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Over 50 percent of Vehicles Will Be Fitted with Embedded Navigation by 2020
Apple, Google, and Microsoft will challenge incumbent suppliers
Boston, MA - July 24, 2013 - According to the latest report by Strategy Analytics, Automotive and Portable Navigation: Market Drivers and Forecasts 2012 -2020, major technology companies such as Apple, Google, and Microsoft are beginning to battle for the in-vehicle navigation, this may spell trouble for the likes of Continental, Harman, Garmin, and TomTom. Google can already claim, Audi, BMW, Hyundai, Kia, Mercedes-Benz, and Tesla as clients, while Apple has made strong in-roads with a number of OEMs that now support its Siri Personal Assistant.
John Canali, Senior Analyst at Strategy Analytics, said, "Apple's recent announcements of its automotive OEM partnerships and the expansion of its mapping efforts could significantly change the in-vehicle experience, especially with regards to navigation. Previously major technology companies largely wrote off automotive, as volumes are far smaller than handsets and computers. With volumes growing and with a growing emphasis on creating a unified experience across all screens (PC, handset, TV, and in-dash display) companies understand that this is an important screen to win."
Richard Robinson, Director of Automotive and Multimedia Communications at Strategy Analytics, commented, "Competing against these new players will be difficult for incumbent suppliers as the new players are so well capitalized and can devote far more to research and development. Incumbent players face a significant challenge of remaining important players rather than simply hardware suppliers. OEMs should carefully examine what strategic alliances will best serve their consumers."
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