Auto Infotainment Market Report

The additional features of voice command and artificial intelligence are expected to be an opportunity for the auto-information market. For instance, Mercedes-Benz integrated ChatGPT into MBUX vehicles for their U.S. customers via Microsoft Azure OpenAl Service. Also, Mercedes-Benz is further looking for the use of artificial intelligence and integrating it into the voice control of its vehicles as the next step. Also, by integrating ChatGPT voice control via the MBUX Voice Assistant's Hey Mercedes, it is expected to become the point of attraction. With the integration of artificial intelligence, the integration of augmented reality is expected to enhance the drivers experience. The integration of head-up displays and augmented reality technologies into automotive infotainment can improve the driver's awareness. Presenting information such as speed limits, navigation directions, and safety warnings onto the windshield, head-up display, and augmented reality offer a less distracting and more intuitive driving experience. Thus, with the integration of artificial intelligence and augmented reality, the number of applications that can be performed on auto-information devices may rise and can be used for various operations.

The major factor affecting the automotive entertainment market is the high cost of the device. Due to various functionality such as connectivity, multimedia, communication, and navigation, it requires dedicated software and hardware, which results in a high cost of the product. Also, due to high-resolution displays, touchscreen interfaces, voice recognition, connectivity options, and integration with mobile devices, further adds more cost to it, which limits the market growth. Also, to make info auto infotainment work, a huge amount of data needs to be stored to reduce the risk of code overwriting and data manipulation, which may result in vehicle failures and data hacking. As the user links their phone with infotainment systems, this may result in a major data leak where data such as payment transactions and personal ID photos are at huge risk. Thus, to keep user data secure, the manufacturers need to add on protection walls, which again results in the high cost of the product. Thus, the high cost and data leak may restrain the market demand.

In January 2024, Snapdragon® Cockpit Platform solutions were designed to provide the processing power required for a new level of computing, AI, and cloud connectivity to deliver personalization, convenience, and safety enhancements to occupants and the automotive ecosystem. The high performance, low-power platforms drove innovative functionality, including an advanced GPU for premium visual experiences, AI engines for enhanced personalization, and a rich software stack that used hypervisors for virtualized processing. A modern architecture supported the ongoing delivery of connected services, allowing consumers to upgrade to premium experiences while creating new monetization opportunities for automakers. In November 2021, Connectivity included advanced infotainment systems with smartphone integration. Both infotainment systems available for the new ŠKODA SLAVIA could be operated easily and intuitively, and entirely via the colour touchscreen measuring 7 or 10 inches. They featured SmartLink technology enabling the integration of smartphones. The Ambition and Style trim levels provided access to a plethora of MyŠKODA Connect mobile online services with ŠKODA Play Apps, which could be used to download a navigation function for the top-end infotainment system.

Due to the rising automotive sector, North America is expected to boost the market for auto infotainment, as according to the data of the International Organization of Motor Vehicle Manufacturers, North America in the year 2022 produced 14.8 million vehicles, which was 17.4% of the total world production, and is expected to increase its production with the same pace. Asia Pacific is also considered a promising market due to the rise in sales of passenger cars. China can be considered a lucrative market as the number of passenger cars sold in China has risen due to economic growth, government incentives, improved infrastructure, and a growing car culture. According to the data of the State Council Information Office of the People's Republic of China, the retail sale of passenger cars in China has nearly reached the mark of 6.42 million units in the first four months of 2024. According to the data, there was a total of 9 percent year-on-year growth. Furthermore, the rise in sales of passenger cars has also seen a major growth in the European Union, as according to the data of the Association des Constructeurs Européens d'Automobiles, the sale of passenger cars has experienced a growth as 9.3 million new passenger cars were sold across the European Union in 2022.