The cellular vehicle-to-everything (C-V2X) market is estimated to cross valuation of USD 6 billion by 2030, as reported in a research study by Global Market Insights Inc. Strong involvement of governments in the improvement of transportation systems will enhance the cellular vehicle-to-everything (C-V2X) industry trends. Furthermore, advancements in cellular technologies, along with rising cases of road accidents will increase the demand for C-V2X.
As per the Global Status Report on Road Safety by the World Health Organization, approximately 1.3 million people die each year as a result of road traffic crashes. In 2021, these accidents cost most nations 3% of their gross domestic product. Operative error in autonomous driving systems may emerge as a vital restraining factor for cellular vehicle-to-everything market growth. Nevertheless, the commercialization of 5G networks across the world may aid players in eventually fixing the glitches in autonomous systems in vehicles.
Increasing demand for C-V2X platforms to push the software segment growth
The software segment is set to witness appreciable growth through 2030 driven by the proliferating trend of connected vehicles. Cellular V2X is designed to directly connect vehicles with each other in addition to the infrastructure. C-V2X communication enables the exchange of critical, time-sensitive information pertaining to safety even in regions with inadequate mobile network coverage.
Vehicle-to-network segment to depict an appreciable growth
The vehicle-to-network (V2N) segment held over 16% of the cellular vehicle-to-everything market share in 2021 and is poised to observe significant growth in the coming years. The segment growth is credited to efficient potential pertaining to long-range communications in self-driving cars for warning indications for obstacles or traffic congestion far ahead, a centralized positioning system, remote controlling of vehicles, sending & downloading detailed sensor data (dynamic maps), and vehicle health reports, among other applications. The requirement for cellular networks to resolve these issues will boost the use of C-V2X for V2N communication.
Smart infrastructure for effective transportation system to propel intelligent traffic systems application segment growth
The intelligent traffic systems application segment captured approximately 16% of cellular vehicle-to-everything market revenue share by 2030. Strong government efforts to integrate smart infrastructure across cities with the aim to improve the overall transportation system will fuel industry progress. The C-V2X technology connects with roadside infrastructures, including traffic signals and security cameras, and provides information regarding road and traffic conditions, which helps drivers oversee road situations.
Increasing demand for safety in passenger vehicles to augment the industry growth
The passenger vehicle segment to register appreciable growth until 2030. This can be attributed to the fact that the increasing number of passenger vehicle sales has been causing major disruption in road transportation, given the high record of accidents. The ‘Global status report on road safety 2018’ by WHO in 2018 states that the number of road traffic deaths annually reached 1.35 million. With road traffic injuries emerging as a leading killer of people, adoption of C-V2X communication technology in PVs has become more significant than ever.
Latin America to emerge as a prominent regional ground
The Latin America cellular vehicle-to-everything (C-V2X) market to reach USD 585 million in by 2030. Government agencies are actively working to revive the automotive sector after a significant slowdown in vehicle sales in the region. Moreover, the overall market growth is supported by the key global automakers who are making inroads in the region, especially in Mexico, which will foster the LATAM C-V2X industry outlook.
Government institutions are closely working with automotive industry leaders & researchers to develop effective frameworks for rapid adoption of C-V2X technology in North America, which will favor the regional industry scenario. As per the report, the North America cellular vehicle-to-everything industry size is likely to cross a valuation of USD 150 million by 2030.