Automakers & Tech Giants to Collaborate for Better In-Car Infotainment

From radio to voice recognition systems, from CD players to LCD display with wi-fi network, modern & future cars are ready to give a whole new experience.

In-car infotainment (IVI) is a term used for system that is a combination of information and entertainment in cars. IVI system uses audio-video interfaces, and other two-way communication tools to offer various services to driver and passengers. Many cars include CD players, radio, or rear seat DVD as sources of entertainment; while features, such as mobile device connectivity, security, and GPS tracker are sources of information. Automakers have begun incorporating new devices and features with growing demand for faster and powerful tools. Continuous upgradation of consumer-electronics industry and emergence of smartphones are among the major reasons for creating opportunities for car manufacturers in in-car infotainment industry.


Radio was the first entertainment service introduced in cars in 1930s. As customers wished to play their own tracks in cars, record players were included in cars in 1950s. Cassettes were introduced in 1970s owing to their compact size and cost effective nature. Tapes with cassettes became prominent until CD players showed up in 1980s. CD players and MP3 players were booming in the automotive industry, but smartphone revolution disrupted their momentum.

Current Trends:

Automakers are introducing advanced digital technologies in in-car infotainment systems to provide entertainment as well as information regarding safety, security, and directions. Ford Motor Company has launched ‘Sync’ that is focused on providing safer driving experience with features, including voice recognition, buttons on steering wheel, text-to-speech feedback, and others. In this way, driver would not lose concentration and interact with other systems to perform activities, such as turning on music player, activate navigation system, and others. Google, Microsoft, and Apple are among few tech giants that are helping out auto manufacturers to enhance safety levels and travelling experience. For instance, if a driver says ‘cookies,’ a voice recognition system sends this command to Google. It understands that a person is hungry and shows directions to the nearest grocery or bakery store.

What’s in the future:

Apple is launching CarPlay in Volvos and Mercedes Benz cars by the end of 2016. When iPhone is connected to a car equipped with CarPlay, user will have an access to apps that give audio feedback, such as Podcasts, Stitcher, and others. While Messages will be the only text-based app that will use Siri for dictation and reading messages. Auto manufacturers will collaborate with smartphone manufacturers to integrate more applications into cars without compromising safety levels. LCD displays integrated with wi-fi hotspots and networks on the back of front seats would add more enjoyment in travelling experience. With autonomous cars becoming reality in coming years, drivers will be able to experience visual entertainment and read text messages on glass of cars.

Analysts studying the market have presented a thorough information and precise data on changing market dynamics in research reports. Allied Market Research has published a report titled, “World In-Car Infotainment Market - Opportunities and Forecasts, 2015 - 2022.” As per the report, the market is estimated to register a CAGR of 13.3% from 2016 to 2022. The report provides an extensive analysis of drivers & challenges, growth opportunities, manufacturers analysis, market segmentation, and competitive scenario. Moreover, the study offers Porter’s Five Forces analysis, dominating segments, and SWOT analysis of each manufacturer.

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