October 2025
The smart wiring systems in the modern vehicles market is booming, poised for a revenue surge into the hundreds of millions from 2025 to 2034, driving a revolution in sustainable transportation. The markets for smart wiring systems in modern vehicles are experiencing rapid growth with increased sophistication in car designs and consumer desires for safer, smarter, and more connected vehicles, while EVs and hybrid vehicles demand enhanced wiring systems for safe and efficient power and data.
Regulatory bodies’ action plans promoting safety, efficiency, and smart technology revolutionize the wiring system. The increasing quantity of electronics systems installed in vehicles (sensors, cameras, infotainment, etc.) supports the demand for smart wiring systems in vehicles, contributing substantially to the organic growth of the market.
The smart wiring systems in modern vehicles market refers to the global industry that develops, manufactures and integrates advanced wiring and electrical/electronic architectures in vehicles. This includes harnesses, connectors, modules, sensors, smart junction boxes, wireless wiring solutions, high-voltage & signal wires, zonal and domain-based wiring architectures. These systems enable high-bandwidth data transfer, reduce weight, improve safety, support features like ADAS, infotainment, vehicle electrification (EVs, hybrids), and improve diagnostics & modularity. The market is driven by increasing electronic/electrical content per vehicle, safety and regulatory demands, electrification of powertrains, connected & autonomous vehicle features, and the need for lightweight, reliable, flexible wiring architectures.
Metric | Details |
Key Growth Drivers | Rising EV and hybrid vehicle production, ADAS adoption, infotainment expansion, lightweight and high-speed wiring solutions, and regulatory standards for safety & emissions. |
Leading Region | Asia-Pacific |
Market Segmentation | By Component Type, By Architecture / Wiring Topology, By Vehicle Type / Powertrain, By Application / System, By Material / Technology, By Performance / Safety Features, By End User / Buyer and By Region |
Top Key Players | Sumitomo Electric, Yazaki, Aptiv, Leoni, Furukawa Electric, Dräxlmaier, Lear, Bosch, Delphi Technologies, TE Connectivity, Fujikura. |
The trends in the smart wiring systems in modern vehicles market are product and technology launches.
The wiring harness segment dominated and captured around 45% of the smart wiring systems in modern vehicles market because they are necessary inside every modern vehicle. They organize and protect wires that link the engine, body, chassis, sensors, and high-voltage components together, so there will always be a need for reliable wiring harnesses. The trending safety features, infotainment systems, and hybrid drive-thru systems guarantee this strength of demand. Automakers built efficiency and safety around wiring harnesses to minimize the available space for wires, making them a major component to target.
The connectors & terminals segment is expected to grow at the fastest rate in the forecasted period as vehicles now use more sensors, cameras, and entertainment systems than ever before. Electric vehicles and hybrid vehicles also add to the trend of new and advanced connectors to support higher power and data transfer. Automakers trend away from the standard connectors and terminals, where minitaturized, durable, and high-performance connectors support zonal wiring, and high data use applications. The trend of connected and autonomous vehicles and their implementation will also provide for the fastest growth in connectors and terminals because of the need for reliable connectors and terminals.
The conventional centralized wiring segment dominated and captured around 50% of the smart wiring systems in modern vehicles market. Automakers have utilized this wiring architecture for many years because it features a single control unit in each vehicle that connects multiple systems together. It is less costly, easier to design, and is fairly well established within most vehicle types. While centralized wiring adds complexity of wires, automakers rely on sizeable savings as it has proven to be reliable, cost-effective, and has established supply chains in the manufacturing community for conventional and hybrid internal combustion engine (ICE) vehicles.
The zonal/domain architecture segment is expected to grow at the fastest rate in the forecasted period as it reduces complete vehicle weight, wiring ranges, and energy losses. By clustering the local modules together within a zone and using a high-speed backbone connection, automakers can enhance efficiency while supporting advanced features. Zonal wiring is vital for the electric and autonomous vehicle (AV) segments, as they require the capability for large data sets and data processing.
The ICE and hybrids combined segment dominated and captured around 55% of the smart wiring systems in modern vehicles market due to their maintaining the highest global share of automotive manufacturing. Drivers around the world continue to purchase conventional vehicles, hybrids are a segue toward a full electrification model, and for those vehicles, there is a more complicated wiring harness and new hybrid/batteries/ battery packs for both cars and trucks.
The BEVs segment is expected to grow at the fastest rate in the forecasted period. Battery Electric Vehicles (BEVs) are largely increasing due to global governments incentivizing cleaner energy models, environmental benefits, subsidizing the electric vehicle market, and stricter legislation on exhaust emissions. Smart wiring will include different components for charging, traffic signals communication, GPS, sensors, network-connected, as direct current high voltage batteries will need to be managed/controlled in the vehicles. The increasing network of charging stations and interest in sustainable and smart mobility are primarily contributing to the increase in BDVs.
The lighting, body & interior electronics segment dominated and captured around 35% of the smart wiring systems in modern vehicles market as they are required for all vehicles, irrespective of powertrain. Features like power windows, seat controls, climate controls, and lighting harnesses and connectors are all dependent on wiring harnesses and connectors. These various features are likely to see new developments in smart control as well as new energy-efficient, environmentally friendly lighting as automakers continue to upgrade their cars' interiors.
The ADAS/sensor harnesses/infotainment & connectivity segment is expected to grow at the fastest rate in the forecasted period due to rising demand for advanced safety and connectivity in vehicles. Systems such as lane assist, adaptive cruise control, parking sensors, or infotainment systems all work on networked harnesses and connectors. Automakers are typically adding more sensors, camera sensors, radar sensors, etc., to both premium and mass-market vehicles. The change towards autonomous and connected cars globally is expected to drive demand for advanced safety features and connectivity, leading to fast growth in this segment.
The copper conductor & standard insulation segment dominated and captured around 60% of the smart wiring systems in modern vehicles market due to copper's high conductivity, durability, and reliability. Copper is widely recognized as the safest and most trusted for power and signal transmission in vehicles. Most automakers have utilized copper as their conductor of choice because of its availability and proven level of performance. Despite the increased use of lighter materials, copper is still the predominant conductor in ICE, hybrid, and electric vehicles.
The aluminium conductors, shielded/optical/wire-free options segment is expected to grow at the fastest rate in the forecasted period because they contribute to reduced vehicle weight, and thus improved efficiencies. Automakers are utilizing aluminum wiring in the new electric and hybrid vehicle market to conserve energy and save space. There are new data transfer solutions supporting high-speed data, such as shielded cables and optical fibers, in infotainment and ADAS application areas. Additionally, as the automotive portfolio moves toward modular, software-defined vehicle design, wireless solutions are coming online.
The OEM/tier-1 supply segment dominated and captured around 70% of the smart wiring systems in modern vehicles market, as most smart wiring solutions are installed at the factory level. Automotive manufacturers utilize tier-1 suppliers for all complete wiring harnesses and connectors, as well as sub-systems for each individual model. These suppliers manufacture or collaborate with manufacturers to provide a complete wiring harness with strong and efficient design features. Their organizational capabilities in R&D, global fabricator and supplier networks, and long-standing relationships with automakers enable them to deliver dependable, high-volume production capacity.
The aftermarket & retrofits segment is expected to grow at the fastest rate in the forecasted period due to older vehicles getting the latest technologies. Consumers are putting advanced infotainment, sensors, and safety systems into older vehicles that all come with expanded wiring capability. Retrofitting existing vehicles with electric and hybrid technology is also increasing demand for smart wiring systems. Supply of aftermarket kits and devices is rapidly growing due to a growing need to supply or take advantage of numerous connected devices.
Major technological transitions in the smart wiring systems in the modern vehicles market include the transition from standard wiring harnesses to lightweight, flexible, high-speed data cables. The introduction of modern vehicles began to incorporate more sensors, cameras, and advanced driver-assist systems, creating a need for smarter wiring systems. The implementation of electric vehicles and hybrid vehicles resulted in the growth of high-voltage and energy-efficient wiring. The connection of car interior technologies and the further involvement of technology, such as connected car systems, infotainment, and autonomous driving systems, led to an increase in vehicle smart wiring complexity, which improves safety, performance, and energy efficiency while innovating advanced technology in the design of smart, compact, and reliable wiring systems in modern vehicles.
Asia-Pacific dominated and captured almost 35-40% of the total global smart wiring systems in modern vehicles market share, as many vehicle manufacturers are located in this region of the world. Increasing demand for electric and hybrid vehicles, strong automotive production, and favorable government policies supported the expansion of the market. Adoption of smart wiring systems was also stimulated by advanced technologies in wiring and rising standards for safety and reliability. The introduction of a wiring solution for electric vehicles and connected vehicles was an opportunity for growth in smart wiring systems. Growth of the middle class and an increase in vehicle sales accelerated the demand for smart and reliable wiring systems.
China had the largest share of the Asia-Pacific market as it produces the highest volume of vehicles and electric vehicles in the world. Many domestic and international vehicle manufacturers have operations in China. The rise of demand for safer, connected, and energy-efficient vehicles all contributed to the rapid expansion of smart wiring systems. Government incentives related to electric vehicles and a growing market for new automotive technologies supported the smart wiring system market. China is expected to emerge as an important market for innovation and adoption of advanced wiring systems in modern vehicles.
The smart wiring systems in the market expanded rapidly in Europe as governments stimulated electric and hybrid vehicles to cut pollution. The imposition of strict safety and emissions regulations encouraged car manufacturers to install advanced wiring systems on their vehicles. Additionally, consumer demand for smarter vehicles came from the implementation of driver-assist technologies, sensors, and infotainment. There were opportunities to build non-automotive specialty wiring systems for luxury and electric vehicles, and rapid growth in investment in autonomous driving technology fueled smart wiring systems growth, making Europe a significant region in the wiring technologies for modern vehicles.
Germany led Europe in the smart wiring systems market as it contained the highest concentration of car manufacturers in Europe, such as BMW, Mercedes, and Volkswagen, who required smart wiring systems for electric, hybrid, and luxury vehicles. Government promotion of clean energy vehicles also further stimulated the smart wiring system market. Germany also has a strong focus on advanced automotive technology and innovation, and has become a focal point for designing and testing smart wiring systems, which until this point helped fuel demand and establish additional opportunities for suppliers and manufacturers to supply those systems.
The raw material required for production of smart wiring systems in modern vehicles are copper, aluminum, plastics, silicone, and special insulation materials.
The components required for making a complete wiring system include wires along with connectors, sensors, fuse boxes, switches, and electronic control units.
When these smart wiring systems are ready, they are installed by the automakers in the modern vehicles.
October 2025 | Announcement |
Carl-Johan Lööf, Head of Product Management for People Transport Solutions at Scania. | With the launch of the new high-floor BEV platform, Scania is not only introducing our first battery-electric coaches but also reinforcing our position as a trusted partner in the transition to sustainable transport. |
September 2025 | Announcement |
Denny Crumley, senior vice president and general manager of the Leonardo DRS Land Electronics business unit. | We are excited to launch this cutting-edge family of rugged smart displays designed to provide our military and allied forces with a decisive advantage in today's complex battlespace. And by meeting the growing demand for AI-enabled, modular architectures for ground combat vehicles with this capability, we have proudly reinforced our position as industry leader in mission computing technology. |
May 2025 | Announcement |
Natalia Noblet, President of Stoneridge’s Electronics Division. | Stoneridge continues to prioritize innovation and compliance, empowering fleets with the technology they need to navigate tomorrow’s road transport landscape confidently. |
Date | Announcement |
Hugues Desmarchelier, Nissan Vice President, Global Electrification Ecosystem & EV Programs. | The technology we are bringing to customers is a potential game-changer for how we view the car. Not just as a means of getting from A to B, but as a mobile energy storage unit, capable of saving people money, supporting the transition of our energy systems away from fossil fuels and bringing us closer to a carbon-free future. |
The smart wiring systems in modern vehicles market is highly competitive. Some of the prominent players in the market are Sumitomo Electric Industries, Yazaki Corporation, Aptiv PLC, Leoni AG, Furukawa Electric Co., Dräxlmaier Group, Lear Corporation, Bosch, Delphi Technologies / BD Automotive, TE Connectivit, Fujikura Ltd., and Samson Wiring Systems. Companies in the market are focused on increasing their product portfolios, thus expanding product offerings, to include smart wiring solutions for electric vehicles, smart home systems, and connected infrastructure, and investing in research and development budget and lighter-weight, flexible, and high-speed data cables. Companies will also utilize strategic acquisitions to enhance their market presence and opportunistically utilize acquisitions to expand technology and connectivity. Furthermore, companies will be leveraging distribution networks for the purpose of gaining a wider and more diverse range of customers.
Company | About |
Sumitomo Electric Industries | Sumitomo Electric Industries was established in 1897. The company has advanced cable, connectors, and wiring systems for modern vehicles. Sumitomo Electric Industries provides reliable electrical and data connections, making the vehicle function safely and efficiently, especially for electric, hybrid, and connected cars. |
Yazaki Corporation | Yazaki Corporation was established in 1941. The company provides wiring harnesses, connectors, and smart wiring configurations for vehicles. Its products provide for the development of electric vehicles as well as an infotainment system and safety features. The vehicles become smarter, more connected, more energy-efficient, and more reliable. |
Aptiv PLC | Aptiv PLC was established in 1994. They provide smart wiring systems, connectors, and electrical architecture for the development of vehicles. The company continues to enhance the research and development of autonomous driving technologies and electric and connected vehicles while providing the electrical architecture to manage power, data, and safety systems within a vehicle efficiently. |
Leoni AG | Leoni AG was established in 1917. Leoni provides wiring harnesses, cables, and overall electrical systems for developing vehicles. The company's products are in electric vehicles, safety systems, and infotainment solutions to provide advanced vehicle technology and energy-efficient performance. |
Furukawa Electric Co. | Furukawa Electric Co. was established in 1884. Furukawa provides high-grade wiring, wiring solutions, and wire harnesses for modern automobiles. They support electric and hybrid vehicles and technologies that enable connected and autonomous driving, helping their customers to ensure their vehicles operate safely and effectively. |
Dräxlmaier Group | Dräxlmaier Group was founded in 1958. Dräxlmaier develops and produces smart wiring and electrical components in modern vehicles. Their wiring solutions help luxury, electric, and hybrid vehicles integrate safety, infotainment, and energy efficiency. |
Lear Corporation | Lear Corporation was founded in 1917. Lear is a manufacturer of wire harnesses and electrical systems in modern vehicles. Their product offerings intersect with electric vehicles, advanced driver assistance systems, and connected vehicle technologies to enhance the safety and performance of automotive customers. |
Bosch | Bosch (Electrical/Connectors & Harness Divisions) was established in 1886. Bosch provides various wiring systems, connectors, and electrical components for modern vehicles. Various products also support electric vehicles, driver-assist technologies, infotainment, and all electric vehicle designs for smarter and safer vehicles. |
Delphi Technologies / BD Automotive | Delphi Technologies / BD Automotive was founded in 1999. Delphi Technologies provides electrical wiring, wiring solutions, and electrical products to support automotive applications. Their offerings can support electric vehicles, hybrid vehicles, and connect vehicles to help improve safety, state of energy efficiency, and advanced automotive functions. |
TE Connectivity | TE Connectivity was established in 2007. TE Connectivity offers smart wiring systems, connectors, and sensors used in vehicles. Their solutions enable electric, hybrid, and autonomous vehicles to efficiently manage power, data, and safety systems. |
Fujikura Ltd. | Fujikura Ltd was established in 1885. Fujikura manufactures wiring harnesses, connectors, and electrical systems for modern vehicles. They allow electric, hybrid, and connected vehicles to operate safely and reliably, and to support advanced features and energy-efficient performance. |
Tier 1
Tier 2
By Component Type
By Architecture / Wiring Topology
By Vehicle Type / Powertrain
By Application / System
By Material / Technology
By Performance / Safety Features
By End User / Buyer
By Region
October 2025
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