Increasing Adoption of 5G Technology in Smart Tires is Expected to Boost the Demand for the Market
Keeping in mind the environmental conservation, a variety of eco-friendly cars are being developed. It has been observed that tires help save fuel and consequently help protect the environment are also in development. The growth in the number of connected vehicles for autonomous driving has expedited technology’s evolution across auto parts. An inevitable evolution is smart tires. Sensors embedded in them can provide users with more data than today’s TPMS offers. These sensors can signal when it’s time to change a tire or report details about unstable and dangerous tire conditions.
The increasing connectivity has led to immense data generation in modern-day vehicles. The TPMS has also reached its limitation concerning the data required for the next generation of tires’ proper functioning. Under-inflated tires and worn-out tires have led to major fatal road accidents, which has increased the urgency of developing smart tires.
Moreover, major tire manufacturers, such as Bridgestone, Goodyear, and Michelin, are developing smart tires relying on the internet of things (IoT) connected sensors and software platforms to monitor tire performance. The automotive industry is witnessing an immense spread of IoT technologies. The inclusion of 5G communication technology will enable robust communication for data transmission between the tire and the vehicle.
The incorporation of 5G technology in tires promotes the integration of smart tires in passenger vehicles, due to its ability to propagate efficient vehicle-to-vehicle communication. According to the market intelligence published by BIS Research, the automotive smart tire market was estimated at $9.49 billion in 2019. It is expected to grow at a significant CAGR of 29.27% during the forecast period from 2020 to 2025.
The market growth is accredited to the business drivers, including increasing concerns regarding environment and vehicle safety, rising adoption of 5G technology in smart tires, advancements in fleet management solutions through smart tires, and usage of smart tires in platooning systems.
However, a few short-term challenges can hamper the Market’s growth, including the impact of coronavirus disease (COVID-19) on the automotive tire market, the impact of COVID-19 on raw material providers, and the impact of COVID-19 on tire sensor providers.
To study the 360 degree view of the market, has been segmented into applications, products, and regions. The applications of smart tires both in passenger cars and commercial vehicles. In terms of product, it includes connected tire and temperature and pressure sensor-enabled tire along with the demand analysis and qualitative analysis.
The key market players present in the global automotive smart tire market include Continental AG, Bridgestone Corporation, Michelin, The Goodyear Tire & Rubber Co., Pirelli & C. S.p.A, and The Yokohama Rubber Company, among others.