Automotive Over-The-Air (OTA) Updates Market Expected To

Acumen Research and Consulting recently published report titled “Automotive Over-The-Air (OTA) Updates Market – Global Industry Analysis, Market Size, Opportunities and Forecast, 2021-2028”.

NEW YORK, April 06, 2022 (GLOBE NEWSWIRE) — The global automotive over-the-air (OTA) updates market size is estimated to grow a CAGR above 18.1% over the forecast timeframe and reach a market value of around USD 8511 million by 2028.

Just like any other IT software or operating system, vehicles also receive regular updates for new versions from their manufacturers. Software updates are an important part of the entire user experience because they include effective feature enhancements as well as significant security patches. Traditionally, software updates in vehicles have been performed individually by service centers. However, as cars become more connected, OEMs are experimenting with a new approach, transferring and implementing software updates directly to the vehicles over wireless connectivity, similar to how cell phones and computers receive upgrades. However, these software updates are known as over-the-air (OTA) updates.

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Over-the-air updates are alternative ways to provide devices such as set-top boxes, smartphones, electric vehicles, or secure voice communication systems with the latest software and security settings and even update encrypted information. A key feature of OTA is that a single specific site can push an update to all clients that cannot override, reject, or modify the update, and the update will take effect immediately for everyone in the channel. Also when updating the software or the operating system for the electronic control unit, the most important element is the secure OTA update. There are numerous obstacles to achieving secure OTA updates. However, many techniques have been proposed and integrated across the industry to achieve secure OTA updates.

Worldwide Automotive Over-The-Air (OTA) Updates Market Growth Aspects
The continuous expansion of internet connectivity across the world as well as numerous technological advances such as 5G, cloud services, artificial intelligence blockchain, Internet of Things (IoT), and machine learning have significantly fueled the economic growth over the past ten years. As a result, the easily accessible internet connectivity is propelling the growth of the automotive OTA updates market in the coming years. According to the research, more than 4.5 billion people were aggressively using the internet worldwide. In addition, the growth of the ICT sector has contributed significantly to economic growth, R&D spending, and labor productivity, among other economic changes in different countries around the world. Furthermore, the global market for OTA updates for cars is expected to grow rapidly as a result of the increasing number of electric vehicles and integrated cars. Additionally, data security and privacy concerns along with high implementation costs are hampering the growth of the global market.

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Growing demand for advanced infotainment stimulates the industry growth
In-vehicle infotainment is becoming an increasingly important feature for automakers as they seek to differentiate their cars from the competition. When all vehicles are comfortable, safe, and efficient, in-car infotainment becomes a compelling reason for consumers to choose one model or another. Additionally, user experience is a major draw for infotainment, as well as an area that’s rapidly improving. This is one of the reasons why in-car infotainment head units were the first to use OTA. The OTA standard makes it easy to keep track of new network improvements and safety practices, and encourages continuous improvements in in-car infotainment. By standardizing on a popular OTA methodology, Tier 1 and auto companies can make sure their in-car infotainment systems can stay updated with the latest updated system from car owners, while also giving themselves a vital strategic advantage no matter what the customer tech industry comes up with next.

Regional Overview
North America, Asia-Pacific, Europe, the Middle East & Africa, and Latin America, are the regional classification of the automotive over-the-air (OTA) updates market. In terms of growth, the Asia-Pacific automotive OTA updates market is anticipated to grow at the fastest CAGR during the forecast period. The increasing numbers of integrated car devices in vehicles, as well as the growing information and communication technology infrastructure, are expected to drive market growth in Asia-Pacific. Also because the majority of road traffic deaths arise in developing economies, regional governments are mandating the configuration of security features in automobiles. Furthermore, the growing popularity of electrical vehicles, as well as connected and autonomous vehicles, is driving up demand for automatic updates through the OTA channel. The Asia-Pacific market is projected to grow significantly during the projected years due to the existence of major car manufacturers in the regions, such as China, India, and Japan.

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Market Scope
The market for automobile over-the-air (OTA) updates has been divided into three categories: technology, vehicle type, and application. Based on the technology, the market is divided into firmware over-the-air technology (FOTA) and software over-the-air technology (SOTA). Based on vehicle type, the market split into passenger vehicle, and commercial vehicle. Based on application, the market is classified into electronic control unit (ECU), telematics control unit (TCU), safety & security, infotainment, and others.

Major Players
Some key players covered globally in the automotive over-the-air (OTA) updates industry are Airbiquity Inc., Continental AG, BlackBerry QNX Software System Ltd., Hitachi, Ltd., NXP Semiconductors N.V., Infineon Technologies AG, Qualcomm Incorporate, Harman International Industries, Inc., Robert Bosch GmbH, Verizon Communications Inc., Thales Group, and Xevo Inc.

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