Market Forecast By Technology (3G, 4G/LTE, 5G), By Connectivity Solutions (Integrated, Embedded, Tethered), By End Market (Original Equipment Manufacturer (OEMs), Aftermarket) And Competitive Landscape
| Product Code: ETC4568725 | Publication Date: Jul 2023 | Updated Date: Nov 2025 | Product Type: Report | |
| Publisher: 6Wresearch | Author: Ravi Bhandari | No. of Pages: 85 | No. of Figures: 45 | No. of Tables: 25 |
The import shipments of connected cars to India in 2024 saw significant contributions from Slovakia, Germany, China, Sweden, and the UK. The market displayed a shift towards higher concentration with a notable increase in the Herfindahl-Hirschman Index (HHI) from moderate to high levels. Despite a slight decline in growth rate from 2023 to 2024, the compound annual growth rate (CAGR) for the period 2020-24 remained impressive at 26.29%, indicating a robust expansion in the connected car market in India.

According to 6Wresearch internal database and industry insights, the India Connected Car Market is projected to grow at a compound annual growth rate (CAGR) of 12.6% during the forecast period (2025–2031).
Below mentioned are the evaluation of year-wise growth rate along with key drivers:
| Years | Est. Annual Growth (%) | Growth Drivers |
| 2020 | 6 | Early adoption in high-end car markets and growing need for advanced safety, infotainment, and connectivity features in vehicles. |
| 2021 | 7.5 | Invention of 4G/LTE connectivity in vehicles increases consumer demand for smart, connected driving experiences. |
| 2022 | 8.2 | The incorporation of AI-based infotainment system and spread of 5G network is making connected experience of driving more enhanced. |
| 2023 | 9.5 | Rising penetration of connected car solutions in the mass-market segments, supported by government initiatives and infrastructure development. |
| 2024 | 11.3 | Huge adoption of 5G technology, OEM collaborations for advanced connected solutions, and the rise in demand for autonomous driving features. |
The India Connected Car Market report thoroughly covers the market by technology, connectivity solutions, and end-market type. The report provides an unbiased and detailed analysis of ongoing market trends, opportunities/high-growth areas, and market drivers that will help stakeholders devise and align strategies according to current and future market dynamics.
| Report Name | India Connected Car Market |
| Forecast period | 2025-2031 |
| CAGR | 12.6% |
| Growing Sector | Automotive and Transportation Technology |
The India Connected Car Industry is experiencing fast growth due to advancements in connectivity technologies, increasing consumer demand for smart vehicle features, and government policies aimed at enhancing vehicle safety and technology. Market momentum is supported by the growing adoption of 4G and 5G technologies, integration of AI-based infotainment systems, and regulatory initiatives pushing for smarter, safer vehicles. Partnerships between automotive companies and tech firms are providing the expansion of connected car solutions, enhancing the overall driving experience.
Below mentioned are some prominent drivers and their influence on the India Connected Car Market dynamics:
| Drivers | Primary Segments Affected | Why it Matters (Evidence) |
| Government Support & Regulations | All Segments | Connected car adoption is high due to government support for safety standards. |
| Rising Consumer Demand for Smart Features | All Segments | The market growth is driven with the rising demand for advanced safety and connectivity. |
| Collaborations Between Automakers and Tech Companies | All Segments | Strategic partnerships foster the development of advanced OEM and aftermarket solutions. |
| EV and Autonomous Integration | OEMs, Aftermarket, Connected Solutions | The demand for connected car solutions is high due to the growing concentration on electric and autonomous vehicles. |
The India Connected Car Market is expected to grow steadily at 12.6% CAGR between 2025 and 2031. The growth is driven by advancement in 4G/5G networks, rising consumer demand for connected services, and many government policies promoting connected and autonomous vehicles. Along with that, OEMs are increasingly investing in integrating connected car solutions, such as advanced infotainment systems and real-time diagnostics, into vehicles. Strategic collaborations with tech firms and the development of AI-powered connectivity platforms are further accelerating India Connected Car market growth. Furthermore, the development of electric vehicles and the adoption of autonomous driving properties are enhancing the demand for smart vehicle solutions. This trend is expected to continue driving innovation in the connected car market.
Below mentioned are some major restraints and their influence on the India Connected Car Market dynamics:
| Restraints | Primary Segments Affected | What this Means (Evidence) |
| Data Privacy Concerns | All Segments | Data security, privacy and mishandling of personal information is becoming a concerning issue among individuals. |
| Regulatory and Standardization Issues | All Segments | Shortage of clear and standardized rules across regions generates delays in deployment. |
| Limited 5G Network Coverage | All Segments | Inadequate infrastructure for 5G connectivity in rural or underdeveloped areas limits the full potential of connected cars. |
| High Dependency on Technology | All Segments | High dependency on connectivity features requires robust and continuous technology updates, which may be challenging in certain regions. |
The India Connected Car Market includes a lot of problems to deal with, like the high cost of commencing with connected car technology, especially related to building 4G/5G networks and AI systems. Additionally, widespread usage comes with lack of individuals’ trust to data, privacy, and security. In addition, lack of standard rules makes the adoption and transition even more difficult.
Several significant trends are impacting the India Connected Car Market:
Some of the notable investment opportunities are:
Below is the list of prominent companies leading in the India Connected Car Market Share:
| Company Name | Tata Motors |
|---|---|
| Headquarters | Mumbai, Maharashtra, India |
| Established Year | 1945 |
| Official Website | Click Here |
Tata Motors is focusing on integrating connected car technologies across its passenger and commercial vehicle offerings, with an emphasis on IoT and AI-powered solutions.
| Company Name | Mahindra & Mahindra |
|---|---|
| Headquarters | Mumbai, Maharashtra, India |
| Established Year | 1947 |
| Official Website | Click Here |
Mahindra & Mahindra is working on embedding connected car technologies across its vehicle line-up, particularly focusing on telematics and fleet management solutions.
| Company Name | Maruti Suzuki India Ltd. |
|---|---|
| Headquarters | New Delhi, India |
| Established Year | 1981 |
| Official Website | Click Here |
Maruti Suzuki is integrating connected features into its vehicles, with an emphasis on infotainment systems, real-time diagnostics, and fleet telematics.
| Company Name | Hyundai Motor India |
|---|---|
| Headquarters | New Delhi, India |
| Established Year | 1996 |
| Official Website | Click Here |
Hyundai is focusing on enhancing vehicle connectivity through smart mobility solutions, including in-car Wi-Fi, telematics, and driver assistance features.
| Company Name | Honda Cars India Ltd. |
|---|---|
| Headquarters | Greater Noida, Uttar Pradesh, India |
| Established Year | 1995 |
| Official Website | Click Here |
Honda is integrating advanced connected car features, including remote diagnostics, in-car Wi-Fi, and infotainment systems, to enhance customer experience.
According to Indian government data, myriad initiatives have been introduced which are propelling market growth. Examples include the National Electric Mobility Mission Plan (NEMMP) which supports the adoption of electric vehicles (EVs) and modern connectivity. Along with that, regulations like the Automated Driving Systems (ADS) framework and the Road Transport and Safety Bill have been pivotal in laying down guidelines for the testing and deployment of connected and autonomous vehicles in the country.
The India Connected Car Market is forecasted to witness firm growth due to the increasing adoption of 4G/5G technologies, growing use of AI-powered connected services, and surging EV infrastructure. Along with that, government policies are also favoring smarter mobility solutions, while consumer demand for connectivity increases, will give the market a boost in connected car features across both OEM and aftermarket segments. Additionally, strategic partnerships between automakers and tech companies will accelerate innovation and adoption.
The report offers a comprehensive study of the subsequent market segments and their leading categories:
According to Mansi Arya, Senior Research Analyst, 6Wresearch, 4G/LTE dominates the India Connected Car Market Size, owing to its current widespread availability and integration in most connected vehicles, providing efficient real-time data exchange.
Integrated connectivity solutions, offering a seamless connection between vehicles and cloud platforms, are leading due to the rising demand for enhanced vehicle data and consumer experiences.
OEMs dominate the market, as they integrate connected car features during vehicle manufacturing, providing built-in connectivity solutions as standard features.
The report offers a comprehensive study of the subsequent market segments:
| 1 Executive Summary |
| 2 Introduction |
| 2.1 Key Highlights of the Report |
| 2.2 Report Description |
| 2.3 Market Scope & Segmentation |
| 2.4 Research Methodology |
| 2.5 Assumptions |
| 3 India Connected Car Market Overview |
| 3.1 India Country Macro Economic Indicators |
| 3.2 India Connected Car Market Revenues & Volume, 2019 & 2029F |
| 3.3 India Connected Car Market - Industry Life Cycle |
| 3.4 India Connected Car Market - Porter's Five Forces |
| 3.5 India Connected Car Market Revenues & Volume Share, By Technology, 2019 & 2029F |
| 3.6 India Connected Car Market Revenues & Volume Share, By Connectivity Solutions, 2019 & 2029F |
| 3.7 India Connected Car Market Revenues & Volume Share, By End Market, 2019 & 2029F |
| 4 India Connected Car Market Dynamics |
| 4.1 Impact Analysis |
| 4.2 Market Drivers |
| 4.2.1 Increasing demand for advanced technology in vehicles |
| 4.2.2 Government initiatives promoting connected car technologies |
| 4.2.3 Growing consumer awareness and acceptance of connected car features |
| 4.3 Market Restraints |
| 4.3.1 High initial costs associated with connected car technology |
| 4.3.2 Concerns regarding data privacy and cybersecurity |
| 4.3.3 Limited infrastructure supporting connected car ecosystem |
| 5 India Connected Car Market Trends |
| 6 India Connected Car Market, By Types |
| 6.1 India Connected Car Market, By Technology |
| 6.1.1 Overview and Analysis |
| 6.1.2 India Connected Car Market Revenues & Volume, By Technology, 2019 - 2029F |
| 6.1.3 India Connected Car Market Revenues & Volume, By 3G, 2019 - 2029F |
| 6.1.4 India Connected Car Market Revenues & Volume, By 4G/LTE, 2019 - 2029F |
| 6.1.5 India Connected Car Market Revenues & Volume, By 5G, 2019 - 2029F |
| 6.2 India Connected Car Market, By Connectivity Solutions |
| 6.2.1 Overview and Analysis |
| 6.2.2 India Connected Car Market Revenues & Volume, By Integrated, 2019 - 2029F |
| 6.2.3 India Connected Car Market Revenues & Volume, By Embedded, 2019 - 2029F |
| 6.2.4 India Connected Car Market Revenues & Volume, By Tethered, 2019 - 2029F |
| 6.3 India Connected Car Market, By End Market |
| 6.3.1 Overview and Analysis |
| 6.3.2 India Connected Car Market Revenues & Volume, By Original Equipment Manufacturer (OEMs), 2019 - 2029F |
| 6.3.3 India Connected Car Market Revenues & Volume, By Aftermarket, 2019 - 2029F |
| 7 India Connected Car Market Import-Export Trade Statistics |
| 7.1 India Connected Car Market Export to Major Countries |
| 7.2 India Connected Car Market Imports from Major Countries |
| 8 India Connected Car Market Key Performance Indicators |
| 8.1 Rate of adoption of connected car features among vehicle owners |
| 8.2 Number of partnerships between automakers and technology companies for connected car solutions |
| 8.3 Growth in the number of IoT devices integrated into vehicles |
| 9 India Connected Car Market - Opportunity Assessment |
| 9.1 India Connected Car Market Opportunity Assessment, By Technology, 2019 & 2029F |
| 9.2 India Connected Car Market Opportunity Assessment, By Connectivity Solutions, 2019 & 2029F |
| 9.3 India Connected Car Market Opportunity Assessment, By End Market, 2019 & 2029F |
| 10 India Connected Car Market - Competitive Landscape |
| 10.1 India Connected Car Market Revenue Share, By Companies, 2019 |
| 10.2 India Connected Car Market Competitive Benchmarking, By Operating and Technical Parameters |
| 11 Company Profiles |
| 12 Recommendations |
| 13 Disclaimer |