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For the automotive industry, the emergence of the rapidly evolving Internet of Things (IoT) and growth of conntected car constitutes a transformative environment. According to ABI Research and practice director Dominique Bonte, this trend is characterized primarily by value chain and business model upheaval, as well as a ‘collaborate or die’ ecosystem friction reality prompting it to redefine and reinvent itself in order to capitalize on the huge opportunities in the new IoT economy.
“The absorption of the automotive industry in the wider IoT is driven by new connected car use cases such as EVs as a mobile grid and vehicles used as delivery locations,” he explained.
“As this IoT revolution unfolds, automotive innovation and value creation will be shifting to the boundaries with other verticals such as home automation, smart grids, smart cities, healthcare and retail.”
Indeed, Vehicle-to-Infrastructure (V2I) and Vehicle-to-Retail (V2R) are projected to be the dominant segments with respectively 459 and 406 million vehicles featuring smart car IoT applications by 2030, followed by V2H (Vehicle-to-Home) and V2P (Vehicle-to-Person) with 163 and 239 million vehicles respectively. Meanwhile, Vehicle-to-Grid (V2G) services will be offered on 50 million vehicles in 2030.
“However, in order to fully unlock the automotive IoT potential it will be critical to address a wide range of barriers including security, safety, regulation, lack of cross industry standards, widely varying industry dynamics and lifecycles and limited initial addressable market sizes,” Bonte added.
The challenges of IoT connectivity for connected devices should be a forethought, not an afterthought. In looking at the connected car, it’s essential that these challenges are addressed. In complex, unreliable,and ever changing environments, connected cars require reliable and secure signaling no matter where they are. At PubNub, we aim to make connecting automotive IoT applications as easy and reliable as possible.
This is a guest post from Atmel, and was originally published to the Atmel blog on June 19, 2014. Atmel Corporation is a worldwide leader in the design and manufacture of microcontrollers, capacitive touch solutions, advanced logic, mixed-signal, nonvolatile memory and radio frequency (RF) components.
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