Automotive Software

Global Automotive Software Market to Reach US$39.4 Billion by 2030

The global market for Automotive Software estimated at US$21.4 Billion in the year 2024, is expected to reach US$39.4 Billion by 2030, growing at a CAGR of 10.7% over the analysis period 2024-2030. Application Software, one of the segments analyzed in the report, is expected to record a 11.5% CAGR and reach US$22.8 Billion by the end of the analysis period. Growth in the Middleware segment is estimated at 10.1% CAGR over the analysis period.

The U.S. Market is Estimated at US$3.4 Billion While China is Forecast to Grow at 12.4% CAGR

The Automotive Software market in the U.S. is estimated at US$3.4 Billion in the year 2024. China, the world`s second largest economy, is forecast to reach a projected market size of US$11.7 Billion by the year 2030 trailing a CAGR of 12.4% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 8.1% and 9.0% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 9.9% CAGR.

Global Automotive Software Market - Key Trends & Drivers Summarized

Automotive software is becoming increasingly integral to the functionality and performance of modern vehicles. This software includes a range of applications and systems such as advanced driver-assistance systems (ADAS), safety systems, infotainment systems, powertrain, engine control units (ECUs), telematics, and autonomous driving technologies. The integration of software in vehicles enhances safety, connectivity, efficiency, and user experience. With the rise of electric vehicles (EVs) and autonomous vehicles, the demand for sophisticated automotive software is growing rapidly. Automakers are collaborating with technology companies to develop and deploy cutting-edge software solutions that meet the evolving needs of the automotive industry.

The development of automotive software is driven by advancements in computing power, data analytics, and artificial intelligence. ADAS features, such as adaptive cruise control, lane-keeping assist, and automatic emergency braking, rely heavily on software algorithms to process data from sensors and cameras in real-time. Infotainment systems provide seamless connectivity, navigation, and entertainment options, enhancing the driving experience. Telematics systems enable remote diagnostics, vehicle tracking, and fleet management, contributing to operational efficiency and safety. Autonomous driving technologies, which represent the future of mobility, are underpinned by complex software systems capable of making real-time decisions based on vast amounts of data.

The growth in the automotive software market is driven by several factors. Firstly, the increasing adoption of ADAS and autonomous driving technologies is a significant driver, as these systems rely extensively on advanced software. Secondly, the rising demand for connected vehicles and infotainment systems is boosting the market for automotive software that enhances connectivity and user experience. Thirdly, advancements in AI and machine learning are enabling the development of more sophisticated and reliable automotive software solutions. Additionally, the shift towards electric vehicles is driving the need for specialized software to manage battery performance, energy efficiency, and charging infrastructure. Furthermore, the integration of telematics and remote diagnostics is enhancing vehicle maintenance and fleet management capabilities. Lastly, regulatory requirements for vehicle safety and emissions are encouraging the adoption of software solutions that ensure compliance and performance optimization.

SCOPE OF STUDY:

The report analyzes the Automotive Software market in terms of units by the following Segments, and Geographic Regions/Countries:

Segments:
Product (Application Software, Middleware, Operating System); Application (Safety Systems, Infotainment & Telematics, Powertrain, Other Applications); End-Use (Passenger Cars, Commercial Vehicles)

Geographic Regions/Countries:
World; USA; Canada; Japan; China; Europe; France; Germany; Italy; UK; Spain; Russia; Rest of Europe; Asia-Pacific; Australia; India; South Korea; Rest of Asia-Pacific; Latin America; Argentina; Brazil; Mexico; Rest of Latin America; Middle East; Iran; Israel; Saudi Arabia; UAE; Rest of Middle East; Africa.

Select Competitors (Total 175 Featured) -

• Apple, Inc.
• Accenture PLC
• Adobe Inc.
• Amazon Web Services, Inc.
• Akamai Technologies, Inc.
• ANSYS, Inc.
• Airbiquity, Inc.
• Access Co., Ltd.
• Altair Engineering, Inc.
• Airmax Group Ltd.
• American Digital Cartography, Inc.
• AImotive
• Airlinq, Inc.
• AplusB Software Corporation
• Accord Global Technology Solutions Private Limited

TARIFF IMPACT FACTOR

Our new release incorporates impact of tariffs on geographical markets as we predict a shift in competitiveness of companies based on HQ country, manufacturing base, exports and imports (finished goods and OEM). This intricate and multifaceted market reality will impact competitors by artificially increasing the COGS, reducing profitability, reconfiguring supply chains, amongst other micro and macro market dynamics.

We are diligently following expert opinions of leading Chief Economists (14,949), Think Tanks (62), Trade & Industry bodies (171) worldwide, as they assess impact and address new market realities for their ecosystems. Experts and economists from every major country are tracked for their opinions on tariffs and how they will impact their countries.

We expect this chaos to play out over the next 2-3 months and a new world order is established with more clarity. We are tracking these developments on a real time basis.

As we release this report, U.S. Trade Representatives are pushing their counterparts in 183 countries for an early closure to bilateral tariff negotiations. Most of the major trading partners also have initiated trade agreements with other key trading nations, outside of those in the works with the United States. We are tracking such secondary fallouts as supply chains shift.

To our valued clients, we say, we have your back. We will present a simplified market reassessment by incorporating these changes!

APRIL 2025: NEGOTIATION PHASE

Our April release addresses the impact of tariffs on the overall global market and presents market adjustments by geography. Our trajectories are based on historic data and evolving market impacting factors.

JULY 2025 FINAL TARIFF RESET

Complimentary Update: Our clients will also receive a complimentary update in July after a final reset is announced between nations. The final updated version incorporates clearly defined Tariff Impact Analyses.

Reciprocal and Bilateral Trade & Tariff Impact Analyses:

USA
CHINA
MEXICO
CANADA
EU
JAPAN
INDIA
176 OTHER COUNTRIES.

Leading Economists - Our knowledge base tracks 14,949 economists including a select group of most influential Chief Economists of nations, think tanks, trade and industry bodies, big enterprises, and domain experts who are sharing views on the fallout of this unprecedented paradigm shift in the global econometric landscape. Most of our 16,491+ reports have incorporated this two-stage release schedule based on milestones.

Please note: Reports are sold as single-site single-user licenses. Electronic versions require 24-48 hours as each copy is customized to the client with digital controls and custom watermarks. The Publisher uses digital controls protecting against copying and printing is restricted to one full copy to be used at the same location.

The latest version of Adobe Acrobat Reader is required to view the report. Upon ordering an electronic version, the Publisher will provide a link to download the purchased report.

Prior to fulfillment of an order, the client will be required to sign a document detailing the purchase terms for a publication from this publisher.