Automotive Infotainment Systems Market Review, Key Business Drivers and Industry Forecast

Automotive Infotainment Systems Market Size, Growth Opportunities & Trends

The automotive infotainment systems market is forecasted to expand from USD 29.32 billion in 2025 to USD 46.87 billion by 2034, growing at a CAGR of 5.35% from 2025 to 2034.

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Introduction

The automotive infotainment systems market is a prominent branch of the automotive industry. This industry deals in manufacturing and distribution of infotainment systems for the automotive sector. There are various types of products developed in this sector comprising of audio unit, display unit, heads-up display, navigation unit, communication unit and some others. These products are designed for different types of vehicles including passenger cars and commercial vehicles. The growing trend of integrating smart infotainment systems in electric vehicles has boosted the market expansion. This market is expected to rise significantly with the growth of the multimedia sector around the world.

• According to the Veloz Organization, around 441283 EVs were sold in California during 2023 that increased to 443374 in 2024.

Highlights of the Automotive Infotainment Systems Market

• Asia Pacific held the highest share of the automotive seat market.
• Europe is expected to grow with a significant CAGR during the forecast period.
• By product type, the navigation unit segment held a dominant share of the market.
• By product type, the heads-up display segment is likely to rise with the fastest CAGR during the forecast period.
• By fit type, the OEM fitted segment held the largest share of the market.
• By fit type, the aftermarket segment is anticipated to witness rapid growth during the forecast period.
• By vehicle type, the passenger cars segment dominated this industry.
• By vehicle type, the commercial vehicle segment is predicted to rise with a considerable CAGR during the forecast period.

Automotive Infotainment Systems: Stats and Figures

• According to the Society of Indian Automobile Manufacturers, around 4301848 passenger vehicles were sold in India during 2024-25.
• According to the JAMA Organization, around 637,450 passenger vehicles were manufactured in Japan during February 2025.
• According to the International Organization of Motor Vehicle Manufacturers, around 27476886 passenger vehicles were produced in China during 2024.
• According to the Vietnam Automobile Manufacturers Association, around 415 passenger cars were registered in Vietnam during 2025.

Product Type Insights

The navigation unit segment held a dominant share of the market. The increasing adoption of high-quality navigation devices in passenger vehicles has boosted the market growth. Also, the rising use of navigation units in automotives to enhance location-based services is shaping the industry in a positive direction. Additionally, the integration of advanced technologies such as AI and IoT in navigation systems is expected to propel the growth of the automotive infotainment systems market.

• In April 2025, HERE Technologies partnered with ECARX. This partnership is done for launching an advanced navigation device for the automotive industry.

The heads-up display segment is likely to rise with the fastest CAGR during the forecast period. The rising demand for enhancing the cabin experience of vehicles has boosted the market expansion. Additionally, the increasing adoption of HUDs in modern cars for enhancing several applications such as speed assessment, navigation, safety alerts and some others is further playing a vital role in shaping the industrial landscape. Moreover, the integration of augmented reality (AR) in HUDs and rapid advancements in micro-display technologies is projected to drive the growth of the automotive infotainment systems market.

• In January 2025, Hyundai Mobis launched a holographic heads-up display. This display is designed for Kia EV9.

Fit Type Insights

The OEM fitted segment held the largest share of the market. The growing demand for genuine infotainment systems among the consumers of passenger cars has boosted the market growth. Additionally, numerous partnerships among automotive OEMs and infotainment manufacturers to develop advanced infotainment systems is likely to shape the industrial landscape. Moreover, the increasing adoption of OEM-based infotainment systems in luxury cars is likely to drive the growth of the automotive infotainment systems market.

• In November 2024, Visteon launched a new series of infotainment system in India. This infotainment system is designed for the vehicles manufactured by Tata.

The aftermarket segment is anticipated to witness rapid growth during the forecast period. The growing demand for affordable infotainment systems in developing countries such as India, Vietnam, Indonesia and some others has driven the market expansion. Also, the rise in number of automotive detailing centers along with numerous offers and discounts provided by aftermarket sector is contributing significantly to industrial expansion. Additionally, various partnerships and collaborations among market players to launch advanced infotainment systems is likely to boost the growth of the automotive infotainment systems market.

• In August 2024, Drimaes partnered with P3 digital services. This partnership is done for launching an in-vehicle infotainment (IVI) system in Europe and Asia.

Vehicle Type Insights

The passenger cars segment dominated this industry. The growing sales and production of passenger vehicles in different parts of the world has boosted the market expansion. Also, the rising consumer preference towards android-based car infotainment systems along with launches of various infotainment systems designed for passenger cars is further contributing to the industrial growth. Moreover, the rapid integration of AI-enabled infotainment systems in luxury vehicles for enhancing the traveling experience of passengers is anticipated to propel the growth of the automotive infotainment systems market.

• In December 2024, Uno Minda launched WTUNES-464DN-GPT infotainment system in India. This infotainment system is integrated with AI and delivers superior audio and video output in passenger cars.

The commercial vehicle segment is predicted to rise with a considerable CAGR during the forecast period. The growing adoption of LCEVs in several industries such as logistics, construction, retail, agriculture and some others has boosted the market growth. Also, the rising sales of autonomous trucks in developed nations has increased the demand for advanced infotainment systems, thereby fostering the industrial expansion. Moreover, the increasing use of superior audio-systems in luxury buses to enhance the traveling experience of passengers is expected to drive the growth of the automotive infotainment systems market.

• In September 2024, Euler Motors launched a new range of LCEVs in India. These LCEVs are integrated with a 10-inch Chimera infotainment system.

Geographical Insights

Asia Pacific held the highest share of the automotive seat market. The growing sales and production of automotives in countries such as India, China, Japan, South Korea and some others has boosted the industrial expansion. Also, the increasing adoption of electric vehicles along with rise in number of startup companies dealing in automotive components is further contributing to the market in a positive way. Moreover, the presence of several market players such as Sony, Pioneer, Hyundai Mobis, DENSO Corporation, Aisin, LG and some others is expected to boost the growth of the automotive infotainment systems market in this region.

• In February 2025, LG launched a 40-inch Pillar to Pillar (P2P) automotive display. This display delivers several features such as navigation, digital dashboards, climate controls and entertainment options.

China is the major contributor in this region. In China, the market is generally driven by the increasing sales of electric vehicles along with availability of essential raw materials. Also, rapid investment by automotive component manufacturers for developing advanced infotainment systems has further bolstered the industrial growth.

Europe is expected to grow with a significant CAGR during the forecast period. The growing adoption of luxury vehicles and sports cars in several nations such as Germany, France, UK, Italy and some others has boosted the market growth. Also, the rising preference of consumers towards vehicle modification along with increasing sales of autonomous vehicles is further adding to the industrial expansion. Moreover, the presence of various automotive companies such as BMW, Audi, Mercedes, Ferrari, Lamborghini and some others is driving the growth of the automotive infotainment systems market in this region.

• In January 2025, BMW launched iDrive infotainment system. This infotainment system is designed for the new vehicles developed by BMW.

Germany and UK are the major contributors in this region. In Germany, the market is generally driven by the growing production of vehicles along with technological advancements in automotive sector. In UK, the rising sales of ADAS-based vehicles coupled with increasing trend of luxury SUVs is driving the market expansion.

Industry Leader Announcement

• In January 2025, John Wall, the CEO at QNX made an announcement stating that, “Designing, developing and maintaining a digital cockpit is challenging, especially for globally deployed engineering organizations that rely on cloud-based development but still need safety, security and reliability, we are committed to reducing developer friction, accelerating time to market, and enabling the creation of next generation software defined automotive experiences. QNX has built a legacy of trust and expertise across industries, including over two decades in automotive software. Today, we combine this foundation with a cloud-first embedded development approach to meet the evolving needs of our customers.”

Competitive Landscape

The automotive infotainment systems market is a highly competitive industry with the presence of a numerous dominating players. Some of the prominent companies in this industry consists of Pioneer Corporation, Continental AG, Harman International, Alpine Electronics, Denso Corporation, Panasonic Corporation, Visteon Corporation, Clarion Co., Ltd., and some others. These companies are constantly engaged in developing infotainment systems for the automotive sector and adopting numerous strategies such as acquisitions, launches, collaborations, joint ventures, partnerships, business expansions and some others to maintain their dominant position in this industry. For instance, in December 2024, Visteon announced to open a new technical center in Kolkata, India. This center is inaugurated to enhance R&D related to android-based infotainment systems. Also, in May 2025, Pioneer Corporation Ltd launched DMH-AF555BT. DMH-AF555BT is an advanced 9-inch infotainment system designed for modern vehicles.

Recent Developments

• In April 2025, Porsche announced to launch a new infotainment system in China. This infotainment is expected to be launched by the end of 2026.
• In March 2025, Hyundai launched Pleos. Pleos is a touchscreen infotainment system equipped with AI assistance to perform multiple tasks.
• In January 2024, Access partnered with MediaTek. This partnership is done for launching an infotainment system that is compatible with android and iOS.

Automotive Infotainment Systems Market Segments

By Product Type

• Audio Unit
• Display Unit
• Heads-Up Display
• Navigation Unit
• Communication Unit

By Fit Type

• OEM Fitted
• Aftermarket

By Vehicle Type

• Passenger Cars
• Commercial Vehicles

By Region

• North America
• Latin America
• Europe
• Asia Pacific
• Middle East and Africa