• TomTom led the in-vehicle navigation software market in Europe in H1 2024 with a 15% share.
• Europe’s in-vehicle navigation market, which is highly fragmented, grew 4% QoQ in Q2 2024, driven by electrification and ADAS.
• The integration of GenAI-enabled voice assistants is set to revolutionize the way navigation and location services are consumed.
  

London, Beijing, Buenos Aires, Hong Kong, New Delhi, San Diego, Seoul, Taipei, Tokyo – November 27, 2024

As we enter the software-defined vehicle (SDV) era, the importance of navigation has increased due to growing functionalities like Advanced Driver Assistance Systems (ADAS) and regulations like Intelligent Speed Assistance (ISA) and New Car Assessment Programme (NCAP). This encourages navigation and map data suppliers to build advanced maps with better software, user interface (UI) and data. Navigation software is a key piece of this entire navigation stack that brings all these functionalities and data together.

The navigation software market is quite fragmented currently, with more than 10 vendors serving the key automotive OEMs outside of China, mostly based in North America and Europe. In Europe, TomTom led the in-vehicle navigation software market in H1 2024 with a 15% share, followed by Joynext and Elektrobit, according to Counterpoint’s Europe In-vehicle Navigation Tracker.

Commenting on TomTom’s performance, Research Analyst at Counterpoint Mohit Sharma said, “TomTom’s success can be attributed to its modular navigation software solutions, which allow OEMs to customize their navigation systems easily to align the user interface with their branding and consumer preferences. Volkswagen Group recently started implementing a TomTom-powered navigation system in its vehicles. This is expected to become a significant contributor to TomTom's growth in Europe in 2025 and beyond.”

Source: Europe In-vehicle Navigation Tracker, H1 2024

Sharma added, “Navigation software is a fragmented market. Tier-1 players mainly supplying infotainment units to OEMs often offer navigation software as well. Such players include Joynext, Bosch, Aisin and Harman.”

As more consumers choose vehicles with built-in navigation systems, manufacturers are integrating these into their new models as standard features. Besides, the increasing adoption of electric vehicles (EVs) and ADAS is further driving the growth of in-car navigation systems. Europe’s in-car navigation sales grew 4% QoQ in Q2 2024 with countries with high EV adoption, like Norway and Sweden, leading this sequential growth.

In recent years, in-vehicle navigation has undergone significant enhancements, particularly in map update processes, UI, and EV services. Major automakers have started utilizing high-performance computing chips from companies like Qualcomm, NVIDIA and AMD. These advancements have also enabled over-the-air (OTA) map updates, more realistic navigation with 3D rendering capabilities, and AI-driven EV services to improve the overall user experience.

Another important trend that could shape in-vehicle navigation market dynamics is the growing presence of Chinese car brands in Europe. This presents significant opportunities for Western in-vehicle navigation system vendors to collaborate with these automakers.

Vice President at Counterpoint Peter Richardson said, “New entrants like Mapbox and Google are gaining traction as vehicle brands like Renault, Volvo and Polestar continue to roll out new models based on Google Automotive Services (GAS). Navigation software is a highly competitive market as it includes mapping, Tier-1 automotive, and pure navigation players. Meanwhile, in China, map providers such as Baidu, Amap and Tencent lack comprehensive map coverage abroad. This limitation positions companies like TomTom and HERE favorably for partnerships with Chinese automotive OEMs, especially since Google is unlikely to be an option for these firms.”

Going forward, AI and GenAI will revolutionize the way navigation and location services are consumed. They provide a more intuitive and natural method for users to access real-time information, receive personalized route suggestions, and engage with location-centric data. For instance, in 2024, several European brands under Stellantis and Volkswagen introduced vehicles equipped with GenAI-powered voice assistants.

The comprehensive and in-depth ‘Europe In-vehicle Navigation Tracker, H1 2024' is now available for purchase at our Research portal.
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Background
Counterpoint Technology Market Research is a global research firm specializing in products in the TMT (technology, media, and telecom) industry. It services major technology and financial firms with a mix of monthly reports, customized projects, and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

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