- Southeast Asia’s connected car market grew 12% YoY in Q2 2026, supported by rising EV adoption in Thailand and Indonesia and the expanding presence of Chinese automakers.
- The connected car market is forecast to grow at a 20% CAGR between 2025 and 2030, driven by wider connectivity adoption and the expansion of connected features across mainstream vehicle segments.
- Toyota Group led Southeast Asia’s connected car market in Q2 2026, followed by Honda Group and BYD. Together, the three OEM groups accounted for 44% of regional connected car sales.
- Embedded connectivity penetration reached 44% of new vehicle sales in Q2 2026 and is expected to exceed 78% by 2030 as connectivity becomes more widespread across vehicle segments.
- 4G remains the dominant technology, powering 97% of connected cars in Southeast Asia. However, 5G penetration is projected to reach 66% by 2030 as automakers expand their 5G-enabled vehicle portfolios.
Southeast Asia’s connected car market is expanding as electric vehicle (EV) adoption increases, and automakers introduce connected features across a wider range of vehicles. In Q2 2026, connected car sales in the region grew 12% YoY, according to Counterpoint’s Global Connected Car Tracker, supported by higher EV adoption in markets such as Thailand and Indonesia and the growing presence of Chinese automakers. Connected features are also becoming more common in mainstream models, helping move connectivity beyond premium vehicles.
Counterpoint expects this market to grow at a 20% CAGR between 2025 and 2030, as automakers continue to add embedded connectivity, remote vehicle functions, digital infotainment and safety-related services. The region’s growing digital ecosystem and expanding mobile infrastructure will further support adoption over the forecast period. As connectivity becomes more widely available, Southeast Asia is also expected to see a gradual shift toward vehicles offering more connected services, over-the-air (OTA) updates and cloud-based features.
Southeast Asia Connected Car Sales Share by Auto Group, Q2 2026 vs Q2 2025
Source: Counterpoint’s Global Connected Car Tracker, Q2 2026
Note: Percentages may not add to 100% due to rounding.