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Internet Connected Cars to Exceed 90 Million by 2016 with Smartphones Playing a Pivotal Role

The integration of the smartphone into consumer vehicles will become all but standard on new models, finds a new report by Juniper Research, which forecasts that 92 million vehicles will feature technology to integrate the smartphone into the head-unit by 2016.

New protocols such as MirrorLink from the Connected Car Consortium will help automotive manufacturers like  Mercedes and Toyota follow Ford in introducing technology which allows the smartphone to become hub, enabling mobile internet, smartphone app and content access across the range of vehicles that they sell.

“Integrating the smartphone into consumer cars represents a new route for the mobile Internet and infotainment to enter the vehicle,” says report author Anthony Cox.  The report notes that the main inhibitor for this form of telematics will be limited growth in the automotive market over the next five years, particularly in developed regions.

Further findings from the report include: 

• Commercial telematics is seeing sustained take-up, driven by its promise of increasing driver efficiency and managing costs.
• Regulatory initiatives such as the eCall driver safety project and Brazil’s regulation 245 governing stolen vehicles will boost telematics take-up in some geographical regions.
• Though several insurance companies are trialling the technology, insurance telematics remains in its infancy with most widespread commercial roll-outs not happening until at least 2014.

In the commercial telematics market, Juniper Research observes an increasing level of sophistication as fleet managers use telematics to increase fleet efficiency, comply with regulations and monitor driver behaviour. Players are also leveraging the power of the cloud and internet portals to enhance the services they offer.

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