Automotive Software Market Size and Share Outlook - Forecast Trends and Growth Analysis Report 2025-2034

The global automotive software market size reached approximately USD 30.73 Billion in 2024. The market is assessed to grow at a CAGR of 15.10% between 2025 and 2034 to attain a value of around USD 125.41 Billion by 2034.

Key Trends in the Market

Automotive software refers to software solutions that are used in vehicles for upgrading various features and enhancing the safety of drivers and passengers. Such solutions manage interaction with in-vehicle hardware to enhance the functionality of vehicles. Moreover, automotive software offers various benefits such as ease of usage, streamlined key entries, secure and comfortable driving experiences, and fuel efficiency.

• Software plays an integral role in facilitating the development, testing, safety, and performance of ADAS systems and autonomous vehicles . The automotive software market demand is being driven by the rising adoption of autonomous-driving and advanced driver assistance systems (ADAS) vehicles, supported by evolving customer preferences.
• The introduction of stringent government regulations aimed at enhancing the safety of vehicles is one of the prominent automotive software market trends. Vehicles are increasingly equipped with advanced driver assistance technologies, sophisticated warning systems, and high-precision sensors that can reduce the risk of accidents.
• Technological advancements and innovations in automotive software are expected to improve the fuel efficiency of vehicles, enable them to leverage high-speed networks to gain real-time information, and improve interconnectivity between vehicles. Moreover, increasing investments in R&D activities by manufacturers to develop innovative software solutions that can offer customisation options to vehicle owners are likely to aid the automotive software market growth in the coming years.

Global Automotive Software Market Segmentation

The EMR’s report titled “Automotive Software Market Report and Forecast 2025-2034 offers a detailed analysis of the market based on the following segments:

Market Breakup by Application

• Safety System
• Infotainment and Telematics
• Powertrain
• Chassis

Market Breakup by Product

• Operating System
• Middleware
• Application Software

Market Breakup by Vehicle Type

• ICE Passenger Vehicle
• ICE Light Commercial Vehicle
• ICE Heavy Commercial Vehicle
• Battery Electric Vehicle
• Hybrid Electric Vehicle
• Plug-In Hybrid Electric Vehicle
• Autonomous Vehicles

Market Breakup by Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa

Market Share by Application

As per the global automotive software market analysis, safety systems account for a substantial market share. With the increasing number of road accidents, governments globally are introducing stringent measures and mandating the use of emergency braking systems and collision warning systems, among other equipment, to boost the safety of vehicles. Moreover, the increasing launch of safety systems with improved capabilities and advanced sensors is anticipated to expand the car software market share in the coming years.

Market Share by Region

The Asia Pacific holds a major portion of the global automotive software market share, supported by the growing vehicle ownership. Countries like Japan and China are some of the leading automotive manufacturers, which is further surging the deployment of software solutions. In addition, the increasing number of connected vehicles on the road and the rising demand for vehicles with advanced features are positively impacting the market growth.

In the forecast period, investments in advanced technologies by OEMs and the surging demand for electric vehicles are likely to favour the software market for automotive industry.

Competitive Landscape

The comprehensive EMR report provides an in-depth assessment of the market based on the Porter's five forces model along with giving a SWOT analysis. The report gives a detailed analysis of the following key players in the global automotive software market, covering their competitive landscape and latest developments like mergers, acquisitions, investments and expansion plans.

BlackBerry Limited

BlackBerry Limited was founded in 1984 as Research In Motion (RIM), and since has emerged as a prominent cybersecurity company. Its services and products are deployed by governments, businesses, and safety-critical institutions. The Canadian company is headquartered in Waterloo, Ontario, and it is a leader in managing, optimising, and securing intelligent endpoints.

KPIT Technologies Limited

KPIT Technologies Limited is a prominent software integration partner of the mobility and automotive sector, with its headquarters in Maharashtra, India. The company supports the development of smart, safe, and clean mobility, and aims to drive the development of software-defined vehicles. With its engineering centres across China, Thailand, Europe, India, and the USA, it has emerged as a leading embedded software player with deep domain expertise.

GlobalLogic Inc.

GlobalLogic Inc. is an American digital product engineering company that is a part of Hitachi Group Company. With its headquartered in Silicon Valley, California, the company’s products and solutions are utilised in various sectors like financial services, automotive, healthcare and life sciences, semiconductor, communications, and manufacturing, among others.

Other automotive software market players include Google LLC, Samsung Electronics Co., Ltd., NVIDIA Corporation, Green Hills Software LLC, Wind River Systems, Inc., CARIAD SE, Sigma Software LLC, Elektrobit Automotive GmbH, and Microsoft Corporation.
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