The research also found that the move towards 5G will speed up commercial deployments as well as interoperability
More than 62 million vehicles will be capable of V2V (vehicle-to-vehicle) communication by 2023, up from just over 1.1 million in 2019, according to a new report by Juniper Research. This represents an average annual growth rate of 173 per cent over these four years.
The new study, Consumer Connected Cars: Telematics, In-Vehicle Apps & Connected Car Commerce 2018-2023 also found that the US will become the leading market for V2V deployments.
It predicts that over 60 per cent of new vehicles sold in the US will be V2V-capable by 2023 and, in turn, the technology could prevent over 9,300 deaths per annum in the country, representing one in four motor vehicle deaths.
Juniper found that that the roll-outs of 5G networks, anticipated to launch next year, will be the key accelerant behind the expansion of V2V communications. It predicted that automotive OEMs will gravitate towards 5G for V2V communication over other technologies, owing to its lower latency and high range.
The report also reveals that the move towards 5G will expedite commercial deployments and interoperability.
“The safety benefits of V2V are clear, however no incumbent technology can provide the network conditions across the entirety of road networks,” said research author, Sam Barker. “5G will be the key facilitating technology of these automotive safety features, however long vehicle refresh rates, typically around 8-12 years, will hinder mass adoption.”
“The safety benefits of V2V are clear, however no incumbent technology can provide the network conditions across the entirety of road networks”
The research also predicted that automotive OEMs will explore new strategies to generate revenues beyond the vehicle sale, including in-vehicle content subscriptions. It predicted that revenues from directly-integrated vehicle apps will exceed $2.2 billion by 2023.
Juniper advised that in addition to leveraging 5G networks, OEMs must open up their in-vehicle ecosystems to third parties in order to accelerate the development of emerging and future automotive content revenue streams.
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