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A report from Transparency Market Research argues that the global connected car market will benefit from new avenues with advancements in network technology – however, the key drivers for growth will be consumer demand for connectivity and safety mandates put in place by governments across the globe.

As a result, the report projects that the value of the global connected car market will reach $131.9 billion (GBP 85.4 billion) by 2019. Hindrances to growth will the presence of complex user interfaces, safety concerns related to driver distraction coupled by high costs associated to hardware and communication.

The report provides insight on major players in the market such as BMW, General Motors, Ford Motor Company, Sierra Wireless, Gemalto, Audi, Mercedes-Benz, Hyundai Motor, Toyota Motor, Delphi Automotive, Verizon Communications, and Microsoft. The report segments the market across four regions – Asia Pacific, Europe, North America, and Rest of the World. North America was the overwhelming leader in the market in 2012 and the report projects growing demand for luxury and high-tech vehicles in the US and Europe.

The market is segmented into three areas with regard to connectivity technology – 2G (GSM, GPRS, EDGE), 3G (UMTS, HSPA, HSPA+), and 4G (LTE). The fastest among the three is 4G and the technology held close to a third of the market in 2012. With regard to application, the market is categorised into telematics, navigation, and infotainment. Navigation witnessed the highest demand in 2012 as customers sought voice commands with real-time traffic data. As per connectivity solution, the market is split into three areas – integrated, tethered, and embedded.

You can find more about the report here.