60% of global cars shipments to have connected car solutions by 2017: ABI Research

Telecom Lead America: It is estimated that 60 percent of
new cars shipping globally will feature connected car solutions by 2017.

The penetration of global OEM connected car system will
increase from 11.4 percent in 2012 to 60.1 percent in 2017, according to ABI


The U.S and Western Europe will observe maximum
penetration at 80 percent by 2017. Developing regions such as Latin America and
Eastern Europe will also see strong increases in telematics penetration in new
vehicles, largely driven by mandates in Brazil and Russia.


OEM connected car system shipments to grow to 8.22 million in


ABI Research in another study predicts that OEM connected
car system shipments will grow to 39.5 million in 2016 from 8.22 million in


The United States and Western Europe will remain the
leading regions.


  In-car connectivity is quickly transforming the
automotive industry, enabling passive and active safety and security and
offering infotainment and connected lifestyle services to consumers but also
enabling new car ownership, usage, and experience modes such as car sharing,
(semi)-autonomous driving, dynamic demand-response electric vehicle charging
pricing, and customer and vehicle relationship management services including
prognostics and preventive maintenance,” said Dominique Bonte, VP and practice
director at ABI Research.


The study said that two main issues the automotive
industry continues to face are cost and lack of awareness.


The research firm suggests that connected car solutions
need to be offered as standard, integrated and convenient features instead of
being positioned as expensive, complex accessories.


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