The growth in demand of human machine interface (HMI) systems is driving the growth of the global automotive infotainment market. To replace any kind of human interference, Nissan has announced the development of self-driving cars by 2020. Some of the other growth drivers of the global infotainment market are increased adoption in small and medium-sized cars. The advantages of automotive infotainment, which are driving the growth of the global market include improved routing and scheduling, increased driver productivity, and reduced operating costs. The growth of automotive infotainment products and services is driven by constant innovation in the wireless communication services and technology. The use of voice interface systems in automobiles is an opportunity, which is expected to boost the growth of the global automotive infotainment market during the next few years.

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A combination of entertainment and information systems is known as automotive infotainment. Automotive infotainment system includes products, such as digital versatile disc (DVD) players with the video screen, software platforms, audio system including radio, navigation devices like GPS, rear seat entertainment, and its accessories. The adoption of these services is increasing day by day, and they have become unavoidable due to the continuous technological advancements taking place. Better connectivity and enhanced user experience are some of the other features of entertainment, which are provided by automotive infotainment systems in cars.

Market Segmentation:
By Application
Location based services
Communication
Others

By Technology
Smartphones
Bluetooth
Wi-Fi
Human Machine Interface
Voice Recognition
Touchscreens

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The global automotive infotainment market is also driven by the growing manufacturer demand for more sophisticated head units in lesser priced car models. The demand for less expensive, smaller, compact cars is increasing with the growth in traffic and increasing price of fuel. Original equipment manufacturers (OEMs) are working with suppliers to develop feature-packed, low-cost infotainment systems priced for the low to medium priced car market. However, as the amount of code in the head unit, electronic control units (ECUs), and in-vehicle infotainment (IVI) system, and telematics devices increases, the challenges to manage the code also prevail. There is a need to upgrade the software timely, for which the car has to be taken to the manufacturing company; else the vehicle can stop functioning if the code becomes outdated. Some of the vehicle manufacturers have started to provide software updation kits to the clients for saving time and cost, and enhance customer experience. This reduces the time to complete software maintenance, which can save the costs paid by manufacturers to dealers during the warranty period. The distraction caused by these infotainment services to the driver is another factor hindering the growth of the global automotive infotainment market.

General Motors Company, Ford Motor Company, Honda Motor Co. Ltd., Bose Corporation, Volkswagen AG, Flextronics International are some of the major competitors in the global automotive infotainment market. The demand for more sophisticated systems will lead to an increase in the economies of scale, which would eventually drive the growth of the market for automotive infotainment.