[SatNews] The total in-car navigation market has been in continual decline for the last three years…
…however, ABI Research believes it has now reached its lowest ebb. While pure navigation is unlikely to reach the highs of 2008 again, the overall market is reaching a revenue plateau, creating a solid platform on which connected in-car services can bring a new generation of revenue growth. Senior analyst Patrick Connolly said,” When we look at the decline from 2008 to 2011, there is a perfect storm of economic conditions, low-cost/free smartphone navigation, the decline of PNDs, and falling car sales. The market is forecast to reach a low of $22 billion this year, before fluctuating around the $22-$24 billion mark, as a new period of growth for factory-fitted solutions, coupled with smartphone solutions, will take in-car navigation towards saturation point in many regions by 2017.”
Factory-fitted solutions will bring new revenue opportunities, especially for PND manufacturers. But the real growth opportunity will be the additional revenues that in-car connectivity will bring. Companies are fighting for a near-30 million connected car platform market in 2017; with many of the winners and losers decided over the next 2 years. These findings are part of ABI Research’s GPS & GNSS Research Service which includes additional Competitive Analyses, Vendor Matrices, Market Data, and Insights. In ABI Research’s quarterly service, “GPS&GNSS”, all forms of in-car navigation are considered, including factory fitted, aftermarket, PNDs, and smartphones.
