Operating globally, Vodafone is a British multinational telecommunications company headquartered in London. The company offers connectivity for both consumer devices and M2M services. Keen to capitalize on emerging opportunities in the connected car ecosystem, the global mobile operator actively partners with several automotive OEMs, including BMW.

Vodafone is also an active player in the telematics segment of the market. In 2014, it paid $191 Million to acquire Cobra Automotive Technologies, which was subsequently renamed Vodafone Automotive. Vodafone Automotive offers a range of solutions including in-car telematics, stolen vehicle tracking and UBI. In addition, the business unit also offers electronic systems such as alarms, immobilizers, parking aids, speed limiters and cruise control units.

Geographical Regions

Global

Target Markets

Automotive OEMs, consumers and enterprise

Key Offerings

Connectivity services, telematics and automotive electronics

..

Page 298

The Connected Car Ecosystem: 2015 – 2030 Opportunities, Challenges, Strategies & Forecasts

8.12 Assessing the Impact of Self-Driving Cars

Self-driving cars are heavily reliant on connectivity, in order to continually monitor and update their navigation path. To accommodate this requirement, automotive OEMs are enhancing their conventionally self-contained ADAS implementations with the ability to gather and exchange data from outside the vehicle.

As automotive OEMs and technology giants push ahead with experiments to make self-driving cars a reality, we expect the first vehicles with comprehensive autonomous driving capabilities to hit the market by 2020, following a gradual path with incremental improvements.

11% Communications & Infotainment

32% Navigation & Location Services 14%

Vehicle Management 13% Safety & Security

30% Driver Assistance & Autonomous Driving

Figure 83: Connected Car Service Revenue Breakdown by Application Category: 2020 (%) Source: SNS Research SNS Research estimates that the proportion of connected car service revenue for driver assistance systems and autonomous driving applications is expected to dramatically increase from merely 5 percent in 2014 to over 11 percent by 2020. This increase will largely be driven by the need to frequently transfer sensor and mapping data to enable autonomous driving.

..

Page 355