Market Trends of Car Security Systems Industry
Increasing Number of Advanced Technologies to Boost the Market Growth
- There is a rise in smartphone functions to be built into in-vehicle infotainment systems. As cell phone use has risen, the usage of smartphones for the same purposes in their cars has also increased.
- Car manufacturers are themselves opting for modular hardware design. This helps them reduce the purchase price of infotainment systems. They are working on technology to let smartphone functions be built into in-vehicle infotainment systems at a low cost, which is likely to witness major growth for the market during the forecast period.
- Several leading car manufacturers in this region, such as BMW, Mercedes-Benz, Volvo, and Volkswagen, are developing compact and attractive smart keys, which shall provide growth opportunities for the market in the years to come. Features likely in high-end luxury cars are also being implemented in budget cars. Companies such as Honda, Hyundai, and KIA are engaged in developing smart keys, even for budget cars.
- Similarly, many automobile companies have introduced smartphone key technology to eliminate the use of traditional keys. Thus, an increasing focus on the advancements of keyless entry in vehicles. In September 2022, Audi India launched the Q7 model with a limited edition in India. The Audi Q7 Limited edition consists of a comfort key for keyless entry.
- The integration of artificial intelligence (AI) and cloud services is poised to catalyze technological advancements in automotive systems. Many companies currently leverage the well-established Google and Apple ecosystems for their infotainment systems. Nevertheless, an increasing number of players are choosing to develop their in-house infotainment system operating system (OS).
- Considering these inevitable improvements, the market is projected to experience optimistic growth as companies strive to elevate the quality of their offerings.
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Europe is Likely to Play a Significant Role in the Development of the Market
- Europe is expected to capture a significant share of the market's growing trend of installing safety features among the people in this region due to high incidences of car theft will propel the growth of this market in the region.
- There has been a significant increase in used car sales in the country during the past few years, increasing the total number of cars in use/operation. This is another factor driving the demand for car security systems from the aftermarket channel.
- The impact of the pandemic was inevitable on the market as new car registrations in Germany in 2020 accounted for 2,917,678, representing a decline of 19.11% compared to 3,607,258 units sold in 2019. However, with ease in lockdown restrictions, production facilities are operational and thereby contributing to the increasing demand.
- With a huge number of cars selling in the region, several new hardware and software designs and developments are being introduced and demonstrated in the field of automotive electronics that can be used for vehicle protection. For instance, in April 2021, in Switzerland, STMicroelectronics presented a 3-axis accelerometer for automotive usage to be implemented in several automotive applications like anti-theft.
- In July 2021, Terranet AB from Sweden made an exciting announcement regarding its innovative sensor technology, VoxelFlow. The company revealed its plans to showcase this cutting-edge technology at STARTUP AUTOBAHN in Germany. VoxelFlow has the remarkable capability to detect and track moving objects in close proximity to the vehicle, enabling it to identify potential hazards. Furthermore, this information can be seamlessly communicated in real time through a navigation system, providing drivers with timely and crucial alerts.
- Major original equipment manufacturers (OEMs) are partnering with software solutions providers to develop platforms that can augment vehicle security systems with some human intervention.
- For instance, in August 2021, Hyundai Motor Group entered into a partnership with The Qt company of Finland, designating them as their primary technology partner for human-machine interface (HMI) across all Hyundai, Kia, and Genesis brand vehicles. As part of this collaboration, Hyundai will utilize the Qt Design Studio, an advanced user interface (UI) designer, to create a range of in-vehicle frameworks capable of accommodating advancements in safety and vehicle security.
- Additionally, changing consumer preferences for smart vehicles, rising disposable income, and increased technology adoption in automobiles are some of the factors driving the market. With several such developments across Europe, the market for security systems is expected to grow significantly during the forecast period.
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