Connected Tire Market Size, Share, Growth Analysis, By Rim size, By Propulsion, By Offering, By Component, By Vehicle type, By Sales Channel, By Region - Industry Forecast 2024-2031

Connected Tire Market size was valued at USD 6 Billion in 2022 and is poised to grow from USD 8.7 Billion in 2023 to USD 170.01 Billion by 2031, at a CAGR of 45% during the forecast period (2024-2031).

The connected tire market is witnessing significant growth driven by ongoing innovations from automakers and technology firms within the automotive sector. These connected tires, equipped with sensors and communication capabilities, are revolutionizing the driving experience by delivering real-time data on tire condition, performance, and safety. This technological advancement empowers drivers with greater vehicle control, enhanced safety features, and more efficient maintenance practices. Moreover, the increasing emphasis on sustainability and environmental considerations is fueling the adoption of connected tires, which contribute to improved fuel efficiency and reduced carbon emissions. With rising consumer demand for smart and interconnected vehicles, the connected tire market is poised for further expansion in the upcoming years.

Top-down and bottom-up approaches were used to estimate and validate the size of the Connected Tire market and to estimate the size of various other dependent submarkets. The research methodology used to estimate the market size includes the following details: The key players in the market were identified through secondary research, and their market shares in the respective regions were determined through primary and secondary research. This entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews for key insights from industry leaders such as CEOs, VPs, directors, and marketing executives. All percentage shares split, and breakdowns were determined using secondary sources and verified through Primary sources. All possible parameters that affect the markets covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data.

Connected Tire Market Segmental Analysis

Connected tire market is segmented based on rim size, propulsion, offering, component, vehicle type, sales channel, and region. Based on rim size the market is segmented as 12 - 17 Inches, 18 - 22 Inches, and More Than 22 Inches. Based on propulsion, the market is segmented into Electric, and IC Engine. Based on offering, the market is segmented into software, and hardware. Based on component, the market is segmented into Accelerometer, Strain Gauge, RFID Chip, and TPMS. Based on vehicle type, the market is segmented into Passenger Cars, and Commercial Vehicle. Based on the sales channel, the market is segmented into Aftermarket, and OEM. Based on region, the market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

Drivers of the Connected Tire Market

An important factor propelling the connected tire market is the growing focus on safety and efficiency within the automotive sector. Connected tires offer real-time information about tire conditions, facilitating proactive maintenance and lowering the likelihood of accidents caused by tire-related issues. Moreover, they enhance fuel efficiency and help reduce emissions, which resonates with the increasing environmental awareness among consumers and regulatory agencies.

Restraints in the Connected Tire Market

One notable obstacle to the adoption of connected tires is the substantial initial costs linked to these advanced technologies. The installation of sensors and communication systems within tires can incur high expenses, potentially discouraging certain consumers and fleet operators from adopting connected tire solutions. Despite the significant long-term advantages in terms of safety and efficiency, the upfront investment presents a significant hurdle for achieving widespread adoption.

Market Trends of the Connected Tire Market

With the advent of self-driving cars, there is an increasing need for sophisticated sensor-based tire monitoring systems capable of seamless communication with autonomous vehicle control systems. These connected tire solutions not only improve safety by delivering real-time tire condition data but also play a pivotal role in optimizing the performance and safety of autonomous vehicles. This aligns with the broader trend towards autonomous transportation.