US V2X Market

US V2X Market Overview:

As per MRFR analysis, the US V2X Market Size was estimated at 406.8 (USD Million) in 2023. The US V2X Market Industry is expected to grow from 600(USD Million) in 2024 to 15,000 (USD Million) by 2035. The US V2X Market CAGR (growth rate) is expected to be around 33.994% during the forecast period (2025 - 2035).

Key US V2X Market Trends Highlighted

The US V2X market is witnessing significant growth, driven by the increasing demand for connected vehicle technologies. Key market drivers include government initiatives aimed at improving road safety and traffic efficiency. The US Department of Transportation emphasizes the importance of smart transportation systems and various federal funds support the development and deployment of V2X technologies. 

This push enhances the vehicle-to-everything communication systems, which are crucial for reducing accidents and improving traffic flow. Furthermore, opportunities in the US market are emerging as cities and states invest in smart infrastructure.Local governments are beginning to incorporate V2X capabilities into their transportation plans, creating an environment ripe for innovation. Collaborations between automotive manufacturers, technology companies, and infrastructure providers are being formed to enhance communication standards and implement V2X solutions effectively. Recent trends highlight an increased focus on cybersecurity in V2X communication. 

With the growth of connected vehicles, protecting these systems from potential cyber threats has become a priority for stakeholders within the US. As automotive technology continues to evolve rapidly, there is also a trend toward integrating V2X systems with emerging technologies such as 5G, which promises to improve data transmission speeds and overall system efficiency. In addition, the rise of electric vehicles in the US market is also contributing to the momentum of V2X strategies. 

Electric vehicle infrastructure can be enhanced through V2X capabilities to improve energy management and facilitate smoother interactions between vehicles and charging stations. These interrelated trends position the US V2X market for transformative advancements in the near future, fostering a safer and more efficient transportation ecosystem.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

US V2X Market Drivers

Increasing Government Initiatives for Vehicle-to-Everything Technology

The growth of the US V2X Market Industry is significantly driven by increasing government initiatives aimed at promoting Vehicle-to-Everything technology. The US Department of Transportation (USDOT) has been actively investing in smart infrastructure projects and has announced programs like the Automated Vehicle Comprehensive Plan which outlines strategies to enhance road safety and efficiency. 

In fact, USDOT's Intelligent Transportation Systems (ITS) initiative has proposed funding of over 100 million USD for V2X technologies in the next few years.Such initiatives not only foster innovation but also accelerate the adoption of V2X systems, contributing to an anticipated market growth rate of approximately 33.994% by 2035. These ambitious government policies play a critical role in shaping the future landscape of the US V2X Market, addressing public safety, and reducing traffic congestion through better communication between vehicles and their environments.

Rising Demand for Enhanced Road Safety Solutions

The pressing need for enhanced road safety solutions is another significant driver for the US V2X Market Industry. In the US, road fatalities have risen by 21% from 2010 to 2020, according to the National Highway Traffic Safety Administration (NHTSA). This alarming trend has prompted policymakers to explore technologies like V2X that can facilitate real-time communication between vehicles and infrastructure, thereby reducing accidents and improving traffic flow.

Organizations such as the NHTSA and the Insurance Institute for Highway Safety are advocating for the integration of such technologies, forecasting that V2X can potentially reduce vehicular accidents by 80%. This driving factor is expected to greatly influence investment and development in the market throughout the upcoming years.

Growing Integration of Smart Cities and Connected Infrastructure

The trend towards the creation of smart cities and connected infrastructure is markedly amplifying the US V2X Market Industry. By 2025, it is projected that over 50% of the US population will live in urban areas, leading city planners and governments to seek innovative solutions to manage traffic congestion and improve public safety. 

The National Institute of Standards and Technology (NIST) highlights the role of V2X systems in enabling real-time data sharing and communication between vehicles and urban infrastructure, which can optimize traffic management.Many cities and municipalities are establishing partnerships with technology companies for developing connected ecosystems, and this focus on smart city initiatives is expected to considerably enhance V2X technology adoption in the US, thus driving market growth.

Advancements in Automotive Technology and Connectivity

The rapid advancements in automotive technology, particularly in connectivity features of vehicles, serve as a critical growth driver for the US V2X Market Industry. The automotive sector in the US has seen a surge in the incorporation of advanced technologies such as 5G and artificial intelligence, facilitating seamless communications between vehicles and infrastructures. 

According to the Federal Communications Commission (FCC), the rollout of 5G technology is set to dramatically enhance data transmission speeds and reliability, essential for effective V2X systems.Major automakers are investing heavily in Research and Development to advance in-car connectivity features, indicating that the market is increasingly leaning towards V2X-enabled vehicles. Such technological improvements are expected to fuel consumer interest and uptake, subsequently driving significant growth in the US V2X Market.

US V2X Market Segment Insights:

V2X Market Technology Insights

The 'US V2X Market' market, particularly in the Technology segment, is experiencing significant advancement as new applications emerge and technologies evolve. By 2024, the overall market is expected to show considerable value, indicating a shift in how communication between vehicles and infrastructure is prioritized. This technological transformation is being driven by the increasing emphasis on road safety, improved traffic efficiency, and environmental sustainability, attracting investments and fostering innovative approaches across various applications.Key components such as Automated Driver Assistance systems play a crucial role in enhancing driving safety and convenience, with features like lane-keeping assistance and adaptive cruise control being increasingly integrated into new vehicle models. 

Intelligent Traffic Systems demonstrate the capability of reducing congestion and optimizing traffic flow, often leveraging real-time data analytics to facilitate smoother transportation experiences. Emergency Vehicle Notification systems are critical for enabling prompt responses in emergencies, thereby improving overall public safety on roads.The Passenger Information System is essential to delivering timely updates to commuters, enhancing mobility within urban environments. Fleet and Asset Management technologies contribute significantly to operational efficiency for logistics companies, allowing for effective tracking and optimization of vehicle usage, while Parking Management Systems are transforming urban parking experiences through efficient space utilization. 

The concepts of Line of Sight and Non-line of Sight communication are vital in defining how vehicles interact with varying infrastructure elements, ensuring seamless connectivity and information sharing.The interconnectedness these various technologies create within the US V2X Market is pivotal due to their potential to harmonize traffic management and improve the overall transportation ecosystem. The market is benefiting from stringent government regulations promoting safety and the push towards smart city initiatives, where integrated transportation solutions are becoming paramount. These trends indicate a robust potential for various technological advancements within the US V2X Market, making it an exciting area for future developments and innovations.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

V2X Market Component Insights

The Component segment of the US V2X Market encompasses critical elements essential for facilitating vehicle-to-everything communications. This segment primarily includes Hardware and Software, which serve as the backbone of V2X systems. Hardware consists of devices like sensors, communication modules, and antennas that enable real-time data exchange between vehicles, infrastructure, and other elements. 

This technology is pivotal for enhancing road safety, traffic efficiency, and autonomous driving capabilities. The Software aspect involves algorithms and applications that manage communication protocols and data interpretation, ensuring that information shared among vehicles and infrastructure is processed accurately and swiftly.As the US government emphasizes smart transportation initiatives, the demand for advanced integrated systems grows, driving innovation and investment in these components. 

Market trends indicate that as electric and autonomous vehicles continue to rise, the need for a robust V2X infrastructure will further underline the significance of high-quality Hardware and Software in this sector. The Component segment plays a vital role in supporting these transformations and driving overall market growth in the US V2X ecosystem.

V2X Market Communication Type Insights

The Communication Type segment within the US V2X Market plays a crucial role in enabling various vehicle-to-everything communication systems that enhance road safety, optimize traffic management, and improve the overall driving experience. Each type of communicationVehicle-to-Cloud (V2C), Vehicle-to-Devices (V2D), Vehicle-to-Grid (V2G), Vehicle-to-Pedestrian (V2P), Vehicle-to-Vehicle (V2V), and Vehicle-to-Infrastructure (V2I)serves a specific purpose in this interconnected ecosystem. V2V communication is significant as it allows vehicles to exchange information about their speed, location, and direction, helping to prevent collisions and reduce accidents.Meanwhile, V2I facilitates connections between vehicles and roadside infrastructure, enabling real-time traffic management and flow optimization. 

The V2G segment holds promise for electric vehicles, as it allows for energy exchange between the grid and vehicles, promoting sustainability and efficiency. As urban environments continue to evolve, the importance of these communication types becomes more pronounced, especially in mitigating traffic congestion and enhancing safety, contributing to market growth. Data from various industry sources indicate strong government support and investment in V2X technology, aimed at improving transportation systems across the US, aligning with the trends in smart city developments and increasing automation in transport.

V2X Market Propulsion Insights

The Propulsion segment of the US V2X Market showcases significant progress and potential as it aligns with the broader transition towards smart mobility solutions. With a growing emphasis on sustainable transportation, Electric Vehicles (EVs) are at the forefront of this segment, offering advanced features such as real-time vehicle-to-everything communication, thereby enhancing safety and efficiency on the roads. 

In contrast, Internal Combustion Engine (ICE) Vehicles still occupy a substantial share, primarily due to their widespread existing infrastructure and consumer familiarity.However, the increasing regulatory pressures and shifting consumer preferences in the US towards cleaner technologies are driving innovations within both propulsion types. This duality presents a unique challenge and opportunity for the industry as manufacturers adapt to the rapidly changing landscape. 

The focus on integrating V2X technology into the propulsion systems is expected to significantly enhance vehicle performance and connectivity, setting the stage for more intelligent transportation systems. Overall, the interaction between these propulsion types amidst changing market dynamics highlights the versatility and adaptability required in the US V2X Market.

V2X Market Connectivity Insights

The Connectivity segment of the US V2X Market is poised for considerable growth, driven by advancements in vehicle-to-everything technologies that facilitate improved road safety, traffic management, and autonomous driving capabilities. This segment encompasses various communication technologies, with Dedicated Short-Range Communications (DSRC) and Cellular V2X (C-V2X) being the primary technologies. 

DSRC has been widely recognized for its reliability in high-speed communication between vehicles and infrastructure, making it crucial for real-time applications such as collision avoidance.Meanwhile, Cellular V2X is gaining traction due to its ability to leverage existing cellular networks, offering broader coverage and the potential for advanced applications beyond immediate vehicle communication, including integration with smart city infrastructures. 

The combination of these communication technologies is expected to enhance the overall US V2X Market revenue as they support vehicular safety systems, improve traffic flow, and enable automated driving features. Furthermore, governmental initiatives toward smart mobility and increasing investments in connected vehicle technologies are significant drivers, shaping the future landscape of this market.As the industry moves towards more interconnected environments, the development of robust communication frameworks will remain essential for unlocking the full potential of vehicle automation and connectivity.

V2X Market Unit Type Insights

The Unit Type segment of the US V2X Market reflects a significant aspect of the overall landscape of vehicle-to-everything communications. This segment is primarily divided into Onboard Units and Roadside Units, both playing crucial roles in enhancing transportation efficiency and safety across the United States. Onboard Units, installed within vehicles, facilitate direct communication between vehicles and infrastructure, significantly improving traffic management and enabling advanced driver-assistance systems. Conversely, Roadside Units are strategically placed along highways and urban environments to provide critical data exchange points, contributing to enhanced situational awareness and real-time information dissemination for road users.

With the increasing focus on connected vehicle technologies, these units are essential for supporting the infrastructure that enables smart cities and reducing collision risks. As the importance of intelligent transportation systems grows in the US, the Unit Type segment not only showcases advancements in vehicular technology but also highlights the collaboration between public agencies and technology providers aimed at transforming transportation safety, efficiency, and sustainability.

V2X Market Vehicle Type Insights

The Vehicle Type segment of the US V2X Market is pivotal as it encompasses both Passenger Cars and Commercial Vehicles, reflecting the growing demand for improved communication technologies in transportation. In the US, Passenger Cars represent a significant portion of the market due to the increasing consumer preference for connected vehicles that enhance safety and convenience through features like real-time traffic updates and navigation assistance. 

On the other hand, Commercial Vehicles are also noteworthy as they play a crucial role in optimizing fleet management and improving operational efficiency, benefiting industries such as logistics and public transportation.As urbanization intensifies and the push for smart city infrastructure grows, the integration of Vehicle-to-Everything (V2X) technology is seen as a critical aspect in reducing traffic congestion and emissions. 

This technology facilitates better interaction between vehicles and their surroundings, ultimately driving advancements in both segments. With the US government and private entities investing in infrastructure for V2X communication, the market is likely to experience significant growth, positioning both Passenger Cars and Commercial Vehicles as essential contributors to the overall development of intelligent transportation systems.

US V2X Market Key Players and Competitive Insights:

The US V2X market, an acronym for Vehicle-to-Everything, is an evolving sector characterized by intricate interactions between vehicles and various external entities, including infrastructure, pedestrians, and networks. This market is driven by the increasing demand for enhanced road safety, efficient traffic management, and the growth of autonomous vehicles. The competitive landscape is marked by a variety of technology providers, automotive manufacturers, and infrastructure stakeholders, each aiming to leverage cutting-edge communication technologies to improve mobility solutions. 

The entry of advanced wireless technologies, such as 5G, has further intensified competition, offering unprecedented opportunities for real-time data exchange and increased connectivity between vehicles and their environment, thus driving innovation and collaboration among key players in this rapidly developing market.In the context of the US V2X market, Ericsson stands out as a key player with a robust presence and a strong focus on developing advanced network solutions that support V2X communications. 

The company's extensive experience in telecommunications enables it to provide critical infrastructure that promotes secure and reliable communication systems essential for vehicle-to-vehicle and vehicle-to-infrastructure interactions. Ericsson's strengths lie in its advanced research and development capabilities, which facilitate the creation of scalable and interoperable V2X solutions that can adapt to the evolving needs of the automotive industry. Additionally, Ericsson's strategic partnerships with automotive OEMs and technology firms bolster its competitive position, enabling the company to contribute significantly to the realization of smart transportation systems across the United States.Aptiv, another notable player in the US V2X market, specializes in advanced safety and connectivity solutions for vehicles. The company's key products and services encompass intelligent transportation systems, advanced driver-assistance systems, and cybersecurity measures designed to enhance vehicle safety and communication capabilities. 

Aptiv's strength in the US market is underpinned by its focus on innovation and extensive research in vehicle technologies. The company has established a solid footing through partnerships and collaborations with major automakers, which allow it to integrate V2X technologies directly into new vehicle models. Moreover, Aptiv is actively involved in mergers and acquisitions that enable it to enhance its technological capabilities and expand its product offerings, further solidifying its position as a leader in the US V2X market. The emphasis on sustainable transportation solutions, combined with a dedication to improving road safety and efficiency, positions Aptiv favorably in a competitive landscape dominated by technological advancements.

Key Companies in the US V2X Market Include:

• Ericsson
• Aptiv
• Toyota
• Cisco
• Siemens
• Harman
• Qualcomm
• Volkswagen
• Intel
• Cohda Wireless
• Denso
• Verizon
• General Motors
• Ford
• NXP Semiconductors

US V2X Market Industry Developments

Recent developments in the US Vehicle-to-Everything (V2X) Market have highlighted significant advancements and trends. In September 2023, Qualcomm collaborated with various industry players to enhance wireless technology and facilitate improved communication between vehicles and infrastructure, supporting smart transportation initiatives. Concurrently, Aptiv has been expanding its partnerships with automakers, including General Motors and Toyota, to advance V2X technology integration into next-generation vehicles. Additionally, in October 2023, Verizon announced plans to upgrade its 5G network capabilities to support V2X applications, aiming to enable faster data transmission for connected vehicles. 

There has also been notable activity in mergers and acquisitions; in August 2023, Intel acquired Cohda Wireless, enhancing its capabilities in V2X software solutions for autonomous driving. The growth in the US V2X Market, driven by investments from firms like Siemens and Harman, is expected to reach significant valuation milestones by 2025, leading to a more interconnected transportation ecosystem. Over the past few years, the market has seen a surge in funding, accelerating technological advancements and regulatory support regarding V2X deployments across the nation.

US V2X Market Segmentation Insights

V2X Market Technology Outlook

• Automated Driver Assistance
• Intelligent Traffic System
• Emergency Vehicle Notification
• Passenger Information System
• Fleet & Asset Management
• Parking Management System
• Line of Sight
• Non-line of Sight
• Others

V2X Market Component Outlook

• Hardware
• Software

V2X Market Communication Type Outlook

• V2C
• V2D
• V2G
• V2P
• V2V
• V2I

V2X Market Propulsion Outlook

• Electric Vehicle (EV)
• ICE Vehicle

V2X Market Connectivity Outlook

• DSRC
• Cellular

V2X Market Unit Type Outlook

• Onboard Unit
• Roadside Unit

• Passenger Car
• Commercial Vehicle

US V2X Market Segmentation

• V2X Market By Technology (USD Million, 2019-2035)

  • Automated Driver Assistance

  • Intelligent Traffic System

  • Emergency Vehicle Notification

  • Passenger Information System

  • Fleet & Asset Management

  • Parking Management System

  • Line of Sight

  • Non-line of Sight

  • Others

• V2X Market By Component (USD Million, 2019-2035)

  • Hardware

  • Software

• V2X Market By Communication Type (USD Million, 2019-2035)

  • V2C

  • V2D

  • V2G

  • V2P

  • V2V

  • V2I

• V2X Market By Propulsion (USD Million, 2019-2035)

  • Electric Vehicle (EV)

  • ICE Vehicle

• V2X Market By Connectivity (USD Million, 2019-2035)

  • DSRC

  • Cellular

• V2X Market By Unit Type (USD Million, 2019-2035)

  • Onboard Unit

  • Roadside Unit

• V2X Market By Vehicle Type (USD Million, 2019-2035)

  • Passenger Car

  • Commercial Vehicle