Automotive V2X Market Size is estimated to reach over USD 18,027.58 Million by 2032 from a value of USD 1,598.02 Million in 2024 and is projected to grow by USD 2,135.53 Million in 2025, growing at a CAGR of 40.3% from 2025 to 2032.
Automotive V2X Market Scope & Overview:
Automotive V2X (vehicle-to-everything) enables vehicles to share the information from its cameras, sensors, and internal systems with other vehicles along with nearby pedestrians, road infrastructure, and smart city systems by utilizing wireless data connectivity. Moreover, automotive V2X system offer a broad range of benefits such as improved road safety, enhanced mobility, increased efficiency, improved transportation system management, and others. The aforementioned benefits of automotive V2X system are key determinants for increasing its adoption in passenger cars and commercial vehicles.
Rising vehicle production is propelling the automotive V2X market growth
V2X system refers to vehicular communication system that includes cameras, sensors, and wireless connectivity. V2X system is primarily integrated in vehicles for sharing real-time information with their drivers, other vehicles, along with pedestrians and roadway infrastructure such as traffic lights. As a result, the rising vehicle production is further driving the market.
For instance, according to the International Organization of Motor Vehicle Manufacturers, the total passenger car production worldwide reached up to 68,020,265 units in 2023, representing an increase of nearly 11% from 61,553,361 units in 2022. Similarly, the total passenger car production across the world reached 57,086,075 in 2021.
Therefore, as per the analysis, the rising vehicle production is driving the adoption of automotive V2X system for facilitating enhanced mobility and improved road safety, in turn proliferating the automotive V2X market size.
Key Restraints:
Prevalence of stringent regulations and standards associated with automotive V2X system is restraining the automotive V2X market expansion
The manufacturers of V2X systems have to comply with various stringent standards such as ISO (International Organization for Standardization) standard, International Electrotechnical Commission (IEC) standard, and others.
ISO standard is among the primary standards that include ISO 9001 and ISO 14001, which apply to quality management and environmental management respectively. ISO standards provide a set of guidelines for V2X system manufacturers to establish levels of homogeneity in accordance with the management, provision of services, and product development in the industry.
Additionally, ISO 15118 standard is applicable to vehicle to grid (V2G) communication interface for bi-directional charging/discharging of electric vehicles. Hence, the prevalence of aforementioned regulations and standards associated with vehicle V2X system are restraining the market.
Future Opportunities :
Rising adoption of electric vehicles is expected to drive the automotive V2X market opportunities
Factors including prevalence of stringent automotive emission regulations, increasing consumer preference for sustainable transportation, along with availability of subsidies and tax rebates are leading to significant adoption of electric vehicles (EVs). Moreover, modern EVs are often integrated with V2X system for establishing communication between vehicles and their surroundings in order to improve road safety, traffic efficiency, and overall driving experience, which is providing lucrative aspects for market growth.
For instance, according to International Energy Agency (IEA), the overall sales of electric car reached approximately 14 million in 2023, among which China, Europe and United States accounted for 95% of the total sales.
Hence, as per the analysis, the rising adoption of electric vehicles is projected to increase the integration of V2X system in modern EVs, in turn, driving the automotive V2X market opportunities during the forecast period.
Automotive V2X Market Segmental Analysis :
By Connectivity Type:
Based on connectivity type, the market is segmented into DSRC and cellular.
Trends in the connectivity type:
Significant integration of DSRC technology due to its ability to provide high-speed communication and operate in extreme weather conditions.
There is a rising trend towards utilization of cellular V2X, attributing to its several benefits including direct communication over longer distance, improved non-line-of-sight performance, enhanced reliability of security messaging and features, and others.
The DSRC segment accounted for a significant revenue in the overall market in 2024.
Dedicated short-range communication (DSRC) refers to a technology used for facilitating direct wireless exchange of V2X and other intelligent transportation system data among vehicles, other road users, as well as roadside infrastructure.
DSRC typically operates in the 5.9 GHz band, and offers low latency, direct information exchange among vehicles and the infrastructure.
Moreover, DSRC is capable of providing high-speed communication even in the presence of obstructions. It is also capable of handling fast-changing environment at high speeds and operating in extreme weather conditions.
According to the automotive V2X market analysis, the aforementioned benefits of DSRC technology is increasing its adoption in vehicle V2X system, in turn driving the automotive V2X market size.
The cellular segment is anticipated to register a substantial CAGR growth during the forecast period.
Cellular V2X is a communication technology that enables network and direct connection among automobiles and other vehicles, infrastructure, electronic and gadgets.
Cellular V2X is capable of transmitting data on multiple variables such as vehicle position, direction, and speed, along with conditions on the road, between automobiles and other devices through LTE and 5G.
For instance, Qualcomm offers cellular vehicle-to-everything (C-V2X) technology in its solution offerings. Qualcomm’s C-V2X technology can help in improving vehicle connectivity, enhancing autonomous driving, and supporting smart transportation.
Thus, increasing advancements associated with cellular V2X technology are anticipated to propel the market during the forecast period.
By Communication Type:
Based on communication type, the market is segmented into vehicle-to-infrastructure (V2I), vehicle-to-grid (V2G), vehicle-to-vehicle (V2V), vehicle-to-home (V2H), vehicle-to-pedestrian (V2P), and vehicle-to-network (V2N).
Trends in the Communication Type:
Rising trend towards integration of vehicle-to-vehicle (V2V) technology to enable vehicles to connect with one and share information related to speed, braking, geolocation, stability, and travel direction among others.
Increasing adoption of vehicle-to-pedestrian (V2P) technology to provide warnings to the pedestrian of an approaching vehicle or warnings to the vehicle regarding vulnerable road users.
The vehicle-to-vehicle (V2V) segment accounted for the largest revenue share of 43.29% in the total automotive V2X market share in 2024, and it is anticipated to register a substantial CAGR growth during the forecast period.
Vehicle-to-vehicle (V2V) refers to a communication technique in which vehicles connect with one another by using dedicated short-range communications (DSRC) or 5G connectivity, which further helps in crash avoidance.
V2V communication primarily utilizes VANETs (vehicular ad hoc networks), which are wireless networks that enables vehicles to communicate and share information regarding their driving habits. The data consists of speed, braking, geolocation, stability, and travel direction.
V2V communication technology plays a crucial role in improving road safety by sending out incident notifications before a driver notices them.
For instance, Qualcomm’s cellular-vehicle-to-everything (C-V2X) technology enables vehicles to directly communicate with other vehicles (V2V), with low-latency messages for driving applications that have an immediate safety benefit.
Therefore, increasing advancements associated with V2V communication technology are driving the automotive V2X market growth.
Based on unit type, the market is segmented into onboard unit and roadside unit.
Trends in the unit type:
Increasing adoption of onboard unit for facilitating vehicular communication, data exchange, traffic management, and safety applications.
Rising integration of roadside units for facilitating the exchange of information between vehicles and roadside infrastructure for enhancing traffic management and efficiency.
Onboard unit segment accounted for a significant revenue in the overall automotive V2X market share in 2024.
An onboard unit (OBU) refers to a device installed within a vehicle as part of an intelligent transportation system (ITS) for allowing communication between the vehicle and transportation infrastructure.
OBUs are vital components in the context of connected vehicle technologies, which supports V2X communication.
Moreover, onboard units are typically integrated with the vehicle's onboard systems, which enables OBUs to access and share information regarding the vehicle's status, in turn contributing to enhanced overall performance and safety.
For instance, iWave Systems Technologies Pvt. Ltd offers V2X on-board unit in its product offerings. The V2X on-board unit supports multiple wireless connectivity including 5G/cellular, Wi-Fi, and others.
Therefore, increasing developments related to V2X on-board units are driving the automotive V2X market trends.
Roadside unit segment is anticipated to register a substantial CAGR growth during the forecast period.
Roadside unit (RSU) refers to a device used in intelligent transportation systems and connected vehicle environments.
It is usually installed alongside roads or highways for facilitating communication between vehicles and transportation infrastructure.
RSUs play a vital role in facilitating vehicle-to-infrastructure (V2I) and vehicle-to-everything (V2X) communication.
For instance, HARMAN International offers Savari StreetWAVE roadside unit for vehicular connectivity in its product offerings. It utilizes 5G and C-V2X technologies for supporting critical communication framework among vehicles and infrastructures.
Therefore, the rising advancements related to V2X roadside units are anticipated to boost the market during the forecast period.
By Vehicle Type:
Based on the vehicle type, the market is segmented into passenger cars and commercial vehicles.
Trends in the vehicle type:
Factors including the rising disposable income, growing popularity of luxury cars, and progressions in autonomous driving systems are key aspects propelling the passenger cars segment.
Factors including the rising sales of heavy-duty vehicles, growing investments in commercial vehicles, and increasing need for economical modes of transportation and logistics are primary determinants for driving the commercial vehicles segment.
Passenger cars segment accounted for the largest revenue share in the total market share in 2024, and it is anticipated to register substantial CAGR growth during the forecast period.
V2X system refers to vehicular communication system that includes cameras, sensors, and wireless connectivity.
V2X system is primarily integrated in passenger cars for sharing real-time information with their drivers, other vehicles, along with pedestrians and roadway infrastructure such as traffic lights.
For instance, according to the International Organization of Motor Vehicle Manufacturers, the total passenger car production in Europe reached up to 15,449,729 units in 2023, representing an increase of nearly 13% from 13,727,841 units in 2022.
According to the analysis, the rising production of passenger cars is propelling the automotive V2X market trends.
Regional Analysis:
The regions covered are North America, Europe, Asia Pacific, the Middle East and Africa, and Latin America.
Asia Pacific region was valued at USD 598.81 Million in 2024. Moreover, it is projected to grow by USD 801.93 Million in 2025 and reach over USD 6,928.00 Million by 2032. Out of this, China accounted for the maximum revenue share of 32.7%. As per the automotive V2X market analysis, the adoption of vehicle V2X systems in the Asia-Pacific region is primarily driven by increasing government investments in automotive sector, rising automobile production, and increasing adoption of electric vehicles. Additionally, the rising advancements associated with passenger cars and increasing integration of advanced driver assistance system (ADAS) in modern vehicles are further accelerating the automotive V2X market expansion.
For instance, according to the Society of Indian Automobile Manufacturers (SIAM), the total production of passenger cars in India reached 49,01,844 units during FY 2023-24, representing an incline of 7% in comparison to 45,87,116 units during FY 2022-23. The above factors are further propelling the market demand in the Asia-Pacific region.
North America is estimated to reach over USD 5,136.06 Million by 2032 from a value of USD 449.10 Million in 2024 and is projected to grow by USD 600.85 Million in 2025. In North America, the growth of automotive V2X industry is driven by rising production of automobiles and increasing adoption of electric vehicles (EVs) in the region. Similarly, favorable government measures regarding the integration of V2X technologies are further contributing to the automotive V2X market demand.
For instance, in August 2024, the S. Department of Transportation announced its plan to accelerate V2X deployment, as part of its commitment to reduce serious injuries and deaths on the country’s roadways. This plan is projected to drive the integration of V2X technologies across the country, in turn boosting the market demand in North America during the forecast period.
Additionally, the regional analysis depicts that the increasing vehicle production, advent of electro mobility, and advancements in autonomous driving are propelling the automotive V2X market demand in Europe. Furthermore, as per the market analysis, the market demand in Latin America, Middle East, and African regions is expected to grow at a considerable rate due to factors such as growing automotive sector and increasing investments in electric vehicles among others.
Top Key Players & Market Share Insights:
The global automotive V2X market is highly competitive with major players providing products to the national and international markets. Key players are adopting several strategies in research and development (R&D), product innovation, and end-user launches to hold a strong position in the automotive V2X market. Key players in the automotive V2X industry include-
In March 2025, HARMAN introduced Ready Aware, which is a vehicle-to-network (V2N) solution developed to provide real time contextual insights to facilitate safer driving decisions. The solution is available to OEMs for new production as well as existing connected vehicles in Europe, North America, and India.
Automotive V2X Market Report Insights:
Report Attributes
Report Details
Study Timeline
2019-2032
Market Size in 2032
USD 18,027.58 Million
CAGR (2025-2032)
40.3%
By Connectivity Type
DSRC
Cellular
By Communication Type
Vehicle-To-Infrastructure (V2I)
Vehicle-To-Grid (V2G)
Vehicle-To-Vehicle (V2V)
Vehicle-To-Home (V2H)
Vehicle-To-Pedestrian (V2P)
Vehicle-To-Network (V2N)
Others
By Unit Type
Onboard Unit
Roadside Unit
By Vehicle Type
Passenger Cars
Commercial Vehicles
By Region
Asia-Pacific
Europe
North America
Latin America
Middle East & Africa
Key Players
Continental AG (Germany)
Qualcomm Inc. (U.S)
HARMAN International (U.S)
Cisco Systems Inc. (U.S)
Delphi Automotive LLP (United Kingdom)
Infineon Technologies AG (Germany)
Mobileye (Israel)
NXP Semiconductors (Netherlands)
Robert Bosch GmbH (Germany)
TomTom International B.V. (Netherlands)
North America
U.S.CanadaMexico
Europe
U.K.GermanyFranceSpainItalyRussiaBeneluxRest of Europe
APAC
ChinaSouth KoreaJapanIndiaAustraliaASEANRest of
Asia-Pacific
The automotive V2X market was valued at USD 1,598.02 Million in 2024 and is projected to grow to USD 18,027.58 Million by 2032.
Which is the fastest-growing region in the automotive V2X market? +
Asia-Pacific is the region experiencing the most rapid growth in the automotive V2X market.
What specific segmentation details are covered in the automotive V2X report? +
The automotive V2X report includes specific segmentation details for connectivity type, communication type, unit type, vehicle type, and region.
Who are the major players in the automotive V2X market? +
The key participants in the automotive V2X market are Continental AG (Germany), Qualcomm Inc. (U.S), HARMAN International (U.S), Cisco Systems Inc. (U.S), Delphi Automotive LLP (United Kingdom), Infineon Technologies AG (Germany), Mobileye (Israel), NXP Semiconductors (Netherlands), Robert Bosch GmbH (Germany), TomTom International B.V. (Netherlands), and others.
Amit Sati is a Senior Market Research Analyst in the Research team of Consegic Business Intelligence. He has specialization in ICT Domain. He is client-focused, understands multiple research methods, holds strong analytical skills, in-depth presentation, and reporting skills. Amit is industrious with his research work and has sturdy attention to details. He has capability of pattern recognition within statistics, holds strong analytical mind, great training abilities and capability to quickly gel with fellow mates.