Japan Connected Car Market Size and Growth Overview (2026-2034)
Market Size in 2025: USD 7.3 Billion
Market Forecast in 2034: USD 36.2 Billion
Market Growth Rate 2026-2034: 19.38%
According to IMARC Group's latest research publication, "Japan Connected Car Market: Industry Trends, Share, Size, Growth, Opportunity, and Forecast 2026-2034," the Japan Connected Car Market size reached USD 7.3 billion in 2025. Looking forward, IMARC Group expects the market to reach USD 36.2 billion by 2034, exhibiting a growth rate (CAGR) of 19.38% during 2026-2034.
Request a PDF sample for more detailed market insights: https://www.imarcgroup.com/japan-connected-car-market/requestsample/
Japan Connected Car Market Trends & Drivers
The Japan connected car market is whose growth can be attributed to the increasing adoption of vehicle connectivity—a feature that has become essential in modern transportation—among manufacturers and consumers. Growing consumer interest in advanced safety systems, real-time navigation, IVDs (in-vehicle devices), and better connectivity is propelling the adoption of connected car technology. Automakers are equipping new vehicles with integrated telematics systems, sensors, and communication networks that enable services such as remote diagnostics, software updates, and emergency assistance. Development of 5G and high-speed data networks is enhancing the performance of connectivity, being able to transfer more data within a shorter time while providing better experiences for users. Therefore, connected cars are now on the rise on Japanese roads, elevating convenience and driving satisfaction.
The connected car market in Japan is witnessing growth due to the influence of a few propelling factors. Vehicle sales are increasing along with digital lifestyles and the customer's inclination toward smart features, which are driving the demand for connected services. Adoption of V2I and vehicle-to-vehicle (V2V) communication systems is being promoted by government attention on road safety and traffic management. Partnerships between automakers and technology companies are driving development of software, data analytics, and artificial intelligence to make cars smarter and more efficient. Growing funding in cybersecurity and data privacy solutions is contributing to the market growth, as such investments enable security and reliability of the connection for the users.
Japan Connected Car Industry Segmentation:
The report has segmented the market into the following categories:
Technology Insights:
- 3G
- 4G/LTE
- 5G
Connectivity Solutions Insights:
- Integrated
- Embedded
- Tethered
Service Insights:
- Driver Assistance
- Safety
- Entertainment
- Vehicle Management
- Mobility Management
- Others
End Market Insights:
- Original Equipment Manufacturers (OEMs)
- Aftermarket
Regional Insights:
- Kanto Region
- Kansai/Kinki Region
- Central/Chubu Region
- Kyushu-Okinawa Region
- Tohoku Region
- Chugoku Region
- Hokkaido Region
- Shikoku Region
Request a Customized Version of This Report for Deeper Insights: https://www.imarcgroup.com/request?type=report&id=20032&flag=E
Competitive Landscape:
The market research report offers an in-depth analysis of the competitive landscape, covering market structure, key player positioning, top winning strategies, a competitive dashboard, and a company evaluation quadrant. Additionally, detailed profiles of all major companies are included.
Recent News and Developments in Japan Connected Car Market
- December 2024: Honda and SoftBank Corp. conducted tests of cellular V2X technology on the Shin-Tomei Expressway in Tokyo, Japan, using 4G LTE and 5G networks. This testing demonstrated the advancement of connected car communication systems, enabling vehicles to interact with infrastructure and other vehicles for improved safety and traffic management in Japan's evolving automotive landscape.
- October 2024: Avanci, a pioneer in collaborative licensing solutions, announced that it finalized a 5G vehicle license agreement with Toyota, enhancing their ongoing partnership for the next generation of connected automobiles. Toyota's and Lexus' 5G-enabled vehicles are now authorized to use essential patents for 5G, 4G, 3G, and 2G technologies from almost 70 licensors.
- January 2024: Honda presented a new electric vehicle series that will go on sale in 2026, along with a futuristic concept car, at the Consumer Electronics Show in Las Vegas. The new series showcases Honda's commitment to integrating advanced connectivity features in future electric vehicles for the Japanese and global markets.
Key highlights of the report:
- Market Performance (2020-2025)
- Market Outlook (2026-2034)
- COVID-19 Impact on the Market
- Porter's Five Forces Analysis
- Strategic Recommendations
- Historical, Current and Future Market Trends
- Market Drivers and Success Factors
- SWOT Analysis
- Structure of the Market
- Value Chain Analysis
- Comprehensive Mapping of the Competitive Landscape
Note: If you require specific details, data, or insights that are not currently included in the scope of this report, we are happy to accommodate your request. As part of our customization service, we will gather and provide the additional information you need, tailored to your specific requirements. Please let us know your exact needs, and we will ensure the report is updated accordingly to meet your expectations.
About Us:
IMARC Group is a global management consulting firm that helps the world's most ambitious changemakers to create a lasting impact. The company provides a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.
Contact Us:
Street: 563–13 Kamien
Area: Iwata
Country: Tokyo, Japan
Postal Code: 4380111
Email: sales@imarcgroup.com
Comments (0)