V2X COMMUNICATION MARKET ANALYSIS

Market Challenges And Opportunities

Rising concerns regarding safety is the major factor driving growth of the global V2X communication market

Rising concerns regarding safety has led to adoption of connected vehicles and this is a major factor driving growth of the market. Connected vehicles are equipped with communication systems, which aids in reducing the risk of an accident. Communication systems in vehicles deliver a definite information of traffic situation across the road network. Moreover, it helps in obtaining information of traffic flows and in turn aids in reducing vehicles congestion. This also reduces the possibility of road accidents. For instance, according to World Health Organization (WHO), an estimated 1.25 million road accidents occurred globally in 2013. Therefore, people are increasingly concerned and cautious regarding road safety, which is expected to aid in growth of the global V2X communication market.

Limited functionality of sensors is expected to restrain growth of the market

Major factor expected to restrain the market growth is limited functionality of sensors used in the V2X communication. V2X communication is dependent on sensors, microcontrollers, and semiconductors for its functioning. Sensors are responsible for detecting the information and convey the information to an Electronic Control Unit (ECU). This ECU, processes the data through an algorithm, and helps in assisting the driver by providing information related to traffic, pedestrian, and road condition, among others. However, these sensors have limited functionality, and this factor is expected to negatively impact of market growth.